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Rayglen Market Comments – September 21, 2022

The chickpea market has held up virtually sideways over the past couple weeks. There remains a pretty wide range of bids in the market, with some buyers showing 50 cents/lb and others showing 45 cents, so it’s best to look around for options right now. Most bids are not deep, but sellers are not aggressive, meaning markets are not getting overrun at this point. There are some smaller sizing problems showing up this year in certain pockets, but this has not been an overwhelming issue such as years past. Low acres and middling yields lend to the idea that prices will remain supported this year, but not all in the trade feel that way. We must remember the local market is a drop in the bucket in the wide world of chickpea supply, so only time will tell. For today, price levels are historically strong, but with rising costs of production, prices need to be historically strong. Taking the top off your sales today isn’t the worst move to take some market risk off your plate, but if you’re not looking to make a move like that just yet, please keep in touch on pricing levels throughout the marketing year.

Canola futures were down earlier this week and prices remain irregular again today. European canola futures along with some harvest pressure gave an overall weaker tone to canola this week. Futures dropped nearly $6/MT, but have found strength today, after Tuesday’s market closed. Delivered plant bids range anywhere from $17.80/bu for the nearby up to $18.15/bu out to December this week. Some analysts recommend being half sold on canola as there could be some more downside risk. Targets are a great way to try and push the market, so if you’re interested in throwing an offer up, let us know!

Flax markets remain much the same this week with bids still sitting in the $22.00/bu range picked up on farm. Russia’s flax crop makes for a cloudy outlook on Canadian exports as the Black Sea Region is expected to dominate in the world flax market again. The 2022 flax crop has reports of 1.5 million tonnes, up from 1.3 million last year, and Canadian flax prices are still above Russian values. This spread in value will discourage sales into China, a predominate purchaser of “cheap” product, while the US will likely have limited import needs. Today’s values need to be considered in your marketing plans.

Reports indicate the canaryseed harvest is roughly 45% complete as of last week, which is above the 10-year average. StatsCan has bolstered the canary seed yield thus increasing production to an estimated 157k tonnes, still below the pre 2021 average of 169k tonnes. As such, the price continues to hold steady for another week with bids firm in that 40-41c/lb picked up on the farm. Looking over this past year, it was one of the highest exporting years since 2010/11 even though it was one of the worst harvests on record. Underreport on farm stock continues to find its way into the markets. With what looks like a decent crop pulling in and prices remaining firm, it gives hope that maybe there is room for a bit of strength down the road.

The pea market has stabilized on less aggressive farmer sales and slowing of exports. Current yellow pea prices are quoted around $11.00/bu FOB, with potentially higher bids in Eastern Sask for pushed out 2023 movement. Green peas are sitting at $12.00 – 12.50/bu FOB farm, pending location, with lower grade/off spec product trading around $9.00 – $10.00/bu. Maple peas trades remain extremely quiet, with bids indicated at $13.00/bu FOB. The US pea crop has been reduced with yields not as bad as last year, but still a bit disappointing. This could lead to the US having to import more peas, according to some reports. Chinese fractionation markets continue to be one of the main avenues for Canadian peas, but more agreements being signed between China and Russia should eventually lead to Russia supplying the Chinese feed industry.

Wheat futures markets saw a bit of strength as uncertainties are still present around the Black Sea’s export potential according to reports. Late last week, we had indications on 13.5% pro #2 CWRS at $11.20/bu delivered, which captured a few trades. Growers interested in these types of values are encouraged to reach out, even if protein is on the low end as there are options available with slight discounts. Soft white wheat has been trading recently as well, with bids sitting around $9.50 – 10.00/bu FOB, based on the wheat being heavy and dry. Durum prices came up a smidge with $11.50/bu delivered being shown on #1 product in some locations across the province. We may also have an opportunity in southeast Sask to get a premium on good quality durum, so speak with your merchant for more details.

Barley markets come without much change this week and continue to carry some great values to push product into. Although quick movement on the feed side of things is becoming less and less attainable, there is still some spot purchases happening for that Oct – Dec delivery timeframe. Those that can hold on to product for a while, firm targets are triggering between $7.00 and $8.00/bu with the latter values most prevalent in western Sask and Alberta for Jan – Mar 2023 pickup. Malt barley remains somewhat quiet on the forefront, but indications of $7.50/bu and up depending on variety, timeframe of delivery and location are still seen from time to time. It seems that your best bet is to call in with your specs and place some product on firm offer to get the most attention. We continue to see some all-time top market values being purchased, so if you are wavering on the decision to sell or not, we think getting even a small percent sold is a good move.

The oat world continues to be a mixed topic of discussion this week as most purchasers remain unaggressive in the search for product. Reports of bolstering yields and previously contracted product seem to be the main reason for the lack of general bids and/or purchasing. However, there are some sporadic, above market bids for limited tonnage that have popped up for relatively quick movement. Today, good quality, glyphosate free oats are triggering in that $4.00 – $4.25/bu FOB farm range for Oct – Nov delivery. This bid doesn’t seem too deep, so if you have product you’re looking to move, we suggest calling now. Feed oat bids sit right around $3.50/bu picked up for heavy product and remain in light trade. It’s hard to picture what the future is going to hold for oats, but we would highly suggest moving some product into the values that are being posted right now. Even if you think that the price is going to go on a run, getting some of this product locked up to create some movement and cash flow is a smart move right now, as market signals suggest a bearish tone this year.

Lentil market pricing remains similar to last week with virtually no change in demand parameters. Buyers are still showing the most interest in purchasing large green, small green, and French green lentils, while red lentil bids and demand remain stable, but relatively quiet for this time of year. Large greens are trading at 45 cents/lb FOB farm for October movement, small greens at 42 cents FOB farm, and French greens have traded as high as 75 cents on offer. French green buyers are only looking for a number one quality, so if this sounds like the product you’ve got in your bin, please let us know! French green buying seems to be hand to mouth as most sales are for October movement with very few buyers looking to purchase product for further out delivery. As for market news, not much is being reported at this time, but with the 2022 Pulse & Special Crops Convention this week in Niagara Falls, we might hear some new information that will help determine market direction toward the end of this week or early next week.

Today’s mustard prices remain very strong as buyers rebuild inventory. This week, we are getting a better overview of yields province-wide rather than just certain areas. We also saw StatsCan did lower its yield estimate to a more realistic ballpark of around 730/lbs/acre, which feels like a much more reasonable number to us. As the pipeline fills, will prices start to show weakness? Perhaps, but we think this is something to keep a close eye on as we creep into October. For now, values continue their aggressive tone with yellow priced around $1.10/lb, brown quoted at $0.98/lb and oriental is still being looked at for $1.00/lb, all picked up on farm based on a #1 grade. Lower grade mustard still has aggressive bids as well and we think this is a great opportunity to lock in lower spec, especially if the #1 price does start to pull back at some point. We still have some quick shipping options available on all types and grades of mustard, but buyers need to see samples, so we urge growers to get them submitted as soon as possible.

Global competitive pressures are creating headwinds for Chicago soybean futures. Argentina is offering its growers a currency manipulated stimulus which has spurred farmer selling despite an otherwise inflated Peso. This occurs rather untimely for the US grower during what is commonly a robust export season. Local bids are location dependent and range from $17.00-$17.50/bu FOB farm. The market is expecting lower new crop dry bean supplies both north and south of the border due to lower planted acres. Typical harvest delivery pressure is affecting local bids, but tighter supplies are anticipated to prop up that market in the longer term. Canadian faba crop volume and grading pattern will reveal itself over the coming months. At this point, lower volume and quality are expected due to a sharp drop in planted acres coupled with a later planted crop. Aussie faba production is expected to drop from last year’s levels, but still sit above the 10-year production average. Export faba bids are in the range of $13.00-$13.50/bu FOB farm and feed quality values are near $9.50-10.00/bu FOB farm, location dependent.

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.


Rayglen Market Comments – September 14, 2022

StatsCan reduced its Canadian canola production forecast to just shy of 19.1 MMT. A bounce back from last year, but by no means a bin buster with yields falling short of trend line yields. Couple that with lower carry in supplies from last year, and a forecasted recovery in global veg oil markets, Canadian supplies are likely to remain snug. Locally, harvest basis values have been attractive and perhaps indicative of longer-term tighter supplies. Local bids are location dependent and range from $17.35-$17.75/bu FOB farm.

After a big run up following the USDA report and soybean yields coming in below expectations, it has been countered by the potential of a large Brazilian soybean crop. The futures market now sits roughly with a net 50¢/bu up from Monday’s open after today’s losses. Local bids are location dependent and range from $17.00-$17.50/bu FOB farm. The market is expecting lower new crop dry bean supplies both north and south of the border due to lower planted acres. Typical harvest delivery pressure is affecting local bids, but tighter supplies are anticipated to prop up that market in the longer term. Canadian faba crop volume and grading pattern will reveal itself over the coming months. At this point, lower volume and quality are expected due to a sharp drop in planted acres coupled with a later planted crop. Aussie faba production is expected to drop from last year’s levels, but still sit above the 10-year production average. Export faba bids are in the range of $11.00-$11.50/bu FOB farm and feed quality values are near $9.50-10.00/bu FOB farm location dependent.

