Cigi: Presentation to CSTACigi: Presentation to CSTAWorking for the Value Chain

July 14,2015

P i O iPresentation Overview

• World production, exports• Canadian export markets• Canadian export markets• Cigi

f– Vision, mission, facilities, changes

• Issues and Questions

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Consumption of wheat as a share of total caloric intake

Wheat Canadian Wheat Exports > 200,000 MT’s by Market 2013‐14

(000’s MT’s) Wheat Exports by Market 2013‐14

(000’s MT’s)CanadianColombiaChileNigeria

West Africa(000 s MT s)Canadian

881.2 287.1 

2,108.4 

1,590.3

378.0 605.5 

488.3  497.4 

United States

Chile

Japan

SudanSaudi Arabia

Markets < 200,000 MT ‘s

1,147.0 

578.6707.0 

510.6 

1,590.3 

MexicoS. Korea

Philippines  Guyana Oman  Vietnam Turkey  IsraelPuerto Rico Costa Rica

India  BoliviaTanzania  Cuba  578.6 

1,122.9 

396.1 349.6 290.3 288.7 526.6 1,348.2 

633.9 

515.0 

Venezuela

Iraq

BangladeshRwanda  ItalyUganda   Portugal Burundi  BelgiumKenya Malawi 

Mozambique  S. Africa  Ghana Morocco

Peru

EcuadorBrazil

UKUAESri LankaIndonesia

ChinaNetherlands Egypt Spain  Kuwait 

Cameroon  Malaysia Thailand

Volume = 2,072,300 MT’s

• Total selected markets = 15,250,700 MT’s• Total export volume = 17,323,000 MT’sSource: CGC – Major Importers of Canadian Grain 2013‐14 

Wheat Canadian Durum Exports > 50,000 MT’s by Market 2013‐14

(000’ ’ ) Wh b k 2013 14(000’s MT’s) Wheat by Market 2013‐14(000’s MT’s)Canadian

United StatesTunisiaLibyaNigeria

521.4 

144.4 

447.0 736.7 

60.5  257.5 [VALUE] PeruMMorocco

Venezuela

y

234.3 

649.7 B l iBelgium

Algeria

Markets < 50,000 MT ‘s

Ecuador Colombia

987.3 

60.0 69.7 224.8 

105.8 

Ecuador ColombiaCosta Rica CubaChile PortugalKuwait W. AfricaS. Africa   GermanySpain  Indonesia

Volume = 266 800 MT’s

Italy

UAEJapanTurkey

NetherlandsVolume = 266,800 MT s

Source: CGC – Major Importers of Canadian Grain 2013‐14 • Total selected markets = 4,558,100 MT’s• Total export volume = 4,824,900 MT’s

EuropepFoggia, ItalyBologna, ItalyLondon, UKFrankfurt, Germany

** **

CNMAWinnipeg, MB

South America

* * **

** ****

*** *

Santiago, ChileLima, PeruGuayaquil, EcuadorBogota, Colombia

***

**

*

Middle East / North AfricaCasablanca, MoroccoAlgiers, AlgeriaTunis, Tunisia

South East AsiaTokyo, Japan Osaka, JapanSeoul, Korea Beijing, ChinaShenzhen, China Jakarta, Indonesiai i l l i

*

Tunis, TunisiaDubai, UAE Singapore, Singapore Kuala Lumpur, Malaysia

HCMC, Vietnam Bangkok, ThailandManila, Philippines

G OW lEXPORTER 

GROWER ORGANIZTIONS Cereals 

CanadaORGANIZATIONS

CGOEA

ITAC, WGEA

ResearchResearchCi iAAFC, AAFC, 

WGRF, CDC, WGRF, CDC, GRL PrivateGRL Private

Crop Life Science/Seed/ Inputs

Cigi

AB Wh t C i iRegulatoryCFIA, CGC,

Health Canada

AB Wheat CommissionSaskWheatMB Wheat and Barley Growers Assoc’n

HANDLERSGROWERSINPUT

TRANSPORTERSEXPORTERS PROCESSORS

GROWERSCUSTOMEREnd Use products

INPUTSUPPLIERS 

Seed, fertilizer, crop protection

WHEAT VALUE CHAIN

Cigi Serving the Value Chain• Independent organization (1972)• Approximately 40 staff in Winnipeg

