Flax prices have seen little to no change over the last few weeks. Milling quality is still hovering around $14.00/bu picked up for further out movement. Those with #1 flax, prices vary, but on average $13.00/bu picked up is available. We do have some opportunities for lower grade flax, send us samples so we can get the specs and a price. Yellow flax also remains unchanged, with $16.00/bu FOB out there on old crop in select locations. New crop values on flax still make sense, especially with all the other unknowns in the market, locking in $12.50/bu on brown and $14.00/bu on yellow pencils out decent. We already know there has been some weak demand in the market and analysts don’t expect prices to push much higher. Right now, low supply and product left out in the field is what is keeping prices from slipping further.
According to the StatsCan report, the seeded acreage for barley in the 2020-21 crop year is going to be down slightly because of increased carry in stocks and lower expected prices. That being said, prices have been consistently trading around $3.40 to $4/bu picked up on the farm for Mar/April/May time frame depending on location. On the malt side, we have seen some buyers potentially look at new crop for around $5.00/bu picked up variety specific and location dependent. Please call your merchant for details.
Canary seed markets have remained flat this week with bids continuing at 29-30 cents/lb delivered to plant in Saskatchewan. This lull isn’t considered a surprise as February is typically a quieter month for canary seed. On farm stocks are still tighter than what we’ve seen in the past and it won’t take much demand in the spring for prices to strengthen a bit prior to the new crop year. New crop prices have been slow to come out and we still don’t have much for firm bids. We think this is a good opportunity for grower targets with an act of God so be sure to give us a call with your firm number.
Chickpea markets hold steady as we start to see some slight gains in lentils and peas. Sellers are consistently on the market for bids, but buyers are not in a position to go long at any value today as we continue to watch Indian crop conditions and slowly eat through carry. No news out of Dubai on any expected shifts to the market or renewed buying interest that might spark life in this dead dog. Conversations surrounding new crop chickpeas have been less frequent than expected which could be a good sign that the acres will fall a bit for 2021. New crop levels of $0.23-$0.24/lb FOB farm with an AOG with old crop a tick or two higher. Feed chickpeas are still abundant as bids around $0.10/lb shake very little loose. This market is a game of chicken where everyone is shooting blanks because no one wants to get hurt.
The pea market saw a few price changes earlier this week. Yellow peas are trading at $7-7.15/bu delivered to plant and a few green pea trades have hit on target at $11.00/bu FOB. Maple peas, however, remain at the $8-8.50/bu FOB mark. As we all have seen, the rail blockades will be causing some short-term issues on contract movement and the continuing Coronavirus issue will keep pricing somewhat at bay. Back to pricing, targeting green peas at $11.00/bu FOB is a great option as we will soon see buyers start to wait till new crop to purchase green peas at a discount. Yellow peas will all depend on when China can come back to the market. New crop values are indicated as $8.00/bu on greens and $6.50/bu on yellows delivered plant with an act of God.
If only we were writing this yesterday and were able to jump on the wheat bandwagon. Instead today, everyone has jumped off. A little blip in the charts, so to speak this week, but much of the same old again today. There was some speculation that China may have buying interest, coupled with Australian wheat crop estimations being lower than anticipated and the Ukraine harvest production being less than anticipated lending into some interest. So, feed wheat bids continue to sit in that $4.50 – $5/bu FOB farm range with the odd hotspot that may garner a little more in that central Sask region. On a CWRS 13.5 pro look for that $6.40 del into the summer months. On milling durum, bids seem to be hanging out in that $8/bu FOB farm range in south east Sask for Mar – May. New crop durum prices are around that $8/bu FOB farm and add a little more bump for 2021 hold outs in south east Sask.
Red lentils have seen a slight increase in price this morning with a few places moving to a 23 cents/lb delivered bid for March – April movement. There has been no indication on what is really behind this latest spike in price. But we’ll take it. This surge has also popped up X3 lentil pricing to 20 cents/lb delivered yet the feed market is still trading near the 11-12 cent range. New crop red lentil contracts are still quiet. Large greens have not seen the same response this week and finding a #1/ X2 price is tough, but not impossible. Number 2 large green lentils are trading between 22 cents/lb FOB farm and 23.5 cents/lb delivered. There is no real news as of late to give any solid indication on what the market is going to do in the upcoming months. But stay tuned as next week we may see a little more direction from buyers as they return from the Gulf Food Show.
Concerns over Chinese demand have weighed on soybean markets, despite recent announcements by China to curb import tariffs on agricultural products including soybeans. Chinese purchases continued to strengthen U.S. soybean exports even though demand typically eases this time of year as the Brazilian soybean crop comes to market. Local soybean bids are trading in the range of $9.50/bu picked up on farm. The USDA showed total production of dry beans down 16.6% from the previous year, despite planted acres being up 3.1%. Difficult growing conditions followed by even more difficult harvest conditions throughout most growing regions have led to reduced production levels. Conditions were similar in Canada and has thus been supportive for prices. The faba market remains solidly supported but with a price ceiling for the quality that Canada generally produces. Feb/Mar shipping on #2 export quality bids range from $9.00-$9.50/bu picked up on farm. Feed faba bids are trading a little plus or minus either side of $6.00/bu picked up on farm. There is very little interest in purchases beyond Feb/Mar shipping, thus now is a good time to explore marketing fabas.
The spot price on oats remains relatively strong as of late for pricing out into summer months on #2 milling quality. Current bids in most areas of the province exceed $3/bu picked up on farm with stronger bids to the eastern half of the province. Many facilities are getting closer to the end of their book for the crop year so if you are on the fence about selling or waiting a little longer think about it sooner than later as space is limited. We don’t have a lot to show these days on new crop oats as many buyers are already bought up well through the fall. Expectations are oat seeded area will be up quite a bit this year, but some indications are a little north of $3/bu delivered to facility into Jan/March of 2021 at this time.
Mustard markets remain flat this week. We are seeing a bit more action as growers decide on their acres and new crop bookings and seed have been picking up. Yellow mustard bids are still attainable at 40 cents/lb FOB for spot and 38 cents/lb on new crop with an Act of God. This is and could mean an opportunity to lock in above-average values for the upcoming production. Brown mustard traded this week with old and new crop bids at 28 cents/lb FOB farm and Oriental old crop at 25 cents vs 28 cents/lb FOB farm for new crop Forge or Vulcan. There is still an opportunity to get in on an IP brown mustard program which takes a bit of extra work but also has a premium for your time. Call for information about this program and new crop offers. If you are looking for Certified seed at a competitive price call us for details as we carry a wide range, and have it delivered to your yard.
As we speak, March canola features are down $3 trading at $459/MT with local bids hovering around $9.78 delivered into plant for March. Continued trade issues around this commodity are entrenched even deeper with the blockades to rail traffic, frailer vegetable oil prices and import issues to China, due to the devastating effect of coronavirus in the country. Further out new crop movement for November has also pulled back $3 trading at $483/MT.
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.