Barley continues to catch strong values that should be considered in marketing plans this week. Current feed barley pricing shows quite the range pending shipping period, but many trades are taking place between $7.00 – $7.50/bu FOB farm. These types of values have been popular amongst growers and although delivery windows are pushed out a bit, the majority seems to be moving before the new year. For growers needing bin space and/or cashflow within a couple months, or even a couple weeks, opportunities are available, albeit values are discounted. We cannot stress enough that these types of bids should be strongly considered. If you take the 5 and maybe even 10-year average, today’s values are well above and are nothing to shy at. We are starting to see some traction on the malt side of things as well, so if you have had your product tested and are looking to contract, or need it sent away for specs, please call. To date, it is hard to determine what is going to be out there for supply into the malt chain, however, it seems we may end up with some better quality malt than initially anticipated. Firm offers and targets remain a great way to grab buyer attention, so if you are seeking anything over quoted values, let us know.

Oat markets are not necessarily at a stand still, rather, better pictured as a turtle this week. We continue to hear some phenomenal yields being pulled off and buyers are hearing the same thing. Although quick shipment is getting tough to come by, there may still be some opportunities available with prices wavering around $4.00/bu delivered for October. Add another $0.25 for Nov – Dec and another $0.25 well into the new year, quoted as April forward. Recently added interest in feed oats puts values right around the same prices as milling oats if they are heavy and dry. It is not uncommon to see oat purchases taper off around harvest time as buyers wait to see what available supply will look like and make their own plans. Sitting somewhat on the outside and looking in, at this point, it’s likely a fair assumption that these values are not going to be “running up the mill” anytime soon based on yield reports. If you can capture some of this earlier pricing, we suggest considering getting a certain percent sold, clear up some bin space, and get some cashflow back onto the farm.

Reports of reduced mustard yields roll in mainly attributed to intense late season heat and grasshopper pressure weighing on crops. That said, it is expected that ending stocks will still bounce back to some extent based on quite a large increase in acres. Right now, prices remain historically high for all grades of mustard, and growers should be looking at sales closely. Yellow is priced around $1.10/lb, brown sits around $0.96/lb and oriental is quoted at $1.00/lb, all picked up on farm based on a #1 grade. We still have some quick shipping options available on all types and grades of mustard, but buyers need to see samples, so we urge growers to get them submitted ASAP. Lower grade mustard is also priced favorably and worth looking at if you still have off grade in the bin and/or this year’s quality isn’t spectacular. This market could pull back a little once more farmer selling starts happening, even with the yields being reduced.

News in the Canadian flax market this week was that Sask Ag lowered its provincial yield by a bushel per acre, dropping to an estimated 23bpa average. This decrease may not affect price a whole lot as StatsCan’s estimated the ending stocks at 85,000MT, which was higher than first thought basis record pricing highs last year. We will have to wait and see if this gets adjusted once final numbers are in for the year. The larger carry out number is not the only problem. Russian and Kazakh flax is shipping cheaper into China, while the US market has an increase in acres for the 2022 crop year, presumably dropping some need for Canadian product. At this point in time, our two largest trading partners can find cheaper product elsewhere keeping a lid on Canadian values. However, bids are still in the $21-$23/bushel range this week and remain a historically high price for flax. If you’re thinking of selling, this may be a good time to strike as early market information suggests a bearish tone for the marketing year ahead.

Chickpea markets are sideways for another week with price indications around 48-49 cents/lb FOB farm. With stronger global markets and lack of Canadian selling due to lower-than-average yields, prices are likely to stay firm over the next while. Indian Kabuli prices have softened, however, Turkish prices remain firm despite a fresh harvest. This could indicate solid markets for Kabuli’s going forward. With mixed yield reports in Saskatchewan, there could be an adjustment on the next StatsCan report. This would bring supplies considerably down from last year further adding to a bullish view. Reports of the Mexican Kabuli crop also suggests supplies could be limited. All in all, chickpea prices are likely to be supported as we head into the new year.

The pea market has been interesting this week as a bit of a shift back to historical prices balance came about. For the first time in a while, we are seeing green pea prices above yellow pea prices. Yellow peas have been at a premium with the advance of the protein market since last fall, and this week, finally, greens have regained a bit of the premium they usually carry. Unfortunately, the premium doesn’t really develop from a strength in green pea price, but rather a weakness or indifference to yellows as buyer bids have quieted down and markets are cold. Current pea bids are at $11 to $11.50/bu on yellows, while greens peas can capture bids closer to $12/bu picked up on farm. If you have greens with a higher bleach count, we have buyers with interest around $10/bu depending on location. If you are a maple pea grower there is buyer interest at $13/bu or better picked up on farm pending variety and location. Maple buyers are specific on which varieties they’re after, so please have this information ready!

Lentil estimates from Sask Ag show a significantly lower yield versus StatsCan’s July report with a difference of roughly 330lb/acre. StatsCan is due to release an updated vegetation image from Aug sometime today. Either way, our lentil crop lb/acre will be lower than what was anticipated. Bids seem to be relatively supporting the market as producers haven’t over sold pushing prices down. Red lentil bids continue to receive the least amount of attraction due to the majority of farm stock red in nature with competition coming from Aussie crop and Indian rabi crop. Bids sit around 30-31 cents/lb picked up on the farm for Sept-Oct movement. Now things get a bit more interesting when dealing with green lentils. US harvest yield is better than last year due to increased acres, but still below the statistical 5-year average lending support to the green market. Small green lentils continue to hold at 40-41c/lb picked up on the farm with large greens priced around 43-44c/lb picked up; targets slightly higher may be looked at on a case-by-case basis. On a side note, we have seen buyer interest in French green lentils around 72-75c/lb picked up on farm, so if you are looking to move some, give Rayglen a call.

Canaryseed prices remain solid this week, currently sitting around the $0.39-$0.40/lb mark for relatively quick shipping. Growers looking to push that value higher may be able to attain $0.41/lb FOB farm on firm target for later movement in the November/December timeframe. Yield reports from the west side of the province are very mixed and seem under average at this point. Dry areas still under drought pressure have been the culprit for below average yields on a whole as those pockets continue to suffer from terrible yields. Now we will start to see some yield reports come in from the east side of the province as they start into canary. This, we suspect, will help pick up the yield average as some of those crop looks fairly big. Give us a call about that offer if you are looking to move some product.

Wheat markets are still speculating on possible quality issues as harvest starts to wrap in some areas. It’s still a bit too soon to tell how widespread any actual damage might be, but the buzz is about fusarium and ergot. Globally, there are rumors that Russia will have logistical challenges with not being able to supply railcars for movement, and this could have an effect on China’s purchasing power out of North America. Despite talk of tight supply, prices maintain for another week. Bids range from $11.00/bu delivered into central SK this week, while feed wheat shows bids around $8.50-$9/bu depending on area and freight costs. Durum markets still have a low tone for the 4th quarter, but if quality issues come to fruition, we could see some value on milling quality in 2023.

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.


Rayglen Market Comments – September 7, 2022

Soybean futures are under some pressure due to US crop condition scores and reduced Chinese imports. US soybean crop is currently rated at 57% good to excellent, with much of the critical crop development phase behind us. Chinese soybean imports are running 25% behind last year due to lower livestock production and weak crush margins. Local bids are location dependent and range from $16.75-$17.25/bu FOB farm. The market is expecting lower new crop dry bean supplies both north and south of the border due to lower planted acres. Typical harvest delivery pressure is affecting local bids, but tighter supplies are anticipated to prop up that market in the longer term. Canadian faba crop volume and grading pattern will reveal itself over the coming months. At this point, lower volume and quality are expected due a sharp drop in planted acres coupled with a later planted crop. Aussie faba production is expected to drop from last year’s levels, but still sit above the 10-year production average. Export faba bids are in the range of $11.00-$11.50/bu FOB and feed quality values are near $9.50-10.00/bu FOB farm location dependent.

Wheat markets show signs of life this morning after Russian President Vladimir Putin spoke to the press. Futures values are showing double digit gains after Putin suggested that export corridors were not reducing food costs as intended, but instead were benefiting their enemies. We’re sure much uncertainty and/or worry lingers around those remarks, but according to reports, Ukraine is still shipping product safely under the protection of the UN and Turkey. Bids today on #1 CWRS hover around $11/bu delivered plant with CWRW and CPS showing roughly 50-cent and 75-cent lower bids respectively. Values on all three fluctuate a few pennies pending location and delivery window. Feed wheat bids remain around $9/bu with demand and actual trade light this week, but if you have product you’re looking to move, please don’t hesitate to reach out.

Chickpea harvest is underway, and buyers are keeping a close on eye on quality and yields. We are receiving more of the typical calls from growers on where values sit today, but see little to no contracting happening, suggesting growers are bullish. Seems everyone is playing a game of chicken with chickpeas, and no one wants to flinch first. Global markets remain steady with strong exports out of supplying countries. Canadian supply demand is still relatively slow with a few outliers looking to fill positions. Current bid is $0.49-$0.50/lb FOB farm for #2 Kabulis and freight sensitive. Feed/sample values maintain tone at $0.30/lb.

Pea harvest has been trucking along with mainly favourable harvest conditions, but some concerns have been brought up suggesting higher temperatures are causing more splitting. Ukraine’s pea harvest has been reduced; however, Russia’s is expected to be quite large, and reports show they have been exporting. As mentioned before, Europe is going to need a feed supply due to their corn crop failure, but Canadian product is still priced too high to meet those needs at the moment, so for now we play the waiting game. Current bids on yellow peas are indicated at $11.00 – 11.50/bu picked up with the latter getting tough to find. Green peas are priced around $11.00/bu and maple peas remain quoted at $13.00/bu, both picked up on farm and in light trade.