Cigi – Serving the Value Chain

• Approximately 40 staff in Winnipeg, Manitoba; have served over 42,000 program participants

Providing a one stop shop of technicalProviding a one‐stop shop of technical expertise, experience and knowledge about Canadian field crops to the entire value chain through:value chain through:

• Educational/customized programming• Technical knowledge of 

customer/country requirements and / y qpractices

• Applied research• Delivering a uniquely Canadian 

experience

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Cigi:Working for the Value Chain

Our Funders

Cigi: Working for the Value Chain

Our Funders• Western Canadian farmers                                 

(15 cents/tonne of wheat)(15 cents/tonne of wheat)

• Government of Canada                          (Agriculture and Agri‐Food Canada)(Agriculture and Agri Food Canada) 

• Industry partners

Cigi’s Vision and MissionCigi’s Vision and Mission

• Vision – Global recognition of Canadian grain and field crops as the preferred choice for end‐use product applicationsuse product applications.  

• Mission – To increase utilization and valueMission To increase utilization and value opportunities for Canadian grain and field crops:– through superior knowledge, technical expertise, 

industry leadership and collaboration, innovative processing solutions and targeted training. p g g g

New Cigi Organizational Chart

Cigi Board of Directors M. MacKay (Chair) H. Van Ankum (vice Chair) J. Wilson (Secretary)

B. Watchorn - R. Nerland - R. Johner - L. Yakielashek

Chief Executive OfficerJoAnne Buth

Executive Assistant Patricia Le Sann

Director CommunicationsHeather Johnson

Chief Operating OfficerDave Burrows

Chief Financial OfficerMarcello DiMarco

DirectorInternational Markets

Lisa Nemeth

Director Value Chain Relations

Dean Dias

DirectorGrain Quality

Elaine Sopiwnyk

Project Managers PulsesHeather MaskusPeter Frohlich

ManagerBusiness Development

Rick Morgan

Head Asian Products &

Extrusion TechnologyEsey Assefaw

Senior Advisor Technology

Ashok Sarkar

Head Baking Technology

Yvonne Supeene

Technical Specialist Milling

TechnologyJuan Carlos

Arriola

Head Analytical Services

Kristina Pizzi

Cigi Serving the Wheat Value ChainCigi – Serving the Wheat Value Chain

Effective laboratory andEffective laboratory and pilot facilities to

demonstrate and evaluate the end-use suitability of Canadian

field crops

Cigi Serving the Wheat Value ChainCigi – Serving the Wheat Value Chain

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International MarketsInternational Markets• Focussed on the value chain and market driven• Market analysis study on wheat and durum (with Cereals Canada) – early August

• Priority setting with Cereals CanadaTraining and technical support:

– Investigative missions – technical exchange – technical mission – new crop missions – requests for service ‐ fee for serviceservice

– Millers, bakers, noodle & pasta makers, quality labs– Technical projects as needed to increase utilization in the p jmarket

Grain QualityGrain QualityProjects:A i i i li• Agronomic practises impact on quality

• Optimization of downgraded wheat• Winter wheat technical support and promotion• New applications for Canadian pulses and pulse 

illimilling• Support university research projectsQuality evaluation of CWRS and CPSR for new crop missions

f fFee for service testing for customers

Canadian Value ChainCanadian Value Chain

• Combine to Customer course for growersCombine to Customer course for growers• Canadian Grain Industry CourseC i i f i h dl i• Custom training for grain handlers, input suppliers, market support companies

• Liaise with Grower Commissions, CSTA, CropLife, WGEA, Cereals Canada, Canadian National Millers Association, federal and provincial governments

IssuesIssues

• Wheat classes – what does the customer wantWheat classes  what does the customer want and how do we provide growers with the best return?return?

• Need to consider customer use, current competitors competitive factors such ascompetitors, competitive factors such as freight, Tariffs, etc.C l ki i h i h• Currently working with winter wheat.

• What about CPS?  Need a market plan!

QuestionsQuestions

• How do we make sure the seed trade is awareHow do we make sure the seed trade is aware of market changes and needs?

• How do we ensure information back to the• How do we ensure information back to the value chain, especially breeders?Wh li i d ill h b i h• What quality testing needs will there be in the next year, 5 years, 10 years?

Cigi:Working for the Value ChainCigi: Working for the Value Chain