Canary seed markets remain unchanged over the past few weeks as end user demand still doesn’t seem to be overly aggressive. The $0.50/lb range bids are still floating around for old crop, but growers should expect delivery windows to pushed out to Feb./Mar. and forward. New crop values continue to be bid around $0.35 – $0.37/lb with an AOG depending on your location. Historically these are still good values to lock in your first 10 bu/acre. Although the market seems to be quiet lately with not much change, the prices that are being offered are still of great value.
The demand for oats seems to have dialed back a bit given the recent snowfall in oat country and throughout the provinces over the last few days. New crop values are still being reported around that $6.00/bu FOB farm range, but bids don’t seem to be as deep. If you are on the fence, we would suggest getting something locked in at this outstanding value should it fade away on us. Old crop milling is quoted around $9.50/bu FOB, but in the same boat as new crop; we aren’t sure how deep that value runs. On the feed side of things there doesn’t seem to be a huge amount of interest, but one can pencil in $6.50 – $7.00/bu on farm for good heavy feed oats. It may sound like a broken record, but we see the tendency to hold out for another $0.10 – $0.20 cents/bu, which is sometimes successful, but should the market falter, it will likely drop faster than it climbed.
The pea market remained unchanged over the holiday season. Yellow peas are mainly priced at $17/bu picked up; however, $18 FOB is attainable in very few locations with the movement being pushed out to April – June. Green peas are bid at $16/bu delivered, with several delivery locations available. Maple peas remain priced at $18 – 19/bu picked up depending on location and variety. What has popped up recently is a non-GMO new crop yellow pea program in Southeast Saskatchewan (no soybean or corn contaminants). We currently have the option of locking in $13 – 13.50/bu picked up with an act of God depending on delivery timeframe. This program is a good option to get a few bushels per acre on the books while mitigating risk and locking in profitable values. Speak with your merchant on pricing options if you are located outside of this zone.
Flax prices remain unchanged into the new year with bids in the $40.00/bu range picked up still available. New crop prices also still linger at $24-$25.00/bu FOB with an act of God. Production for 2022/2023 in the Black Sea region and the US will have some impact where new crop prices settle in, but for now historically strong values are still attainable. Canadian flax production no longer dictates the market as it did in the past. Demand rationing has taken place and we have done a good job of pricing ourselves out of key destinations. Canadian flax prices would have to drop to satisfactory levels to encourage those exports again. Product going to the US is still steady, but that market has become weaker, possibly suggesting demand is starting to be filled. The price spread between Canadian and Russian flax is quite wide as well – another potentially negative outlook when it comes to local values. While prices are still historically high, the pool of buyers willing to purchase at these levels is running thin. Now may be the time to secure a contract on remaining old crop.
Lentils have been remaining stable following the Christmas break. Buyers seem to have more interest in green lentils now, compared to reds, but this trend was already starting to pop up just prior to the holiday season. Large greens have been trading in the 62 cent/lb range for #2 quality with bids seen at 63-65 cents for X2 and #1 respectively; all including on farm pick up. Small greens have been trading in the 60-cent range for #1 quality with a small amount of #2’s trading this week at 58 cents FOB farm. Reds are still trading in the 45-46 cent range depending on movement timeline. When it comes to new crop, we haven’t seen a lot of buyers offering contracts yet for any color of lentil, but the odd option is available. New crop reds are indicated at 33 cents/lb with an AOG for limited tonnage while new crop large greens have a chance at trading at 38 cents on a #1, 37 on a #2 and 34 on X3. New small greens have been indicated at 35 cents for a #1. With crop production week right around the corner we may see more buyers come to the table with pricing options.
Mustard has started out the new year exactly how 2021 ended. Strong prices. We are seeing some new crop contracting and seed starting to trade already as everybody gets back to work after the much-needed break. Spot yellow and brown mustard are now both trading at the $1.35/lb to $1.40/lb FOB range. Buyers are looking at any offers closely, so it’s very important to talk to your merchant. Oriental of any variety should continue to trade in the $1.00/lb range FOB farm or better on firm target. No change in new crop values to start the year; yellow remains in the mid 70’s and new crop brown is bid in the high 60 cent/lb range. Perhaps an offer on brown at 70 cents/lb FOB is a great starting point. These are excellent numbers for 10bu/ac with an act of God included. Buyers also have strong interest in signing oriental acres up and bids may push into the 70 cent/lb range depending on variety and movement. Seed is still available, which includes delivery to your yard. January, as expected, will be busy on seed, so again be sure to talk to us.
The barley market has perked back up to start the new year with some selling opportunity at $9/bu in some areas again. This does not mean that $9/bu works everywhere as freight differences from say Swift Current vs Carrot River will need to be factored in, but $9 works in a few areas for sure. For growers in the Southeast corner of Saskatchewan we have some buyer interest on some heavy dry product at levels a little over $9/bu picked up on farm, so reach out to your favorite merchant for more details on those deals. New crop malt programs are out and about in the market, and we are hearing numbers around $8/bu delivered to facility as the going rate on 2 row. Old crop malt buyers are looking for samples prior to bidding so feel free to submit a sample if you are looking for a bid!
The holidays have been kind to canola markets as we’ve seen an increase in futures pricing since our last report two weeks ago. Everyone is now trading based off the March futures which currently sit at $1026/MT. Our last report had the March futures a bit lower at $1008/MT. We have had a handful of buyers indicated they’re bought up for any near-term shipping windows, so growers may be inclined to make sales sooner than later if you’re looking for immediate cashflow. Looking out to new crop, November futures are up to $790/MT. This represents a significant jump up from the $757/MT we had seen just before Christmas weekend. Local bids are coming in above $17/bu now in some areas for new crop and is something worth looking into. Old crop pricing has stayed strong due to tight supplies in Canada, strength in European rapeseed futures, and strength in soybeans due to weather concerns in South America.
Well, this cold air traipsing slowly through the Prairies hasn’t cooled off feed wheat prices as $11.50-$12/bu picked up on the farm is trading with the latter being location dependent. Feed pretty much supplants a #1 milling wheat with a 13.5 protein right now with bids at $12.15/bu delivered in. There has been some volatility in this market over the last little bit, but next week’s release of the USDA will allow for more insight to right the ship so to speak. Durum bids have eased a little as buyers are pretty full up for the next 60 days with little movement for quick spot bids. Look to find roughly $21/bu on a #1 CWAD over that time frame. Posting an offer March onward may not be a bad play as buyers will have more appetite. There will need to be some coverage before US crops start to come off.
The focus on chickpea markets has shifted to Mexico and India. Both countries are reporting strong seeding pace and are on track for substantial crops. US demand is still tapering off which has resulted in further softening of the Canadian market. Despite a small blip last week of elevated values (possible short covering of very limited quantity) values today for old crop #2 Kabuli hover around $0.51/lb FOB farm for March-April movement. New crop has been on the radar with trades ranging from $0.43-$0.45/lb FOB farm with an AOG. There might still be some depth to that bid as it has been few and far between on actual trades.
The soybean market is receiving support based on South American weather forecasts returning to hot and dry projections after rains sent the markets lower last week. Harvest has started in Brazil with all eyes on early yield forecasts from Mato Grosso. Local soybean bids continue to hover in a range of $14.50-$15.00/bu FOB farm. Domestic feed values continue to support Faba bean markets. Feed fabas continue to trade near $13.00/bu FOB farm and #2 export quality is trading $15.00/bu FOB farm. Dry bean market news is focused on Mexico and Argentina. Mexican bean crops appear to have produced above average volumes as local bids have been slipping as of late.
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