Oat markets remain a topic of little discussion throughout the buy side over the last couple weeks. We continue to hear above average, to down right “bumper” yield reports as harvest progresses and we suspect the price is going to reflect on those numbers. Bids for a #2 CW are floating around that $4.00 – $4.50/bu range pending location this week, but these do not appear to be deep bids. Feed is not far behind sitting in that $3.00/bu range. We assume buyers are also hearing some of these yield reports and are not pushing to lock in major tonnage given the overall supply that appears to be coming our way. If you are on the fence, but are considering a sale, pushing product into these values now is suggested as these prices will likely continue to drop off in the coming days or weeks. Stronger values may be seen for push shipping windows into the new year, so be sure to explore those options if movement isn’t a necessity at this point.

Barley continues to capture some great pricing in feed and in some cases malt markets. Although feed barley pricing has fallen off a bit from last seasons highs, historically the value it brings is still good, if not great. If you are looking for prompt movement, bids range around $6.00/bu. If you able to sit on it for a month or two, values perk up quite a bit, now sitting around $7.00-$7.50/bu. Finally, if movement isn’t a concern, growers willing to take Jan – Mar delivery time frames should call the office to discuss their options as there is potential for some better pricing opportunities. All bids are area dependent and quoted as FOB farm. Maltsters are quieter this week compared to only a short while ago, but the odd opportunity is popping up. Desired buyer shipment seems to be early – mid 2023, and if this sounds like it fits your needs, get your samples into the office so we can have them reviewed. If you are looking for anything above market on either feed or malt, we highly suggest calling in and placing a firm target. Let us do the work for you.

Flax movement has been slow to start the new crop year. Prices are hit and miss around $22.00/bu picked up this week and demand remains subdued. The slow start likely reflects softer demand coming from overseas and the US and although Canadian supplies were tight with little to no carry-over, the overseas market was not experiencing any shortfall in supply. Russian flax into China has been well established and it will become more difficult for Canadian flax to regain some of that market share. The spread between European and domestic on farm flax values are now within a reasonable range and the hopes are that this could help renew demand. This is good news, but we must keep in mind that prices are likely to remain sideways or possibly drift lower at this point to continue to align with European needs.

The canary market values have slipped off a little for the nearby as sales hit the books this week. Current bids to move canary prompt have slipped down to $0.39/lb for many buyers with bids around $0.40/lb for shipment pushed out to Christmas or beyond. The stocks seem to be very tight as we move into the new crop, but we are still being shown product that is carryover from previous years in the recent weeks, so there still seems to be hidden stock. Expectations are that this year’s crop will not be a big yielder as large amounts of canary are grown in some of the driest areas of the province, but later harvested crop further east in Sask should bolster the yields. Millet stocks in US look tight, so that coupled with low carryover and weaker crop should keep prices supported throughout the crop year once again.

Mustard prices remain very strong for another week and seem to be shrugging off any harvest pressure at this point. That said, as the pipeline fills and contracted mustard is picked up, we may perhaps see some slip in prices as immediate needs are filled, but so far, solid pricing remains for all types. This week we see grower offers on yellow mustard creep above the $1 mark with trades taking place in many instances depending on your movement needs. Bids for September/ October shipment show brown mustard sitting in the mid 90 cents/lb range, while oriental continues strong at the $1/lb mark again this week. If you have freshly harvested mustard, contracted or not, call us to arrange grading or to obtain a sample address and get them submitted as soon as possible as shipping has been quick. It’s important to call us and discuss a marketing plan to book your un-contracted mustard as well to obtain maximum values and/or suit your needs.

Canola is taking a beating in the market again with futures falling under $800/mt for November. Overall, pricing has decreased steadily since the spike in May when bids topped out at $1225/mt range. Still, the market continues to see historically strong bids even with harvest pressure, as the bulk of the canola crop is set to be pulled in over the next couple of weeks, presuming the weather continues to hold. Buyer bids range around $17.65/bu in west SK with southeastern SK bids bottoming out at $16.20/bu at time of writing for Sept/Oct delivery.

Lentil markets seem to be stable for another week with specialty lentils gaining more interest than traditional lentils. Large green lentils have not changed much from last week with #2 quality trading in that 43-44 cent/lb range FOB farm. Small greens show values around 39-40 cents this week, but targets at 41 may be looked at. Buyers seem to be looking for green lentils quite consistently, but not willing to push values much higher, suggesting the market has found a comfortable position at this point. Red lentils are trading between 30 & 31 cents FOB farm depending on location and buyer, with the latter getting tough to come by as some buyers start to fade bids slightly this week. Reds are continuing to see pressure from cheaper foreign sales and supply from around the world. As mentioned above, specialty markets such as French green lentils are showing strength and strong demand. Bids are being shown around 65-70 cents on French greens today, but sellers may be able to push this market and additional cent or two by having firm targets set. If you have any of these products in the bin, you may want to consider selling a percentage of your production at these levels.

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.


Rayglen Market Comments – August 31, 2022

The flax market has been quieter in recent weeks with bids tapering off due to Russia and Kazakhstan filling sales into China, while European and US buying slows. Current bids show $22/bu picked up on farm in most areas, in very light trade, with buyers purchasing hand to mouth and growers remaining bullish, willing to hold on in hopes of better days to come. Recent StatsCan numbers are suggesting that this will be the largest yielding flax crop in the last 6 or so years, but these projections are largely based on July vegetation maps and don’t take into consideration grasshopper pressure and more recent hot/ dry weather seen throughout August. Subsequent StatsCan reports may adjust yields down a little from the recent 25bu/ac assessment as the harvest continues. There are some suggestions that the lower prices we see today are more in line with what the European market is looking to pay. This could spur some additional business if farmers decide to move at these levels, but with the bins still mostly empty and flax out in the field we will have to wait and see how this plays out as harvest continues.

The pea market has seen very few changes as we head into September. Yellow peas remain at $11.50 – 12.00/bu picked up, with the latter getting harder to find. Buyers have also started pushing movement out into October – November, suggesting they’ve filled nearby delivery slots for the most part. There are a few stragglers looking for product immediately, so if you’re in need of bin space, now is the time to act! Shifting gears to green peas, bids are quoted in the $11.50/bu picked up range with some September movement still available. Make sure you get your samples checked for bleach and/or grasshopper residue before marketing as we have seen these issues pop up already. Maple pea trades remain on the sidelines with sporadic bids around $13.00/bu picked up not enticing sales. As mentioned last week, it is still important to note China is only buying Canadian peas into their fractionation market at these values, while their feed market will likely be covered by Russian supplies. Our prices are also too high for other price sensitive buyers, so we will have to see what this marketing year holds for export options.

Canary seed didn’t see any additional acres planted this spring according to the latest StatsCan report and although there will be improvements in yield, supplies will still be tight, especially when paired with a small carry-over.  Prices for canary seed have been fairly flat the last few weeks in the 40-41 cent/lb range picked up, with opportunities for prompt shipping available. Argentina is also reporting a smaller crop, 8% less compared to last year, which should be supportive to the market on a whole. Millet acres in the US are expected to be lower as well and it is still unknown if a bounce in yields year over year will be seen as there is reported dryness in Colorado, a big millet growing area. Between reluctant farmer selling and patience in buyer purchasing, the market is expected to be stable going into winter months.

Wheat production for 2022 is expected to see record numbers according to the latest StatsCan report, but we must keep in mind this report is based on July vegetation maps and things may have changed since. After a drought year, production was estimated to increase by 55.1%, making this wheat crop the third largest on record according to analysts. Real production numbers may fluctuate as actual yield reports start to hit the books. Heading into 2022 harvest, the pipeline was fairly empty, and the size of the Canadian wheat crop hadn’t begun to weigh on futures yet, so if these projections are anywhere close, we suspect prices will soften. Durum bids are mostly sub $12.00/bu delivered this week, but there might be some opportunities left for those willing to act now. Milling quality HRS has been hovering just over $11.00/bu delivered into Central SK this week, while feed wheat shows bids around $8.50-$9.25/bu depending on area and freight costs. One thing that could be concerning this year is fusarium, so make sure to get your samples checked before marketing to avoid surprises.

Canola futures are showing losses near $6/MT this morning on both November and January contracts. Weakness has mostly been attributed to a generally softer tone in soy markets and crude oil prices according to analysts. The market should find some support from a weaker Canadian dollar, making canola cheaper to purchase on the world stage. Today, 2022 delivered plant bids still sit in a comfortable range of $18.20/bu – $19.20/bu pending location and month of delivery, while values for early 2023 shipping do show a small carry. For those who need product picked up on the farm, we are able to work bids that reflect an “at the bin” value, so don’t hesitate to reach out. As mentioned in previous reports, we still have buyers looking to secure September 2023 deferred delivery production contracts near $18/bu delivered.

StatsCan chickpea projections are boasting a large yield for the coming season, but it’s worth noting those assumptions are based on July conditions. On the ground reports and recent weather conditions have the expected average yield closer to 20bpa, which would give a better outcome compared to last year, but not a bumper crop. This all remains to be determined. Trade on a global level has been strong and steady with India maintaining a stable export program, which is holding up prices domestically. If that tone continues, it could draw out their production quicker than expected and keep North American values firm as buyers look to our supply. Bids this week remain unchanged once again, ranging from $0.47-$0.50/lb FOB farm, pending locations, with sample grade still quoted at $0.30/lb. Harvest has just started to kick off for chickpeas so we wait patiently for updated info. from growers. Call if you have time to provide some insight from your perspective.

Mustard prices remain steady this week with only slight differences in value seen from multiple buyers, suggesting the market has found its trading range as harvest continues… for now anyway. As we all know, yield reports are all over the place depending on area, with both Canada and the USA showing some drastic differences throughout their grower regions. In Saskatchewan particularly, yield averages should pick up as growers in the southeast start mustard harvest. It will be interesting to see how prices play out as the pipeline is re-stocked and this continues to be a question on a lot of grower’s minds. At this point it seems markets should remain firm with buyers showing strong demand predicated on poorer than expected production numbers. Bids for September/October shipment show brown mustard sitting in the mind 90 cents/lb. range, while oriental and yellow are both quoted around the $1/lb. mark. If you have freshly harvested mustard, contracted or not, call us to arrange grading or to obtain a sample address for your contract and get them submitted as soon as possible.

