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Good day,
One of the things we as brokers/marketers are continually asked this year is “when do you think this run will end?” Unfortunately, our crystal ball is very cloudy currently. All we can do is relate to you the trends we have seen in the past few months and what seems to be the trends at this time. If you have been asking me this question over the last 18 months, I will have proved conclusively that I can’t foresee the future. We are always happy to give you our thoughts. This has been an amazing ride. The general trend seems to be always up with some crops outperforming others significantly. Oats are an example. Today we are at double some of the best prices we had ever seen until now. Anyone who said last March that we would see $10 oats in western Canada would have been called crazy. Just for a bit of context regarding world prices. Good quality milling oats are trading for 200 pounds/ ton in Great Britain. This works out to $5.80/ bushel CAN. (Sorry John this is just too valuable info to not share). As you can see there is room for a price correction no matter how high ocean freight is. And we are seeing oats moving in from offshore currently. The scary part of these prices is that they seem to be driving suppliers to charge unreasonable prices for next years’ inputs. I am not saying that your local fertilizer dealer is the bad guy here. He has no more control over his costs than you do. BUT someone is taking advantage. Just my thoughts. As mentioned we are seeing very strong prices. Milling oats $9.50 to $10, pearling quality barley was $9.50 to 9.80 - those bids have backed off. Feed barley 8.50 to 9.00. We are hearing that malt barley that has been rejected is starting to flood the feed market pushing the prices down. Feed wheat $11.50 to $11.75, Flax $36 to $42, yellow peas $17.00 to $18 (demand from the USA has been declining). These are just generalizations you need to give us a call, email or text with grading info and we can get you firm bids for your corner of the country. If we can help in any way with price discovery don’t hesitate to call any one of the marketers on the bottom of this newsletter. Until next month have a safe and happy Christmas whether you stay home or travel to a more exotic destination. Richard Chambers Marketer - Brandon, MB 204-729-1354 - Office 204-761-8320 - Cell richard@qualitygrain.ca Comments are closed.
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September 2023
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