Feed wheat is still trading on the regular week after week and the value has remained relatively stable. Bids range from $4.60 to $5.10/bu picked up based on a min 58lbs and max 15% moisture. Nearby movement is still an opportunity, but we have seen some carry into 2nd and 3rd quarter of 2020. Milling bids for #1 CWRS wheat with 13.5% protein sit in the range of $6.25 delivered March, with $0.10-0.20/bu carry for Apr and May. Understanding your grain and its quality specs this year is the key to getting the most for your production.
As we continue to eat through the ample supply of tough, low test weight, low plump, high protein malt barley that didn’t make spec, the market values surprisingly remain steady. Similar to wheat, trades are occurring almost daily each week. Feed bids sit between $3.60 – $4.25/bu FOB farm in Sask and $0.30 – $0.40/bu higher in Alberta. In regards to malt, if you’re looking for quick movement, that’s going to be tough. Buyers are still asking to see samples so when it comes time to pull the trigger on pricing, you’re first in line for the opportunity. This week, $5.00/bu FOB farm has traded with Mar-Apr movement.
Flax prices remain sideways into the new year. Milling quality is $14.00/bu picked up with movement out until April, while #1 flax is $13.00/bu FOB. With the latest estimates in production, Canadian flax supplies will be limited. However, the lower supplies will not have the same price impact it did several years ago as Canada now accounts for less than 30% of the global trade according to analysts. There is heavier competition from Russia and Kazakhstan and small volumes from there have also started to arrive in China. There has been some business on new crop, indicated at $12.50/bu FOB with an act of God on milling quality for those who are starting to think about new crop acres. Yellow flax has had no major changes with spot prices at $16.00/bu picked up.
According to Statscan, the supply on chickpeas hover around 400,000 tonnes, which also includes this year’s production carryover of over a 100,000 tonnes. Overall, producers have been quiet on the selling side of chickpeas. Export demand has also been next to nil which has led to a standstill in the chickpea market. Large size Kabuli’s pricing hangs around 26 to 27 c/lb for larger size based off of a #2 quality. That price has not fluctuated very much in the last few months. Buyers have seemed content at buying at those levels. If acreage dropped 30% for this year’s crop with an average yield, supplies for the 2020/21 would still be enough to fill export demand.
The oat market has not really changed much over the last few weeks. Prices have been trading between $2.50 – $2.80/bu FOB the farm on good quality feed oats. The milling price has been trading around $3.00 to $3.50/bu FOB farm. The further south east you are, the better the price gets. There are also some good opportunities right now on new crop oats. If you are looking for the most current and up to date prices in your area, please call your Rayglen merchant.
There has been very little news on the canaryseed market as buyers continue to focus their attentions on cleaning up all the contracts they have previously booked. There are still some options for quick movement, around 28 cents/lb FOB farm with a high of 30 cents/lb FOB farm being difficult to find. In order to find that top end of the market, shipping will need to be out to April/May as that is our next major canary shipping time frame. Buyers have yet to come out with any new crop pricing for the 2020 crop year but if you have a value in mind be sure to put a firm target in by using our website or calling your merchant.
The red lentil market has had quite the rally since the being of December gaining 4 cents per pound. This is a big jump at a time of year when things are normally quiet. This rise in the market seems to be pushed by a few different factors: one is Turkey purchasing lentils, and the other is speculation on India’s supply. The major question remains, will the market continue or back off? Green lentils remain stable at 24 – 25 cents/lb FOB farm for #2 and 26-27 cents/lb Fob farm for #1 large greens. Small greens are trading at 21 – 21.5 cents/lb FOB farm depending on location. This market should be interesting to watch over the next couple of weeks.
As the market returns from the holiday season, we’re not seeing a whole lot of change in mustard prices. One thing remains though…. attractive new crop values. This is especially true for yellow mustard, which should get some attention. This week yellow is trading at 40 cents/lb FOB, brown is trading at 28 cents/lb and oriental sits at 23 cents/lb for Cutlass and a bit higher for Forge and Vulcan. Please call us about New Crop bids on all mustards. As well, seed has been booking for all varieties so please call your merchant for prices for certified and treated options delivered to your yard. There is nothing more important than starting your new crop off right using certified seed, especially with mustard.
Christmas and New Years have come and gone with nothing too remarkable to report in the pea market. Green peas have steadied and sit around that $11.25 -$11.75 FOB farm depending on location with most spots sitting at $12 – $12.15/bu delivered to plant. Maples ended the decade trending up in the last month, but since have seen a slight hiccup. Currently, maples are trading in that $9/bu delivered to plant. In the yellow market we have seen a little life. Some trading has been taking place at that $7 – $7.15/bu delivered into plant. Thinking ahead to new crop, we are seeing maple pea values around $9.00/bu FOB farm with an act of God. If you want to get ahead of the game, give us a call to set up some new crop targets.
Since early December canola has staged a price recovery which has been largely predicated on positive trade news between US/China. In general, this has buoyed the entire North American oilseed complex. The March futures contract is approaching seemingly stubborn $485/MT resistance level. This recovery has been welcomed and has prompted farmer selling with delivered bids well over $10/bu in both spot and deferred delivery months. There will be several market influencers moving forward, from US Middle East tensions, Meng Wanzhou’s extradition hearing and the upcoming USDA report on January 10th. Making a sale now and lifting some market risk may be a prudent play.
Soybeans continue to ride the wave of the “phase 1” trade agreement announcement. Granted the US/Iran situation did setback most markets, it appears that strength is back and market participants are focused on the fundamentals for now. Until USDA’s production reports this Friday, soybeans will likely be a weather market with all focus on South America. Local soybean bids are trading in the range of $9.75-$10.00/bu picked up on farm. Dry bean market will remain supportive well into the new crop contracting period, predicated on disappointing production levels this fall. Faba bean market is trending at historical average price levels. This is largely due to the traditional global faba exporters of Great Britain, France and Australia all coming back online as active global exporters. This places Canada in a 4th position within the globe and local prices reflect this. Look for #2 export quality in the range of $8.50/bu FOB farm and feed trading a little plus or minus either side of $6.00/bu picked up on farm.
Rayglen Market Comments are for informational purposes only. Rayglen Commodities and its agents or employees shall not be liable for any loss or damage suffered by any person as a result of reliance on any of the contents contained within these products, whether such loss or damage arises from negligence or misrepresentation or any act or omission of its agents or employees.