Canadian crop production numbers on oats are reporting almost double year over year and the value in the market is reflecting that change. Bids for a #2 CW quality are floating around $5/bu delivered into plants or $4-4.50/bu FOB farm depending on the location. Buyers are not anxious to build to large a program based on that value and have been very hand to mouth when it comes to purchasing. Feed oats are ranging from $3-$3.50/bu FOB farm with little to no trades. The spread from feed to #2 quality is so tight that it leaves a lot of questions on where this market could possibly go. Call if you wish to brainstorm marketing options.

Buyers have started sharpening up their pencils on barley today as demand seems to be picking up for shipping before the new year. Bids range from $6.50-$7.25/bu picked up on the farm with the latter in Southwest Sask. for Oct.-Dec. movement heading to feedlot ally. If you are looking for some quick movement it’s getting a bit tough to find due to current harvest pressure, but there is the odd buyer willing to entertain prompt shipping offers usually at a price discount. Offers are a great way to get your product out there to let potential buyers know what price and movement you are looking for, so give your Rayglen merchant a call.  The malt market seems to be showing some demand, but generally, trade remains quiet. Growers may be able to catch values around $8/bu FOB farm or better pending location and delivery window on many different varieties which should entice some sales considering the spread to feed – call to discuss your options.

Lentil markets seem to have settled down this week with no major changes to report. Small reds lentils are still trading in the 31 cent/lb range FOB farm, with most buyers still offering movement by the end of September. Large green lentils remain in demand and priced from 42-44 cents/lb FOB farm depending on the buyer with prompt shipping likely attainable. Small green lentils are a similar story with a good handful of purchasers in the market quoting values on the low end at 39 cents/lb to 41 cents/lb on farm at the high end in many cases. Buyers are also looking for Medium green lentils, which are predominantly grown in the USA, around 30-31 cents/lb USD. If you’re a Canadian producer with medium greens in the bin, values are likely going to be in the low 40-cent range CAD. These are all great opportunities to secure historically strong values with quick shipping options. With quite a range in pricing between buyers it pays to give us call as we can do all the leg work to find the best value while you focus on getting the crop into the bin.

Recent soybean market setbacks are being attributed to technical selling and profit-taking along with the likelihood of a record-breaking Brazilian crop this coming season. Local bids are location dependent and range from $17.25-$17.75/bu FOB farm. Lower dry bean planted acre forecast continues to be supported by analysts and statisticians. A forecasted reduction in dry bean available supplies continue to support both local and global prices. Global faba market is forecast to be driven by both Australian and European supplies. Our domestic market is anticipated to be largely driven by local feed values. New crop faba bids are showing up around $11.00-$11.50/bu FOB farm for a #2. Old crop feed faba bids are near $9.50-10.00/bu FOB farm location dependent.

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.


Rayglen Market Comments – August 24, 2022

Reported pea yields are far from spectacular thus far but aren’t detrimental to production numbers on a whole either; it is expected that values won’t change much over the short term. We are also experiencing the predictable seasonal downturn as harvest progresses and more product comes to market. This has growers looking for prompt shipments for bin space and cashflow, allowing bids to cool. Current yellow pea indications range from $11.50 – 12.00/bu picked up with most shipping windows pushing into September – October now. Green peas are indicated around $12.00/bu as well, while maple peas remain in the $13.00/bu range, both picked up on farm. We’ve had reports of grasshopper residue downgrading peas this year, so we encourage growers to get their samples checked for quality before marketing if you have concerns. It looks like our only option for exports to China continues to be the fractionation market as our prices can’t compete on the world stage into the feed industry. This will affect our overall exports numbers to China this marketing year and will be something to factor in when making marketing decisions.

­Barley markets continue to show opportunity for strong sales as harvest progresses this week. Although delivery windows are starting to be pushed out to that September – November time frame, there is still some purchasing happening for prompt shipping and we encourage growers to act now if they need the bin space. Values range anywhere from $6.25 – $7.00/bu FOB farm depending on the area and timeframe of delivery. Even though it’s still a bit to early to tell what the feed supply will look like this year, pushing some tonnage into these historically strong values make sense. Take some early cash flow, clear some bin space and take solace knowing you’ve made a good sale; how many times have we seen $2.50-$4.00 feed barley? The malt side of things remains rather skittish with most purchasers hoping to secure product for the Jan-Mar timeframe around $7.00/bu FOB for good quality malt. If you have specs on hand and are searching for a better dollar figure, we highly suggest calling in and placing your product on a firm target. Buyers continue to show interest in targets and if nothing else it indicates where they need to be to purchase.

Pricing stayed flat, but strong this past week as hot, dry weather has advanced mustard harvest on the west side of the province. The US is also reporting a strong harvest pace, with a lot of mustard coming off this week, but yield reports are all over the map. One thing is for sure, even with lowered yield expectations even compared to only a couple of weeks ago, the US appears to have seeded a record number of acres – by a huge margin. How this will play out is yet to be seen, but growers need to be aware of this. Will this hurt our exports to the US as they fill needs with tonnage of their own? Likely…but other factors need to be considered as well, so it will remain a waiting game until we see how demand and final production shake out. Mixed yield reports seem to be a common theme this year regardless of Canadian or US crops, as similar accounts are being heard throughout Saskatchewan and Alberta as well. Bids this week are as follows for September to October movement: brown mustard is sitting at 88 to 90 cents/lb, yellow sits around the 99-cent mark, and oriental at the 100-cent range. If you have freshly harvested mustard, contracted or not, call us to arrange sampling or get an address to send your sample in as soon as possible for your contract.

Flax markets remain quiet for another week, with firm bids indicated around $23.00/bu FOB farm in most locations. We could see some less than average yields this year with dryness in some areas and excess moisture in other areas, but that likely won’t have an impact in pricing. For Canadian flax to have a greater presence in global markets, prices likely need to soften more. With increased volumes of flax in Kazakhstan and Russia, the EU and Chinese market are finding the volumes they need. To become competitive with the overseas markets, Canadian flax must be priced more attractively at this point. This theme likely won’t change even if our production is low again.

There has been little to no change in the oat market this week compared to last, as pricing remains steady around $4.00-$5.00/bu delivered into Manitoba and eastern Saskatchewan, with local bids into central Sask hovering around $3.65/bu delivered, all basis a #2 milling oat. Buyer appetite has been suppressed and now a slight amount of early harvested product is starting to trickle into the plants. Between rain in north central and eastern Saskatchewan, harvest will continue to progress and more product will become available and shipped. So far, there doesn’t seem to be any concern on quantity, with early reports of strong yields rolling in. Quality seems to be adequate as well, which likely takes away even more urgency to purchase. As such, bids continue to maintain pace for now, but we could see softening once oats are in full harvest swing.

Over the last 5 days wheat futures seem to have gained back all the losses they saw coming into mid last week. A few European countries have lowered their wheat numbers this week predicated on hot & dry weather, and we now hear reports of lower Russian exports numbers, which paired together seem to have contributed to the bit of a bolster seen in domestic markets. Current prices on #1 CWRS are quoted around $10.75/bu delivered in Central SK for prompt movement and a 15-cent carry is seen into fall shipping timeline. Durum prices continue to slide this week with most bids showing $11.50 to $11.85/bu delivered in depending on area. The durum prices continue to feel pressure from increased yield projections hitting the newsfeed it seems. As is often the case, the old adage of harvest pressure has slipped into many markets this year as we recover (some less than others) from last year’s disaster.

Green lentil markets remain stable, but reds slip a little this week as harvest chugs along. Buyers still seem to be looking for all varieties of green lentils, with values on #2 large greens indicated at 42-43 cents/lb FOB farm for Aug-Sept movement. Small green lentils see demand around 39-40 cents FOB for #1 quality with a similar Aug-Sept movement and medium green lentils show values around 30 cents/lb FOB farm USD. Colour means everything in green lentil markets right now and this week we see the markets take advantage of new product. End users love to get shiny new lentils on the store shelf as last years lentils will have lost a bit of their sparkle, so taking advantage of these opportunities may be a good play. Reports also suggest there may be less pigeon peas available in India due to a smaller than anticipated crop, which green lentils are a substitute for, and this is providing support as well. Small red lentils are trading in the 30-31 cent/lb range FOB farm for #2 quality, down about a penny from last week. Demand for reds is still quiet as India is not in panic to buy and Australia has a good supply, willing to sell at a 5-7 cent discount to Canadian pricing. At this time Reds look to have more downside than upside, where green lentils may have slightly better chance of upside if buyers cannot get their needs met. Once they fill, price will likely drop until the next orders are placed.

The Canadian chickpea market exported more product this year than the previous year. Strong demand from Turkey and to a lesser extent, the US, propped up pricing. Bids really started to stride forward during the tail end of Nov last year and have maintained mid 40c/lb or better to the present. A much-welcomed sight for producers as 30c/lb CDN seemed to be the ceiling previously, thus accumulating a bevy of product on farm that has now been trimmed down. Pricing looks to maintain for the next bit with a questionable crop outlook on the horizon. Stay tunned to see how this shapes up as US acres are also down. That being said, production will be better than last year, thank goodness! Currently buyer bids continue to hover around $0.47/lb picked up on farm or better – call your merchant for a firm bid in your yard.

