Farmers again voiced their discontent with the wheat grading system at the recent Grain SA regional meeting, held at Elsenburg research centre in the Western Cape. Koos Blanckenberg, on behalf of the Philadelphia farmers in the Swartland, explained the problem. A farmer might supply two loads of 30t of wheat each, one containing wheat with a protein level of 12,4% and a bushel of 76,7 hectolitre mass, and the other containing wheat with a protein level of 11,8% and a bushel of 77,8 hectolitre mass.
Separately the loads are graded as B2 wheat for the load with the low protein and bushel count and B1 for the one with higher protein and bushel count. The farmer is paid accordingly. However, when the wheat gets to the miller, the two grades are mixed together and the protein and bushel counts cancel each other out. The miller then sells the wheat on as B1 wheat. Blanckenberg calculated that the difference between the B1 and B2 wheat price in 2007 meant farmers had received R75/t less than they should have for their wheat. If a farmer supplied 60t he would have lost R4 500.
Blanckenberg added that the difference in price between B1 and B2 wheat might double at the prices at which Safex currently trades. Wheat farmers could end up loosing up to R120/t. solution would be to change the grading system. He suggested that either a sliding scale or smaller intervals are used to grade the wheat. He explained that if an extra interval were added to the current grading system, a protein content of 11,5% would mean a farmer would only get R60/t less rather than R120/t less.
On a sliding scale farmers would only lose R12 for every 0,1% protein. Jannie de Villiers, executive director of the National Millers’ Association, said the association had been negotiating with Grain SA about changing the grading system almost a year ago. few technicalities were smoothed out, but no consensus was reached. meeting was scheduled for November to discuss the matter, but it never took place. “We are therefore aware of this request and are prepared to discuss the issue,” he added. – Glenneis Erasmus
