With seeding still pushed behind in certain areas, we are going to see some pea acres get lost to other crops. It is looking like this decline in acres will be more than the original 7% reported drop, as per reports, but we will have to wait and see what the final numbers are. As long as we can get yields to bounce back, we are still expecting the 2022 crop to be larger than last year. Compared to last week, the pea market hasn’t had a whole lot of changes in pricing. Old crop yellows are still at $16.50 – 17.00/bu and green peas at $14.00 – 14.50/bu, both picked up on farm. Maple peas remain quiet at $16.00/bu. Looking to new crop, yellows and greens are both at $13.50 – 14.00/bu picked up with act of God. We may still be able to find $14.50/bu FOB on maple peas. What will affect the pea market this marketing year, is China and Russia now reaching a deal. Whether this will add competition into the feed or fractionation market we have yet to see.
At yesterday’s close the canola markets were mixed with July down and Nov and Jan up. However, waking up this morning, we are seeing a red board for canola for July through March 2023. As seeding is progressing, we are still seeing the west with a lack of moisture and the east struggling to get their canola planted. Pricing is still holding fairly strong with old crop seeing mid $27s for July. New crop prices are sitting at low $24s. We do have one option for new crop pricing that contains an act of God, call your merchant for more information.
Lentil prices remain strong again this week on old and new crop. Old crop red lentils are in the 40 cents/lb picked up range, while new crop offers are hit and miss at 39-40 cents. Large green lentils are sideways at 55-56 cents/lb on a #2, while new crop is at 48 cents/lb. Small green lentils are at 53 cents/lb delivered on a #1 and new crop at 43 cents/lb picked up. All new crop has act of God. Volumes of lentil exports to most destinations are down compared to last year, except Europe and the US. India has had the sharpest decline in Canadian lentil imports. For 2022/23 exports to encourage more demand into Asia and the Middle East markets, suspect that will require lower prices to be competitive. As we get closer to new crop, the old crop markets are quieter as farmer selling is quiet, and buyers aren’t concerned about the short-term supply. Bids will likely remain flat until there is more information on the 2022 crop planted.
The flax market continues to remain much the same as in previous weeks. Old crop values are still trending at that $38.00/bu FOB farm price, however, just know that these bids are not deep at all. Buyers are not looking to be long at these values, so the purchasing of old crop flax is very sporadic. Suspect this demand only continues to fall off as we move closer to a 2022 harvest. If you have been on the fence about selling now is the time to consider taking the leap. Historically, these values are still beyond great if not better! Firm offers continue to attract buyer interest, so for anything over and above, don’t hesitate to call in and throw something out on offer. New crop pricing on brown flax also remains strong with the availability to lock in $31.00 – $32.00/bu FOB farm with an act of God. This price is definitely a market you should sell in to. Not only do you get yourself some quicker movement and cash flow, but you also lock in what is likely the highest new crop pricing to ever be seen. There is still a market kicking around for yellow flax as well, both on new and old crop, but your best bet with that is to call in and let us find you the best price out there.
Markets for chickpeas on a whole have been flatline for the last week. News out of India indicates their crop to have a slight increase from previous numbers, and out of Mexico a slight downturn in production. Canadian markets are watching as weather has been mostly dry, but the general feel is still optimistic for the coming season. Despite a slight decrease in Canadian acres, it is speculated that the production should be more than last year, but down on a 5-year average. A lot of yoyo’s to handle in this information, but on a whole, slow and steady has prevailed. Old crop chickpeas valued at $.50/lb FOB farm and new crop at the same level of $.50/lb FOB farm with an AOG. The market is still hot for lower quality product and could be a good time to empty that bin.
The feed barley market continues to remain strong. With old crop tonnage chewed down pretty good and new crop a little ways off yet, buyer appetite holds. We continue to see most areas fetching $9/bu picked up on farm for July/August movement. If you are needing quicker movement, that’s an option, but it usually comes at a price cost. If you have a firm target, call your Rayglen merchant, and they will help you out. Looking ahead to new crop, feed prices have caught up to old crop with $9/bu DDC (no act of God) available in most locations for fall movement. If you were wondering about malt, well you haven’t missed much as that market remains stagnate. Last indications hovered around $10/bu.
Chatter from the growers’ side in the oat market are reporting buyers are looking for old crop supply. On the buyers’ side, it seems the demand is not to cover a short, but rather the opportunity to sell more is always present. Not sure if this drives markets any higher, or if it maintains tone though the coming weeks. Despite earlier reports of higher acres being seeded this year, there is some concern over actual planted acres due to weather conditions. It’s too soon to tell what those number are today. Old crop values for #2 CW are around $7.50-$8/bu FOB farm for June-July and new crop #2 CW at $6.50-$7/bu FOB farm for Sept-Oct with incremental movements up by $0.25/bu every quarter into 2023. Feed oats are valued around $6.50-$7/bu FOB farm depending on down grading factors.
The soybean market has had a month of up and downs but has had overall seen a small gain in pricing for the month. Soybeans are still feeling the pressure of tight global demand, slow seeding progress, and lower palm oil production. Seeding has picked up in some areas of the U.S.A putting the 2022 planting pace only 1% behind the 5-year average. The Northern Plains area is still struggling to get the crop in the ground. North Dakota is roughly 23% complete compared to the 5-year average of 70%, and Minnesota is 55% compared to 80% complete. The market will be keeping a close eye on the upcoming weather and how it will affect the rest of seeding. There is not a lot going on in the Faba Bean sector. A few buyers are looking for feed grade, with bids sitting near the $13.00/bu mark. Buyers seem to have little interest in the No. 2 market as oversea trade can locate beans from other sources easier and cheaper.
Tuesday and Wednesday have been tough days for North American wheat markets with as much as $1.20/bu USD negative trading range. Competing markets conditions are a little confusing. On one hand, a negative tone exists based on recent reports of US wheat planting progress, and a potential deal for Ukrainian grains in exchange for Russian fertilizers. On the other hand, Minnesota and North Dakota growers are shifting planned spring wheat acres into prevent plant and Ukraine is forecasting a 42% year over year wheat production decrease. Western Canada’s delayed spring wheat planting could translate into lower harvested volumes and potential quality challenges, time will tell. Local old crop milling wheat bids hover in the range of $15.30/bu delivered, with feed wheat values closer to $13/bu FOB farm.
Old crop canary bids continue to sit at 48c/lb picked up on the farm, though there have been some successful targets trading. A few targets at 50c/lb have been picked off for June/July movement. So, if you’re looking for 50c/lb, give your Rayglen merchant a call to lock in a target. There’s a bit of excitement over new crop pricing as 43c/lb picked up on the farm with an act of God is available on 10bpa for fall movement. This is historically a strong price on production.
Prices on mustard look very similar to last week. New crop mustard bookings continued at a decent pace as seeding wraps up in most mustard growing areas. We are still seeing some buyers seriously pull back on spot pricing. Overseas markets are perhaps looking to new crop. We have had reports of some serious flea beetle pressure in mustard, and some have to re-seed. Spot levels have the price around the $1.80 range on yellow, brown remains at $2.00/lb for a June/July movement, which is still excellent. Oriental seems stable at $0.98/lb FOB farm for June/July pickup. New crop values on all colours seem to have slipped a bit as yellow, brown, and oriental mustard are all sitting at $0.90-$0.95/lb FOB farm, with an Act of God including drought. Talk to your merchant on this, as a firm offer might be the way to go on new crop right now. Perhaps you might squeeze an extra penny or two in some cases and get the movement you want. Call us if you need some quick seed replaced, we may be able to help.
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