Canaryseed values remain strong as early reports of harvested product now roll in. Today, bids FOB farm pencil out in the low 40 cent/lb range for prompt shipping and growers have been taking advantage. Product has once again started to move through the office as growers capture historically strong values, make bin space and put good value in their pocket. Overall, it seems as though canary should remain firm for the near term as all the 2–20-year stored product seems to have leaked into the market during last year’s record pricing spree and this year’s crop isn’t expected to be a bumper. Is there more upside? Tough to say, as there isn’t any upside currently, but we must keep in mind end users may look to substitute their needs with alternative products if they foresee a major shortage of availability. Taking profit is always a smart move and let’s be realistic, these aren’t breakeven values we’re dealing with today.

Optimism in soybean markets is being fed by drought in China, higher energy prices and US crop conditions. Local bids are location dependent and range from $17.75-$18.25/bu FOB farm. Lower dry bean planted acre forecast continues to be supported by analysts and statisticians. A forecasted reduction in dry bean available supplies continue to support both a local and global prices. Global faba market is forecast to be driven by both Australian and European supplies. Our domestic market is anticipated to be largely driven by local feed values. New crop faba bids showing up around $12.00/bu FOB farm for a #2. Old crop feed faba bids are near $10-11/bu FOB farm, location dependent.

Right now, canola is taking its direction from global veg oil markets and outside energy markets. At this point there’s not enough known harvest data for canola to set its own course. Since the June market slide, canola has run and retracted a few times albeit in a smaller trading range than previously enjoyed. Many market participants continue to wonder about the maturity progression of the crop in the Eastern Prairies. Long term weather forecasts are suggesting a weather pattern that will see that area make it to the bin. Local bids still hover in the range of $18.00-$18.50 picked up.

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.


Rayglen Market Comments – August 17, 2022

Pea markets have softened over the past couple of weeks with harvest underway in many areas. We are likely to see Canadian pea values remain fairly soft in the near term as current prices are not competitive enough for the global market. Russia will continue to heavily market their product into India, Pakistan and Bangladesh – countries that continue to accept Russian imports, while analysts expect China to take some market share as well. Although India has been closed to Canadian pea exports, there could be a shift in policy as we start to see more consumption across the country than product available. India could be forced to rethink their import policies, which hopefully translates into renewed Canadian imports. Call your Rayglen merchant for up-to-date pea pricing as demand and prices are volatile for the time being.

Chickpeas are, for the most part, still in the field and growers are gearing up to desiccate and harvest in the next couple weeks. There have been a few reports of lower pod counts and poor seed development, but so far those are isolated and not confirmed with more than a handful of growers. With exports maintaining tone, a lower yield could be good news for bids, but right now it is ears to the ground for more information on crop quality as soon as it trickles in. Values maintain at $0.47-$0.48/lb FOB farm with a few buyers, but there is not much depth in those bids. The next best values come in a penny or two less, FOB farm, for movement still in 2022. Sample and feed grade chickpeas are valued at $0.30/lb FOB farm in most locations. If we do experience widespread production hurdles, it is important to watch values closely.

The lentil market has been sideways to softer lately as harvest pressure sneaks in and overseas markets show weaker prices due to large amounts of product landing. Early yield reports on lentils seem to be either lower than average, in the teens to maybe 20bu/ac, or big crops pushing past 40bu/ac. So far, we have not heard too many reports of an “average” 25-bushel lentil crop, but maybe the later harvested fields will add some normality (whatever that is). Current bids have #2 large green lentils at 42-43 cents, #2 reds at 32 cents, and #1 small greens at 39 to 40 cents/lb as picked up in the yard price. Some buyers will still offer an act of God to protect you if the crop isn’t due to be harvested for the next few weeks, so you can still sleep at night.

The flax market seems to have a softer tone for the upcoming marketing year, with bids currently sitting around $23-$25/bu picked up. Canadian bids are priced higher than our competition so that will have to be taken into consideration when determining market direction. US, European, and Chinese bids have all been slipping as of late, which will provide a ceiling to Canadian posted Canadian bids. We also must consider that Russia will have a sizable flax crop, which is expected to move into China and may even find its way into Europe, limiting Canadian export destinations and opportunities.

As harvest is underway, barley yields seem to be average, which is slowly grinding pricing down. Currently bids are at $6.50 – 7.00/bu picked up, with the strongest bids being secured in Southwest Sask. Bids into Alberta might be able to catch slightly higher values on a freight advantage, so make sure to call your merchant for up-to-date pricing. Our buyers need to know weight and moisture on the specs, so it is encouraged to get samples checked periodically throughout harvest and before marketing your grain. Prompt movement is getting harder to find as most of our buyers are full up for the short-term with September-October movement now the new norm. Malt barley bids have been relatively attractive, and contracting is taking place for recently harvested product. Call for more details on potential opportunities.

Canola futures remain relatively unchanged this morning despite seeing some losses earlier this week. November futures hover around $815/MT, while January shows a small, but positive carry of about $8/MT at time of writing. Earlier week losses can be attributed to crude selling, which pushed soyoil and rapeseed markets lower, eventually coming full circle to bring canola down along with it according to analysts. Despite what feels like a softer tone today, values are still attractive, with delivered plant bids sitting in the $18.00-$19.00/bu range pending shipping window. The strongest bids are seen for Mar/Apr type shipping. Interestingly enough, a few buyers are looking to secure September 2023 new crop at values north of $17.40/bu delivered, something growers may want to consider looking at. All in all, canola values on a whole remain historically strong and growers are encouraged to pencil out potential returns at current pricing.

The wheat market is having a tough go this week, so far finishing everyday to the downside. Today looks to be the worst of all, losing at least $40/MT at the time of writing this report. Wheat is starting to feel the pressure from the Black Sea Region as reports suggest Russian and Ukraine wheat is making its way out of the Black Sea at a faster pace than anticipated. With the world market buying product hand to mouth, this means the quick delivery and cheap price are most sought after and that is exactly what the Black Sea region offers. Wheat is not the only cereal feeling pressure this week. Durum and rye both continue to see prices slide. Rye is seeing a price drop due to harvest pressure and early yield reports that would suggest an average crop or slightly better. Our colleague Jonathan Myer at Purely Canada commented today that durum prices are sliding due to three factors; 1) difficult to find oversea sales, 2) enough farmers selling into the market, and 3) harvest pressure. Cereals, like everything else in the agriculture market, seem to be looking for any reason to warrant a price drop.

The oat market remains quiet for another week as harvest progresses across the prairies. So far, the crop looks to be in good shape quantity and quality wise, and thus prices remain lackluster. We must keep in mind that when compared to only a couple years ago values are still decent, and growers may want to consider making some early sales before larger quantities hit the bin. Buyer bids slot in around $4.50 – 5.00/bu delivered in on new crop this week with delivery windows being pushed into 2023 already. With harvest pressure setting in, buyer bids aren’t expected to pull up. Fingers crossed the weather holds up and further storms can be avoided.

The soybean market is getting strength from Midwest temperatures and dry pockets along with similar concerns in Southeast China. Headwinds are coming from global economic concerns and high inflation, which could cool demand. Local bids are location dependent and range from $17.75-$18.25/bu FOB farm. Lower dry bean planted acreage forecasts continue to be supported by analysts and statisticians. Dry bean prices are predicted to remain well supported through harvest, predicated on lower year over year production. A similar story exists within faba beans. It’s anticipated that Western Canadian planted acres could be the second lowest in 10yrs at under 60,000 acres. As it relates to pricing, fabas are still taking their lead from domestic feed pulse markets. New crop faba bids showing up around $12.00/bu FOB farm for a #2. Old crop feed faba bids are near $10-11/bu FOB farm location dependent.

Prices have maintained a steady line this past week as the hot, dry weather speeds things up for mustard harvest. Some US, Southern Saskatchewan, and Alberta harvest reports are starting to roll in and yields are not spectacular so far in those areas. We will wait to see how things fare for later combined crop, which may help set tone for the season. For September to October movement, brown mustard is sitting at 88 to 90 cents/lb, yellow sits up around the 99-cent mark, and oriental at the 100-cent range. It is still important to talk to your merchant this week and put an offer out if you want August movement. There is a little bit of time left and quick pick up might be possible at a slight premium to September bids, but it is certainly case by case at this point. If you have freshly harvested mustard, call us to take possible advantage of a slight premium for this quick movement.

Canaryseed has remained in the same price range again this week. We have not heard much for canaryseed harvest yield reports yet, but we should be seeing some soon. We are not expecting much from the drier regions if other crop yields are an indication. We will see what the provincial average ends up being and how that will affect pricing as we move forward. Current crop values are indicated at $0.40/lb FOB farm, and we can likely get some quick movement if needed. The theory remains… If exports remain strong, the price floor should not see a typical harvest dip and might even have a potential firmer tone in the 4th quarter to support demand.

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.


Rayglen Market Comments – August 10, 2022

Barley markets still remain consistent. With 2022 harvest starting in some areas, and not very far behind in others, we suspect supply vs demand is going to catch up sooner rather than later. New crop mixed with old crop values have finally caught up to one another and rightfully so. Feed barley is trading around that $6.25 – $7.00/bu FOB farm pricing today yet, depending on quality and time frame for delivery. If you are at the point where you believe you are going to get something off this year, or have already started, we would highly suggest getting something onto the books. Clear up some bin space and get in on some earlier movement and historically great prices still. The malt side of things still remains to be somewhat quiet and sitting around that $8.00 – $8.25/bu price. Your best bet for anything coming off is to get the quality checked and let us do the work to obtain your best value. For anything above the posted values that we are seeing, calling in and placing a firm offer to sell makes sense right now as it is still attracting buyers’ attention.

