Vol. 138, No. 6 — March 24, 2004

Registration
SOR/2004-41 12 March, 2004

CANADIAN WHEAT BOARD ACT

Regulations Amending the Canadian Wheat Board Regulations

P.C. 2004-220 12 March, 2004

Her Excellency the Governor General in Council, on the recommendation of the President of the Treasury Board, pursuant to subparagraph 32(1)(b)(i) (see footnote a), subsection 47(2) (see footnote b) and section 61 of the Canadian Wheat Board Act, hereby makes the annexed Regulations Amending the Canadian Wheat Board Regulations.

REGULATIONS AMENDING THE CANADIAN WHEAT BOARD REGULATIONS

AMENDMENT

1. Subsections 26(1) to (4) of the Canadian Wheat Board Regulations (see footnote 1) are replaced by the following:

26. (1) The sum certain that the Corporation is required to pay producers on a per tonne basis under paragraph 32(1)(b) of the Act in respect of the base grade of wheat known as No. 1 Canada Western Red Spring (12.5% protein content) is

(a) $166.75 for straight wheat;

(b) $158.75 for tough wheat;

(c) $151.25 for damp wheat;

(d) $158.75 for straight wheat, rejected on account of stones;

(e) $150.75 for tough wheat, rejected on account of stones; and

(f) $143.25 for damp wheat, rejected on account of stones.

(2) The sum certain that the Corporation is required to pay producers on a per tonne basis under paragraph 32(1)(b) of the Act in respect of the base grade of wheat known as No. 1 Canada Western Amber Durum (12.5% protein content) is

(a) $161 for straight wheat;

(b) $153 for tough wheat;

(c) $145.50 for damp wheat;

(d) $153 for straight wheat, rejected on account of stones;

(e) $145 for tough wheat, rejected on account of stones; and

(f) $137.50 for damp wheat, rejected on account of stones.

(3) The sum certain that the Corporation is required to pay producers on a per tonne basis under paragraph 32(1)(b) of the Act in respect of the base grade of barley known as No. 1 Canada Western is

(a) $127 for straight barley;

(b) $120 for tough barley;

(c) $113.50 for damp barley;

(d) $122 for straight barley, rejected on account of stones;

(e) $115 for tough barley, rejected on account of stones; and

(f) $108.50 for damp barley, rejected on account of stones.

(4) The sum certain that the Corporation is required to pay producers on a per tonne basis under paragraph 32(1)(b) of the Act in respect of the base grade of barley known as Special Select Canada Western Two-Row selected and accepted as pot barley or for use in the malting or pearling process is

(a) $167 for straight barley;

(b) $160 for tough barley; and

(c) $153.50 for damp barley.

COMING INTO FORCE

2. These Regulations come into force on the seventh day after the day on which they are registered.

REGULATORY IMPACT
ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Description

Section 26 establishes in the Canadian Wheat Board Regulations the initial payments to be paid upon delivery for grains delivered to The Canadian Wheat Board. The amendment establishes a higher initial payment for the base grades of wheat (an increase of $23.75 per metric tonne), amber durum wheat (an increase of $18 per metric tonne), barley (an increase of $17 per metric tonne) and designated barley (an increase of $10 per metric tonne) for the 2003-2004 pool period. The Canadian Wheat Board advises that, upon review of the wheat, amber durum wheat, barley and designated barley pool accounts, increases in the initial payments are recommended.

Alternatives

In addition to the increases, the option of retaining the existing initial payments for wheat, amber durum wheat, barley and designated barley was considered. Maintaining the initial payments at current levels is not in keeping with The Canadian Wheat Board's objective of putting money in farmers' hands as quickly as possible, when sales from pools are sufficient to allow this to be done without risk, or when there has been a sharp increase in international prices for these grains.

Benefits and Costs

The higher initial payments will represent increased revenues to wheat and barley producers for their deliveries to The Canadian Wheat Board. If producers deliver to the pool accounts 13.3 million tonnes of wheat, 3.2 million tonnes of amber durum wheat, 1.1 million tonnes of barley and 2.1 million tonnes of designated barley during the 2003-2004 pool period, then these initial payment adjustments would represent about $325 million in additional grain receipts for wheat and barley producers. The initial payments established by this Regulation relate to the returns anticipated from the market and thus transmit the appropriate market signals to producers. There is no environmental impact of this amendment.

Consultation

This amendment has been recommended by The Canadian Wheat Board and discussed with the Department of Finance.

Compliance and Enforcement

There is no compliance and enforcement mechanism. This Regulation governs payments made to grain producers for deliveries made under the Canadian Wheat Board Regulations governing delivery permits.

Contact

Craig Fulton
Senior Commodity Officer
Grains and Oilseeds Division
International Markets Bureau
Market and Industry Services Branch
Agriculture and Agri-Food Canada
Sir John Carling Building
930 Carling Avenue
Ottawa, Ontario
K1A 0C5
Telephone: (613) 759-7698
FAX: (613) 759-7476

Footnote a

S.C. 1995, c. 31, s. 2(1)

Footnote b

S.C. 1995, c. 31, s. 4

Footnote 1

C.R.C., c. 397

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