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Emerging differences in state grain trading: Australia and Canada

  • Carter, Colin A.
  • Wilson, William W.

The Australian Wheat Board (AWB) and Canadian Wheat Board (CWB) have attracted attention recently because they are two of the largest state trading enterprises (STEs) engaged in agricultural trade. They have traditionally been viewed as nearly sister agencies. Among major STEs in the world market, these two agencies historically had similar characteristics including: price pooling, cost pooling, export sales monopolies, monopoly powers within domestic markets, grain quality control, and government underwriting of initial producer prices and export credit. However, during the past 6 years, similarities between the A WB and CWB have begun to diverge and the importance of their differences is becoming increasingly apparent. This paper identifies major emerging differences between the A WB and CWB and explores potential explanations (hypotheses) for these dissimilarities. A major point is that reforms in institutional design and legislative changes have given rise to emerging differences in key aspects of the marketing systems and performance. © 1997 Elsevier Science B.V.

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Article provided by Blackwell in its journal Agricultural Economics.

Volume (Year): 16 (1997)
Issue (Month): 2 (May)
Pages: 87-98

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Handle: RePEc:eee:agecon:v:16:y:1997:i:2:p:87-98
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  1. J. Stephen Clark, 1995. "Single Desk Selling by the Canadian Wheat Board: Does It Have an Impact?," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 43(2), pages 225-236, 07.
  2. Roley R. Piggott, 1992. "Some Old Truths Revisited," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 36(2), pages 117-140, 08.
  3. Baldwin, Robert E, 1992. "Are Economists' Traditional Trade Policy Views Still Valid?," Journal of Economic Literature, American Economic Association, vol. 30(2), pages 804-29, June.
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  5. Watson, Alistair S., 1984. "Wheat in 1984," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 52(02), August.
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  7. Ryan, Timothy J., 1994. "Marketing Australia's Wheat Crop: The Way Ahead," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 62(01), April.
  8. Richard Gray & Alvin Ulrich & Andrew Schmitz, 1993. "A Continental Barley Market: Where Are the Gains?," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 41(3), pages 257-270, November.
  9. Knetter, Michael M, 1989. "Price Discrimination by U.S. and German Exporters," American Economic Review, American Economic Association, vol. 79(1), pages 198-210, March.
  10. Krugman, Paul R, 1987. "Is Free Trade Passe?," Journal of Economic Perspectives, American Economic Association, vol. 1(2), pages 131-44, Fall.
  11. Bardsley, Peter & Cashin, Paul, 1990. "Underwriting Assistance To The Australian Wheat Industry - An Application Of Option Pricing Theory," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 34(03), December.
  12. Piggott, Roley R., 1992. "Some Old Truths Revisited," 1992 Conference (36th), February 10-13, 1992, Canberra, Australia 147251, Australian Agricultural and Resource Economics Society.
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