The flax market remains at strong levels, but not quite what they were. If you were a flax grower that awoke out of a two-year coma, you would presume you were still dreaming after someone explained the flax prices for the last 2 years to you. Current product in the bin can be sold at $25/bu or a bit better picked up on farm for movement in the next month or so, whilst new crop prices also seem to be still catching $25/bu as well for December. You might yet be able to add an act of God on that contract today. Buyers that operate mostly to China have been quiet as the Chinese lean still towards cheaper Russian flax. The indications are that our market would need to slip a bit further before China is back as a major buyer. Old crop stocks are tight, but this year’s crop does look a fair bit better than last year’s, albeit with smaller acres for sure. So, time will tell if we produce enough that we need China in as a major buyer, or if the US, and some of Europe, continues to be our biggest market.

Chickpea markets maintain tone for another week as growers start to hit fields, and harvest cereals and lentils. Desiccation is expected in the later part of August with harvest early September. Growers are reporting lower than expected yields and also some concern over disease throughout Western Canada. It is still expected to be a better year than last year, but nothing is certain on how much better. The overseas markets are quiet; Turkey harvest is reported to be a little less than average production, but good quality. Not a lot of news out of Russia on their crop, which could be a game changer if they are selling into the market. The North American market is the highest offer today, so buyers will likely source elsewhere if Turkey and Russia are lower. US crops are reporting good growing conditions in the Northwest, which again puts pressure on Canadian pricing. Old crop bids for #2 Kabulis range from $0.44-.46/lb FOB farm and new crop is at par with that. Some buyers will still offer an AOG on acres if that is of interest. Feed and sample markets are valued at $0.25-0.30/lb depending on downgrading factors.

Canaryseed exports continue to maintain a steady tone and even above average, with demand strongest out of Mexico. StatsCan has attributed these, “additional bushels,” as a misreported carry from previous years, and note the level of today’s bids are pulling out bushels that have been sitting in the bin for several years. Sask Ag reports crop conditions as 67% good/excellent. If exports remain strong, the floor of canary should not see a typical harvest dip and might even have a potential uptick in the 4th quarter to support demand. Current crop values are $0.40/lb FOB farm for both old and new crop markets.

As harvest is underway in areas, peas got a yield bump to 40bu/ac, as per reports. We are seeing the usual seasonal decline in pricing, as new crop prices have faded away into old crop bids. Current yellow pea bids are at $11.50 – 12.00/bu picked up. Green peas are between $11.00 – 12.00/bu picked up, and maple peas are priced at $13.00/bu. The Chinese economy has had a slowdown which is likely to affect to Canadian peas coming into the country for their feeders, as per reports. Also, we have already expected that Russia will be able to supply into China, which will provide more competition for ourselves, and into price sensitive buyers in Asia. If we look to Ukraine, we already knew the crop would be reduced. It is looking like an amount that is half of last years’ that will be able to be exported. Stay in touch with your merchant if you are needing to clean out some bins before harvest is in full swing. We may still have prompt movements available.

Chart prices are trending up a bit on wheat as China and Jordan have zapped up close to 7.5 million bushels, along with a Japanese tender that is due today. The tender is looking for over 80,000MT with estimates of roughly 55,000MT to come from Canada. Encouraging signs as harvest is just starting to get going in some locations in Alberta and Saskatchewan, though many spots are sitting on pins and needles waiting. Buyer bids delivered into central Saskatchewan on a #1 red spring with a 13.5 protein are fetching around $11.85/bu for Aug movement. Feed wheat bids remain strong with $9- 10/bu picked up on farm. Flipping over to durum, pricing on a 2 CWAD or better sits at $13/bu delivered Aug. Knock $0.25-$0.75/bu off depending on movement time frame from Sept – Dec.

The window has almost closed for those premium spot mustard bids. Prices have come down to new crop levels as reports of some mustard being harvested trickle in. So far, harvest report yields are coming in very average. For September to October movement, brown mustard is sitting at 88 to 90 cents/lb, yellow at around that 92 cent mark, and oriental at the 100-cent range. Now it is important to talk to your merchant this week and put an offer out if you want August movement. This quick pick up might be possible at a slight premium to September bids, but it is certainly case by case at this point. If you have freshly harvested mustard, call us to take possible advantage of a slight premium for this quick movement.

Lentil harvest has started in throughout the province with product coming off in the Southwest, South Central and West Central. Early yield reports are a mixed bag on a small sample size. Buyers seem to have a real appetite for any type of green lentil. Large greens are at 43 cents/lb FOB farm today on #2 quality, small greens 40 cents for a #1, and 38 for #2, and medium greens 31 cents/lb(USD) for a #1 US grade. Buyers seem to be all over the place on red’s prices from 30 to 33 cents with some showing no interest, and others looking for a small amount of coverage. If you have product coming off and are looking for quick movement, we do have some options available.

Oat markets continue to weaken as buyers feel they have much of their harvest needs covered. The oat crop for the most part is in good shape. At this time, buyers and traders figure based on crop conditions and increased acres, that the market will have good supply compared to last year. There is some concern from farmers on their crops being a bit later than normal which may lead to quality issues, but so far this seems to be a farmer concern and not a buyer concern. The market prices seem to range between $5.00 to $6.00 delivered, depending on location and timelines. At this time, there is likely more downside than up based on expected yield and how much grain was prebooked for this fall delivery.

Canola futures have been largely range bound and variable this week. Support for canola pricing is coming from US soy complex, European rapeseed, palm oil, and outside energy markets. Balancing that off are decent growing conditions for canola across most of the Prairies. The Eastern Prairies will need a longer than normal frost-free period to avoid harvest grading issues due to late planting. Canola will receive significant direction from the upcoming Friday, Aug 12th USDA report. Local canola bids are hovering in the range of $18.25 to $18.50 picked up on farm.

Soybean prices have seen recent gains due to the persistent heat wave that could threaten yields. Russia is considering resuming rapeseed exports with Asian countries. This could threaten soybean export volumes. Local bids are location dependent and range from $18.50-$19.00/bu fob farm. Lower dry bean planted acre forecasts continue to be supported by analysts and statisticians. Dry bean prices are predicted to remain well supported through harvest predicated on lower year over year production. A similar story exists within faba beans. It’s anticipated that Western Canadian planted acres could be the second lowest in 10 years at under 60,000 acres. As it relates to pricing, fabas are still taking their lead from domestic feed pulse markets. New crop faba bids showing up around $12.00/bu fob farm for a #2. Old crop feed faba bids are near $9.00-$10.00/bu fob farm location dependent.

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.


Rayglen Market Comments – July 27, 2022

This week, old crop flax bids seem to be taking a back seat while buyers wait for new crop to come off. Those with flax in the bin, or in the ground, may still be able to catch $27.00/bu picked up, but the pool of buyers is dwindling. While we know that carry-over is lacking heading into the 2022/23 season, analysts expect stronger yields year over year, easing some pressure. This could allow more export opportunities, especially into Europe. The US flax crop is also expecting increased yields, but the lower seeded area will still allow for import prospects. The majority of imports will come from Canada, however there is likely to be competition as the US continues to bring in flax from Russia. It is also expected Kazakhstan might be another possible source.

The barley world remains relatively unchanged and continues to float around similar pricing ranges as last week. Old crop feed values are indicated around $6.25 – $6.75/bu FOB farm for August – September shipment. Despite the downturn from yearly highs, these prices are still historically strong when considering the past 5 – 10 years. As new crop approaches and reports of the planted crop powering through, we don’t expect that these markets to skyrocket anytime soon. That said, moving what’s left in the bin is still highly suggested. Old crop malt bids and sales remain quiet, which comes as no surprise given the time of year. Anything purchased now likely needs to be graded and checked for quality before anything is booked. New crop values remain quiet too, but if you have something to offer, give us a call! New crop feed barley is still triggering around that $7.00/bu FOB farm price for September forward shipping. Once again this looks like a sale on our books even if it’s just 25% of expected production. Quick movement and added cashflow at historically strong values just make sense right now.

How about those peas? Crop reports indicate that both Sask and Alberta pea crops rank between 71-75% good to excellent, with more yellow in the ground than green. The crop isn’t off yet, but it’s looking favourable, and it’s likely we will see above average yields, though maybe on a few less acres. What does that mean for pricing? Well, bids continue to soften, now showing $12 to maybe $12.50/bu picked up on the farm, with parity between old and new crop, yellow and green. There is the odd exception to these values with a couple niche market opportunities – please call the office to discuss. If these types of values don’t quite do it, feel free to call and test the waters on a firm target.

The wheat market continues to retreat from past week highs, with buyer bids hovering around $11.00/bu delivered in on a 13.5% protein #1 red spring. Not far off that bid happens to be feed wheat bids with buyers entertaining values around $9.50-10/bu picked up on the farm depending on location. There may be some stability on the horizon with Ukraine and Russia. A deal was brokered with Africa, in where the latter was able to secure 20-25 million MT of grain that was previously blocked in Ukrainian ports. Is this a sign of progress? Ukraine is a large supplier of the World Food Programme’s wheat, which is good news for all those in need. Switching gears to durum, buyer bids have also taken a step back as $12/bu seems to be the new going rate, with potential for the ugly word, “fusarium,” being tossed around in some locations, more notably, southeast Sask.

