Our government has approved an agreement negotiated between the Canadian Wheat Board (CWB) and G3 Global Grain Group to commercialize the Wheat Board.
G3 will invest $250 million in CWB and will develop a grain-handling and shipping network, helping to build capacity while creating jobs.
With this deal, our government has fully delivered on our commitment to provide marketing freedom for Canada’s grain farmers.
Famers can once again benefit from the CWB’s price pooling as a risk-management tool.
G3 Global Grain Group will be keeping the CWB headquarters in Winnipeg. The Farmers Trust will acquire 49.9 per cent of the outstanding common shares.
“Our commitment to marketing freedom and increasing marketing choice has always been about giving farmers the right to sell their own grain to a buyer of their choice,” said Agriculture Minister Gerry Ritz. “The removal of the CWB monopoly attracted numerous investors wanting to expand Canada’s grain capacity and supply chain. This investment deal offers Canadian farmers access to a new global player to compete for their grain and more delivery points for farmers to sell their grain. The result of these new investments and jobs will provide a huge economic benefit to the grain sector and Canada’s overall economy.”
Farmers will benefit from another major company vying to purchase their grain. Ian White, president and CEO of the CWB, “This deal will enable the CWB to continue to expand its network. CWB's investments to date translate into hundreds of millions of dollars in new investment and hundreds of jobs across Canada. It also establishes a major new player in the Canadian grain industry well into the future, and we look forward to furthering our relationships with farmers across Canada."
Canada’s grain export capacity will be increased while hundreds of jobs and million dollars of economic growth will be realized.
Western Canadian grain farmers can now realize true marketing freedom. With a stronger CWB, there will be a more highly competitive and aggressive market for grain.
