Criticism
Arguments in favour of privatization believe that farmers should be allowed to opt out of the board. Others believe that they could get a better price for their grain than the board itself and would like to market their own grain.
The total acres seeded to canola in western provinces has often exceeded that of wheat. While an increased canola crop is popular now, it may change based on market fluctuations, and this destabilizes the work food supply, much like corn-for-ethanol subsidies in the US caused a massive increase in world food prices in the 2000s.
A study by authors Colin A. Carter and R. M. A. Loyns found that measurable costs of the single-desk to farmers exist, they vary and could be as high as $20 per tonne in any year for wheat. Taxpayer costs could be another $5 to $6 per tonne. For barley growers, they estimated the hidden costs of the Board to be larger than $20 per tonne and the taxpayer costs to be approximately $9 per tonne.
Some opponents of the board's monopsony have suggested it to be replaced by a 'dual market' system. This is presented as a compromise where board supporters could continue to sell their wheat and barley through the board and board opponents could have the option to sell outside the board. From the standpoint of supporters of the board, however, this is not a viable alternative as a dual market would effectively end the board's monopsony and any benefits that it may give to farmers.
Opponents argue that because farmers capitalize program benefits into the cost of land, elimination of the CWB monopsony will result in lower land prices. Lower land prices would make Canadian farmers more competitive but could also leave many owing more than the value of their reduced land. Retiring farmers selling their land could be faced with a much reduced retirement fund but new entrants into farming would be able to purchase land at lower cost.
Some CWB opponents have argued that much of the lower quality land is in close proximity to the US border and would be the first to realize the benefits of the US market.
Read more about this topic: Canadian Wheat Board
Famous quotes containing the word criticism:
“To be just, that is to say, to justify its existence, criticism should be partial, passionate and political, that is to say, written from an exclusive point of view, but a point of view that opens up the widest horizons.”
—Charles Baudelaire (1821–1867)
“However intense my experience, I am conscious of the presence and criticism of a part of me, which, as it were, is not a part of me, but a spectator, sharing no experience, but taking note of it, and that is no more I than it is you. When the play, it may be the tragedy, of life is over, the spectator goes his way. It was a kind of fiction, a work of the imagination only, so far as he was concerned.”
—Henry David Thoreau (1817–1862)