Spot mustard prices have come down in recent weeks as we get closer to harvest. New crop and old crop pricing are going to meet at some point, but we still have a slight window to sell spot significantly higher. Brown can still be sold at 140 to 150 cents/lb, yellow at around that 130 cent mark, and oriental at the 90-cent range; FOB farm is still possible for August. New crop bids are at 98 cents/lb on oriental mustard, 89 cents/lb on brown mustard and 96 cents/lb on yellow mustard, all including an act of God and quoted as FOB farm. Most buyers are looking for a full crop year shipping window, September through July 2023, on new crop mustard contracts. Harvest is getting closer, and these spot bids should be looked at for cleaning out the bins as soon as possible.

Chickpea crops are receiving positive input from both Sask and Alberta, and expectations are that the crop is above average with a yield that would have the production at 125,000MTS. There is still quite some time between now and harvest, so continued rainfall could hurt the quality and create a bull feel to the market. There are already reports of disease in the South, but no way to know how widespread it is. Canadian exports are maintaining tone with far above average shipments and noting the largest export for the month since Nov 2017. Prices have been maintaining tone globally with no real fluctuations worth mentioning. Old and new crop values are at par around $0.44/lb FOB farm and AOG still available. Sample grade and pet food is still coming in around $0.30/lb FOB farm.

Continuous dry weather in Western Sask is having a potential impact on canaryseed crop quality and yield; expect the next Sask Ag report to shed more light. Market values have maintained tone for both old and new and despite reports of the bins being empty, there always seems to be couple loads floating around when the price is right. Current crop bids are around $0.42/lb FOB farm and new crop bids are not far behind at $0.40/lb with an AOG still available. Buyers have still been entertaining targets, so if you have a bin in the back needing to be emptied, call for options.

The lentils market remains quiet but steady as buyers wait for new crop to hit the bin. Red lentils seem to be the market that is seeing the most downside pressure. Old crop price seems to top out at 32 cents/lb FOB for limited tonnage. New crop is ranging between 28-30 cents FOB farm with an AOG. Information from buyers this week is that there is no demand or concerns from overseas buyers with the supply of reds. If Canada and Australia both produce an average crop, this market likely remains slow. There seems to be a bit more demand for large green and small green lentils at the moment. New crop pricing has been in the 42-44 cent FOB with an AOG on #2 large green lentils, and 38-40 cents on small green lentils. There seems to be interest for the green lentils, but not much information to provide a good outlook yet on this market.

Oats have gone completely quiet in the last week. Buyers are covered for the first six months of the upcoming crop year thanks to a lot of producers taking advantage of the high-priced production contracts. Moving unpriced product off the combine this year may be more difficult due to this fact. If there are quality issues with some of the pre-contracted oats, this may open up an opportunity for the unpriced oats. The oat market seems to have hit that point in the year where buyers are willing to wait for the arrival of new crop. Indicated values for old crop milling are around $5/bu FOB farm give or take pending area if you can find a willing purchaser.

Canola markets see a yo-yo pattern this week with futures seemingly taking losses one day and making gains the next. Today, we are happy to report that at time of writing both November and January futures are up approx. $10/MT putting them at $823/MT and $832/MT, respectively. After factoring in local basis levels, grower values pencil out to $18.75-$19.25/bu delivered plant. Support comes from a rally in soy markets, which show soybeans, meal, and oil all posting gains today. Growers are encouraged to take advantage of these rallies and may want to consider making final sales before harvest.

Soybean futures have recently increased based on declining crop conditions across the Midwest. For now, the market has a bullish tone due to decreasing planted acre estimates and robust global demand for edible oils. Local bids are location dependent and range from $18.00-$18.50/bu FOB farm. Lower dry bean planted acre forecasts continue to be supported by analysts and statisticians. Dry bean prices are predicted to remain well supported through harvest predicated on lower year over year production. A similar story exists within faba beans. It’s anticipated that Western Canadian planted acres could be the second lowest in 10 years at under 60,000 acres. As it relates to pricing, fabas are still taking their lead from domestic feed pulse markets. New crop faba bids showing up around $12.00/bu FOB for a #2. Old crop feed faba bids are near $10-11/bu FOB farm location dependent.

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.


Rayglen Market Comments – July 20, 2022

The pea market has softened again this week as buyers are less and less concerned about yields for this upcoming crop. Yellow peas have pulled back to $12.00 – 13.00/bu picked up, with the latter getting much harder to find. Green peas have also come down to $12 – 12.50/bu picked up. However, we may have one option in southeast Sask at $13-13.50/bu if you are okay with movement pushed out to September – November as an old crop sale. New crop remains around $12 – 12.50/bu on both yellows and greens. New crop peas being priced into China have been declining, therefore, we aren’t expecting to see a bump in pricing anytime soon.

This year’s harvest is expected to be much better than last; however, chickpea supplies likely still won’t be boosted up, as carryover has taken a hit. As big storms roll through Alberta this week, we await reports of just how much of the crop ended up being affected by hail; a few early indications would suggest there is going to be some damage. Canadian bids had softened a bit a few weeks back, with old and new crop unchanged this week, still sitting in the high 40 cents/lb range. As we look to other markets, Mexico’s prices have firmed up as their yields ended up being lower than they hoped. We have also seen bids firm up in India and Turkey, as per reports. Now we wait to see if the Canadian market will react favourably to these other export markets having lower supply.

Not much change to report in the barley world this week. The spread between old crop and new crop barley grows tighter every day, so buyers seem to be content in sitting back and waiting for new crop to start hitting the bins. Old crop values are still triggering in that $6.50 – $7.00/bu price range with August movement attached to them. New crop feed barley is priced similar to old crop and will likely trigger around $7.00/bu FOB farm, with potential for a couple more cents depending on area and time frame of delivery. On the malt side of things, the market remains rather slow without much for value indication being thrown out for old crop. We suspect, however, if you have recently completed a quality test on old crop malt sitting in the bin and the specs are good, there might be interest out there. Call in with the details and let us work this for you. New crop still seems rather skittish as well, but we have seen recent indications of $9/bu delivered plant, or better, with AOG. These prices remain great and suspect with lots of areas still getting some heavy shots of rain. There might be more feed out there then initially expected. Locking in some early pricing, along with movement is a move that just makes sense right now.

Wheat markets remain constant this week with demand at the farm gate slow. Reports have suggested that the US is expecting better then normal yields this harvest, ultimately filling up a supply chain that many thought was going empty. Old crop and new crop Durum continue to mimic one another with $13.50/bu trading across the board on #1 quality, with discounts of approximately $0.25/bu for each grade lower. Wheat values continue to hover around that $12.00/bu delivered price for old crop, but that also does not appear to be a deep bid. We suspect once some tonnage is bought at this price, we may see another small price drop. Old crop feed values remain around that $9.50/bu FOB farm range depending on area and time frame of delivery. For any sales targets above the posted values, we highly suggest calling in and placing a firm offer as they still appear to be grabbing some buyer attention.

Oats continue to follow a lackluster path this week with little to no demand on the old crop side of things. For the most part, buyers seem to be full up until harvest, and are comfortable waiting it out to see what new crop is going to bring. If you have some sitting in the bin and are looking to price out, we suggest calling in with a sales target and letting us try to find a market. On a brighter note, new crop remains of interest, still sitting around $6.00/bu delivered plant. Growers can likely expect to tack on another $0.25/bu for late 2022 shipping and an additional quarter for Jan – March of 2023. There seems to be less committed acres this year, so it might be a good time to try locking in a certain percentage of your expected production, get some guaranteed cash flow, and secure earlier movement to clear up bin space that we all hope you all need this year. With seeded acreage reported showing a 16% increase this year, it is likely buyers will not have to search very hard to start supplying their needs once the 2022 harvest begins.

Flax crops are ranked as mostly (73%) good to excellent in mid-July with the hottest and maybe driest stretch of time coming through right now. Lower acres from last year will be mitigated on final tonnage numbers with a back to average yield, but we still have a ways to go before the crop is in the bin. At the end of the day, a “just better” than last year’s crop is still going to be short of an average crop, and world supply issues on flax should support for flax prices into the following year. Current bids are showing $27 to $28/bu for fall/early winter with an act of God and spot prices are at similar, but growers may see slightly better levels of $29/bu on farm in some areas. Trade has been light as farmers are not overanxious to chase bids right now and buyers have secured a bit of new crop and are waiting to see how things unfold.

Mustard prices have been mostly sideways as of late as new crop prices are holding steady despite increased acres. Current new crop bids are at 98 cents/lb on oriental mustard, 89 cents/lb on brown mustard and 96 cents/lb on yellow mustard, all including an act of God and quoted as FOB farm. Most buyers are looking for a full crop year window, September through July 2023, on new crop mustard contracts, but if those timelines are not suitable for you, then adjustments will likely be considered for other movement options. Spot prices have come down in recent weeks as we near new crop and the bins are mostly cleaned out. Brown can still be sold at 150 cents/lb, yellow at 125 cents and oriental at 90 plus cents/lb for at the farm prices. It’s expected to see the spot and new crop bids come together at some point, but we will see how long that takes as the crop is a little later this year and markets are still tight.

Lentil markets continue to soften with reds feeling the most pressure. What is causing reds to fall faster than other types of lentils? Markets believe that red lentils will see a huge improvement over last year based on Saskatchewan and Alberta Ag crop condition reports. Early predictions are stating there will be at least a 50% or higher yield improvement over last year and with an increase in acres, this should shape up to be a large crop. Reds are seeing more downward pressure as buyers feel that there is a bigger crop than expected, less demand from overseas and a large supply of reds around the world. Small green and large green lentils are a bit of a different story, as recent perception is that there are less acres of both and there seems to be steady demand from the trade. The French green lentil market is one that growers should pay close attention to as buyers seem to be asking a lot of questions on this crop. Thoughts are these could be a commodity that is sought after this year as supply may be limited due to reduced acres and no carry over. Call for updated pricing on any type of lentil.

