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Wheat board, Viterra, announce agreement

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Viterra Inc. announced it has a commercial agreement with the Canadian Wheat Board (CWB) to accept deliveries of grain that farmers commit to CWB contracts at all Viterra locations across western Canada.

The agreement also includes port handling services.

In March the CWB announced a similar deal with Cargill Ltd.

At that time the CWB’s chief executive officer, Ian White, said the Cargill agreement is likely the first of others that will be announced soon.

The partnerships are necessary so that the new-look CWB can offer farmers price-pooling options and cash contracts now that the CWB no longer has a monopoly on marketing Prairie wheat and barley. Any registered grain company can now offer contracts to market Prairie grain.

"We are very pleased to forge a new alliance with Viterra that will greatly assist the CWB in marketing farmers’ grain through our pool programs," said White in a prepared statement today. "Access to Viterra facilities means farmers now have a wide range of locations to deliver the grain they contract with CWB."

Fran Malecha, Viterra’s chief operating officer for grain, said, "This agreement provides growers with access to the CWB pool programs for wheat, durum, and barley, and to Viterra’s comprehensive logistics network across western Canada."

Richardson International Limited, the grain handling division of the Winnipeg firm, James Richardson & Sons Ltd. and the other large Prairie grain handling firm is also expected to establish a similar partnership with the CWB.

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