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Goodale Commentary – Time for Careful Thought About the Wheat Board

Posted on September 23, 2011

September 19th, 2011

All majorities are not created equal, at least not in Stephen Harper’s Canada.

Think back to last May.

In the federal election, the turnout was barely 60%. And of those who voted, only 40% supported Mr. Harper. But because of unusual vote-splits in Ontario, the Conservatives won a majority of the seats in the House of Commons.

As a consequence, Mr. Harper now claims unfettered power.

Fast-forward to September.

The Canadian Wheat Board has just concluded a democratic vote among western grain producers. It was managed professionally and independently by one of Canada’s most respected accounting firms, under the scrutiny of prairie farm organizations. The questions were honest and precise.

Turnouts for mail-in vote like this are typically below 40%. But the Wheat Board attracted 56% — in the same ballpark as the last three federal elections. For wheat, the result was 62% in favour of the CWB’s single-desk marketing system. For barley, 51% voted pro-Board.

So the CWB won a stronger mandate than Mr. Harper. But the Conservatives say the Board’s majority doesn’t count – ideology trumps democracy. They plan to ignore the will of farmers and the kill the Board anyway, permanently.

A handful of private (mostly foreign) grain companies say “not to worry”. They’ll fill the void once the Board is gone. In doing so, of course, they’ll transfer to their mostly-foreign shareholders about $500 million per year in market value that the Wheat Board previously earned for farmers.

Other “winners” include the railways. The CWB won’t be in their way anymore, when they hoist freight rates. And the Conservatives will assist the railways by eliminating the “Revenue Cap” against excessive charges. Further “nuisances” like farmer-owned terminals, short-line rail operations and producer-car loading rights will also evaporate.

It’s time for some careful thought, before throwing the baby out with the bathwater.

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