‘spot commodity contract’ means a contract for the supply of a commodity traded on a spot market which is promptly delivered when the transaction is settled, and a contract for the supply of a commodity that is not a financial instrument, including a physically settled forward contract.

the net forward position (i.e. all amounts to be received less all amounts to be paid under forward exchange and gold transactions, including currency and gold futures and the principal on currency swaps not included in the spot position).

The term spot contract is used in relation to commodities.

(l) firms which provide investment services and/or perform investment activities consisting exclusively in dealing on own account on markets in financial futures or options or other derivatives and on cash markets for the sole purpose of hedging positions on derivatives markets or which deal for the accounts of other members of those markets or make prices for them and which are guaranteed by clearing members of the same markets, where responsibility for ensuring the performance of contracts entered into by such firms is assumed by clearing members of the same markets.

Previously, in section 6(1)(c.3) of the Canadian Wheat Board Act, the corporation was provided with the power to establish a contingency fund in order to guarantee adjustments to initial payments to producers or to provide for potential losses from early payments to producers or from contracts for the purchase of wheat at a price other than the sum certain per tonne (such as cash purchases or the producer payment options).

We would request that the cash buying provision allow for forward-pricing contracts based on the pool return-out.