As far as i know since there is an export dockage standard on exports of grains and oilseeds and dockage is not deducted when purchased by the end customer. That may be an assumption, please can anyone confirm? China and canola dockage is a good example, why complain about dockage if they don't pay for it?
Since export companies get paid for dockage (assumption), why don't farmers get paid for the export standard level amount of dockage as opposed to completely being deducted for all dockage?
My experience which is admittedly limited is that the exporter gets paid for net tons, the same as you do. He does however have to pay freight on the dockage.
Unless that has changed, when I left in 2005, the producer paid freight on dockage. back in the day (as they say), the grain company paid freight on dockage and recouped that cost by pelletizing the dock and selling it for feed. It's a total scam now as the producer pays the freight and the cleaning but the grain company keeps and sells the dockage. One of the reasons i left the grain business. The industry went to $hit once the farmer own co-ops were killed. There is/was a dockage allowable in exports also and the grain companies would add the allowable back in and ship to those export standards. Of course, there is zero allowable when a produced delivers his product. It's theft IMO.
What I don't like is the difference on the dockage when you are hauling canola between the local crushers and the elevators. Usually we are running 0.8-1.5% dockage at the crusher, and out of the same bin to the elevator we will be 3%+. The difference in the dockage will pay for getting it customed hauled if you want and then some.
What I don't like is the difference on the dockage when you are hauling canola between the local crushers and the elevators. Usually we are running 0.8-1.5% dockage at the crusher, and out of the same bin to the elevator we will be 3%+.
Often wonder if that isn't small seed called dockage at elevators, just more seed for oil at crushers.
Standardized dockage testing would suggest it shouldn't but you hear too many of these stories.
I expect on some cargoes of "commodity" wheat or canola they do buy according to Canadian grade standards - ie. no dockage deduction based on standard allowances. However on higher value shipments its all a negotiation. Ultimately the buyer is looking for some combination of characteristics (sample weight, size, colour, plumpness, etc etc) and he will negotiate based more on the total value of the shipment than on particular elements of our grading system. The end user may regard as dockage portions of the shipment which you see as grain so our grading system ultimately is irrelevant for a lot of export shipments.
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