Canaryseed remains in slow trade this week despite historically strong bids for both old and new crop. Why, we ask? Well, it is assumed that most bins, even those that have been full for 10 years, are now cleaned out as growers had taken advantage of record values seen earlier in the year. Today, producers who are still holding product can expect to catch $0.41-$0.42/lb on old crop with movement before harvest; still an outstanding value if you missed the train the first go-round. Growers with crop in the ground are still able to secure new crop contracts at $0.39-$0.42/lb FOB farm with an act of God; again, great values to secure 10bu/ac. On the other hand, we do see little to no carryover, a 7% decrease in seeded acres, and what sounds like not a particularly great start to the crop that was planted. This could mean continued strength in markets for 2022/23, but it could also mean importers look to alternatives and substitutes if canary supply is insufficient or seen as “overpriced.”

Soybean prices are trending on a lower basis, positive US crop prospects, as well as year over year improvements in the Brazilian crop. Local bids are location dependent and range from $18.00-$18.25/bu FOB farm. Fewer planted acres, smaller 2021 crop and measured farmer selling are expected to be supportive factors for dry bean prices. Global faba production prospects appear favourable at this point. Australia faba production is still on track to exceed their 10 yr average. Domestic prices continue to take direction from the pea market. New crop faba bids showing up around $13.00/bu FOB farm for a #2. Old crop feed faba bids are near $11-$12/bu FOB farm and old crop #2.

Canola has adjusted to new crop prospects along with taking its lead from the step-down that other global veg oils have encountered. With an estimated 21M acres planted, carryout is still predicted as tight for the end of 22/23. Basis levels have been adjusting in preparation for new crop arrival. That said, there is considerable variance in basis across buyers. This would seem to indicate some individual buyer bias on potential production. Bids are still hovering in the range of $18.85/bu to $17.50/bu picked up location dependent.

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.


Rayglen Market Comments – July 13, 2022

Canaryseed markets haven’t changed much over the last week, with old crop product still being bid at 44 cents/lb and new crop quoted around 39 cents/lb FOB farm with act of God. As we get closer to new crop hitting the bin, the gap in market value is expected to merge, meaning growers may want to consider making final sales. Crop conditions have been rated as mostly favourable at this point, but it looks like we will see a week of hot, dry weather throughout the prairies; time will tell how this affects the coming crop. U.S. millet acres are down 8% compared to last year yet are still historically high overall. The Colorado region is the biggest producing area of millet in the U.S., meaning crop conditions in that area are something to keep an eye on. Canary growers have higher expectations as far as pricing goes, so we suspect that the floor price should remain supported.

Flax pricing is sideways this week, with old crop bid at $30.00/bu picked up and new crop indicated around $28.00/bu picked up with act of God. These bids don’t run deep, with a common theme being buyers purchasing limited tonnage and dropping bids. Growing conditions on flax from Sask Ag shows the crop rate at 68% good to excellent, up compared to last year with moisture conditions being more favourable. With tight carry-over going into the 2022-2023 season, prices are likely to remain firm, however, for prices to compete with the European market, we may see slight adjustments.

Continued stability and in some cases strength for chickpeas this week, with lots of talk about late harvest and potential quality issues. Despite this, StatsCan has reported 65% of the chickpea crop as slightly better than average. There is skepticism around those numbers as buyers continue to watch weather and get reports from growers with boots on the ground. Old crop bids have seen some action in limited areas with bids once again quoted around $0.50/lb or better delivered in. New crop ranges from $0.44/lb to $0.50/lb FOB farm with AOG, but extremely freight sensitive to the West for the higher end of the spectrum. It seems the buy side does not want to put a pin on anything with too much depth and are asking the market for targets. Sample and feed values hover in and around $0.30/lb and there are always homes with relatively quick shipping.

Mustard prices have been weaker in recent weeks as rain improved crop conditions, and the StatsCan seeded acreage report seriously bumped up its numbers, suggesting an 80% increase year over year. This has obviously taken some wind out of the sails (sales?) for buyer bids for this fall. Mustard crop conditions are not outstanding, but they are alright, and considerably better than last year. So with the increased acres, some of the pressure comes off. That being said, we are still miles away from harvest with a hot, dry stretch forecasted, so we will see what things look like in a few weeks’ time. Current bids put new crop yellow at 96 cents, new crop brown at 90 cents and new crop oriental at 88 cents/lb as picked up on farm pricing including an act of God.  If you have mustard in the bin, the prices are still HUGE at 190 cents on brown, 140 cents on yellow and a buck on oriental, so you should probably just rip that band-aid off and sell.

Barley continues to take a bit of a hit over the last little while here, which does not come as much of a surprise, given the time of year and recent showers throughout the prairies. New and old crop feed barley are triggering in that $6.75 – $7.25/bu FOB farm depending on area and time frame of delivery. Not many prices are currently being thrown around for old crop malt, which falls right in line as to what we normally see at this time of year. New crop malt, however, likely once again catches a premium price to feed, so if you have something you are looking to lock in, we suggest calling in to learn about your options. There is some expected heat throughout the prairies over the next couple of weeks, but with the late rains, barley should have a chance at pulling through relatively unscathed. Not to sound like a broken record, but we would still highly suggest getting a certain percentage locked in for fall to ensure some cash flow as well as some earlier movement.

Oat markets remain pretty quiet as buyers are full for the 3rd quarter of the year but looking to book new crop. This year feels like there are less growers committing acres for the coming harvest as so many were caught last year with no AOG. While some buyers are willing to offer a roll to the following crop year in case of a wreck, growers are still not getting in line. Buyers are advising higher demand as consumers find more uses for oats and a bit of concern over late seeding. It is still early and possible fluctuations for new crop are real. Milling/ #2 CW Old crop values hover around $5/bu FOB farm and $6/bu delivered into plants with very little demand. New crop is similar value with a slight carry of $0.25/bu for Nov-Dec and additional $0.25/bu for Jan-March 2023.

Canola markets are relatively unchanged this morning, at time of writing, after seeing significant losses yesterday. Weakness in soyoil continues to be the driving factor to the losses, which are spilling over into canola futures. European rapeseed markets have also decreased, but soybean and soymeal markets are firming up, which is providing some support. In other unsupportive news, the BOC unexpectedly increased interest rates, which in turn, has boosted the value of our Canadian dollar, making canola more expensive to purchase on the world stage. Currently, November futures sit just under $832/MT while January 2023 shows only a small carry of about $9/MT. Old crop local basis levels hover around $10/MT under to $20/MT over pending location and delivery window, putting old crop bids at $18.50-$19.25/bu delivered plant. New crop basis levels sit around $20-$35/MT under pending location and shipment window, putting bids close to $18.00-$18.50 delivered.

Soybeans are showing moderate gains after a big step-down post recent USDA report. At this point the USDA is sticking with an 87.5M historically high soybean planted acreage and a 51.4 bu/ac yield forecast. If this comes to fruition, it will supply one of the biggest recent harvests at 4.5B bushels. With hot & dry conditions forecast across the Midwest, the risk to crop development still exists. Soybeans face a greater risk from such weather in August, thus mitigating some of the soybean concerns for now. Local bids are location dependent and range from $18.00-$18.25/bu FOB farm. Canadian dry bean planted acres are reported to be just under 300k, which is a 32% drop year over year. Reduced planted acres, a smaller 2021 crop and measured farmer selling are expected to be supportive factors for dry bean prices. Global faba production prospects appear favourable at this point. Australia faba production is still on track to exceed their 10yr average. Domestic prices continue to take direction from the pea market. New crop faba bids showing up around $13.00/bu FOB farm for a #2. Old crop feed faba bids are near $11-$12/bu FOB farm.

Global harvest pressure is creating headwinds for wheat prices. Recent USDA forecasts were a wet blanket for the market, pushing futures back down again. Global wheat production was trimmed on account of production reductions from EU and the Ukraine. Russia and Canada were the two notable increases that somewhat off-set the expected tighter year over year global wheat stocks. Local milling wheat bids currently hover near $11.00-12.00/bu delivered, location dependent and feed wheat bids are in the range of $9.50-$10.00/bu picked up.

New crop lentil markets continue to slip as crop conditions improve across the province and markets wait for the arrival of harvest. Old crop prices are following suit with some buyers actually going to no bid this week. Buyers, however, are still on the hunt for old crop small green lentils. For new crop, buyers are mostly looking to get a little more coverage on LGL and SGL. July is typically a slower time for sales and this year is no different. If you are looking to move the last bit of product that is in the bin, make sure to give the office a call as the prices seem to be all over the place right now and changing by the minute. Staying on top of these markets is difficult, so keep in touch for up-to-date information.

The green pea market is hit and miss with a wide range in bids. Not many buyers are interested at the moment, but there have been a couple small tonnage programs of $14.00/bu delivered, or better, for a specific quality of green pea. For a standard #2 green pea, average bids are likely around the $13.00-$13.50/bu mark today. There have been very little new crop green pea sales put on the books this year as both buyers and sellers aren’t eager to get much done at this point. Buyers believe there is enough carry over and with a decent looking crop in the field, they see no cause for concern. Sellers are just the opposite, hoping to see green peas pop in value, although this seems unlikely given the lackluster market, we’ve seen all year. Finding bids for yellow peas is getting tougher as well this week as buyers fill their needs for the next few months and/or are happy to wait until new crop becomes available. New crop bids on yellows have also slowed down, but there are still buyers willing to purchase the odd lot. With markets changing as quick as they are, it is best to call your merchant for up-to-date pricing in your area.

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.


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