Lentil markets remain stable for another week. Large green #2 or better lentils are still bid between 53 and 54 cents/lb, while small greens are being indicated in the 48-50 cent range. Despite these stronger than average bids, farmer selling remains subdued partly due to lack of product in the bin and also reluctancy to make a move until this year’s crop is established. Buyers are also looking for medium green lentils in the northern States, with bids sitting at 40 cents/lb USD. Please note if you are a Canadian medium green lentil grower, we do have buyers, so please call the office! French green lentils remain sought after this week with values being quoted as high as 1.00/lb FOB farm. Small red lentil trade continues in the 41-42 cent range this week with product trickling in every day. New crop prices are still excellent for all varieties of lentils with reds bid at 38 cents or better, LGL trading at 42-44 cents and small greens around 40 cents; all are indicated as FOB farm with AOG. Prices remain stable due to a falling dollar, with most buyers still purchasing product hand to mouth. Therefore, we are seeing a larger than normal range in pricing between buyers. StatsCan is predicting a slight increase in acres which should help improve our ending stocks; an increase of only 6% could give lentils close to a 50% increase in supply. Now we sit back and watch the weather and market reaction.
Chickpea acres for the coming year have repeatedly been reported as on a potential decline. StatsCan estimates down by 6% compared to last year, although it is likely to see these numbers change. If yields are in the 20bpa range, the production would be higher than last year, but the lowest in over 10 years. With Indian markets softening and the Canadian dollar weakening against the US, we have still experienced a slight uptick on bids. US markets have maintained their value, which could be a hint that they are the driving force behind the recent increase. Current crop values for a #2 Kabuli are $0.47-$0.50/lb FOB farm depending on the method of sizing and buyer for May-July movement. New crop #2 Kabuli’s are valued near $0.50/lb with an AOG. Sample quality chickpeas are valued at $0.30/lb.
Oat markets remain quiet as of late, which is nothing out of the norm as to what we usually see this time of year. Most buyers appear to be bought up with enough product to cover themselves until the 2022 harvest, however, they may still entertain product for the right price and delivery time frame. Even with old crop oat values being harder and harder to find with each passing day, that doesn’t mean there isn’t a market. We suspect prices are still tradeable in that low to mid $8.00/bu delivered range as we write. Fall prices for oats are much the same and unchanged, but buyers are still snapping up some tonnes. We see bids at $6.00 to $6.50/bu delivered plant still out there depending on delivery time frame. Feed oats also go without fluctuation this week and hover in that $6.00 – $7.00/bu range picked up on farm depending on quality, timeframe, and location.
Wheat seems to be on a bit of a roller coaster ride as of late with daily changes in value a common theme. Ballpark figures put #1 red spring around $15.00/bu delivered to central Sask, but values do seem to be taking $0.10/bu hit daily. Don’t get yourself caught hoping for a $0.50/bu uptick and have it drop in the dollar figures; current bids for 13.5% protein HRS are a great value to sell into! The feed side of things is still triggering wheat at the $12.50-$13.00/bu FOB farm range for a May-July shipment window, also a strong bid to make some final sales into. Not much to report for changes to the durum market as buyers are still looking but are cautious not to be caught long in this market. Values are quoted around that $16.00 – $16.50/bu mark for a #2CWAD or better, but we don’t suspect volume is deep. New crop values range from $14.75 up to $15.00 for a #1 CWAD with roughly a $0.25/bu hit for each downgrading factor. We have a few different options for new crop contracts so call in to your merchant today to learn of your potential new crop signings. As always, if you’re searching for something above quoted bids, posting a firm target may be the route to go!
Back in the day, the canary bird was used by the miners to detect/warn miners of toxic gases. Now you may be wondering how this connects to canary seed… Well, this market continues to hum and chirp along at 48c/lb picked up on the farm with little perceived threat down the line. The odd offer did trigger last week at a bit stronger value, so if you have a firm target in mind, just let your Rayglen merchant know. With seeded acres on the down trend and dry conditions still lurking for western Sask, the price support looks to continue as on farm stocks are not as bountiful as was when bids hit 30c/lb roughly two years ago. Without skipping a stride, this commodity continues to move right along and for now, the bird continues to sing.
StatsCan’s latest flax update shows 16% decrease in 2022 seeded acres compared to last year. Although weather conditions are more favorable than last year, analysts are still being cautious, estimating yields at 20bu/acre. There haven’t been many overseas bulk exports the past couple of months, however the US is still the main destination for Canadian flax and is keeping bids supported. Russia has been the dominate source on volumes of flax headed to China and there is no shortage as prices are cheaper than North American flax. Prices are still firm around $38.00/bu picked up, but that buyer pool is starting to thin out. The drop in new crop acres hasn’t affected new crop pricing too much, but we do see a wide spread in values anywhere from $26-$31.00/bu picked up, act of God. The trade will be monitoring yield potential and weather to determine where these prices go.
The barley market has been holding up this past week with spot prices still showing bids in the high $8/bu FOB range and catching $9/bu in some good freight areas. New crop prices are just off the spot bids and can be found north of $8/bu in most areas and higher in the more select freight areas. Fall barley contracts do not carry an act of God, and with how people were burnt last year, there has not been a clamor to jump on contracting tonnage until production looks a little more secure. New crop malt programs can be found on the plus side of $9/bu and often can be found with an act of God clause, so if you’re looking to hedge your bets there and take some risk off the table, talk to your merchant on a malting program. Predictably the barley acres are going to be lower this year, about 10% lower according to StatsCan, but that number may change some yet. Current moisture maps would say the west is not likely to be upping barley acres, but later seeding and good moisture in the east may add a few here or there.
Mustard markets are fairly similar to last week, but the acreage report from StatsCan did take some of the wind out of the sails. The dramatic increase in acres has certainly plateaued prices for now, but the good news is bids remain strong. New crop values have yellow and brown mustard sitting at $0.92-$0.95/lb, with oriental indicated around $0.90/lb. These of course are FOB farm prices with an Act of God including drought. Growers have been booking acres steadily over the past few weeks and we suspect contracts will likely remain available throughout the growing season. Spot levels still show $1.90 to possibly $2.00/lb on yellow with growers now possibly needing to use a firm target to secure bids over $2/lb on brown, as prices seem to have softened. Oriental remains at $1.10/lb FOB farm. Some seed may still be available, so please talk to your merchant as soon as possible. Some types are almost sold out.
Canola markets are moving in the right direction again today, showing a $13.50/MT gain on July futures and nearly $25/MT to the positive on November futures at time of writing. Strength likely stems from spillover support in soybean and soy oil markets today. Current spot cash bids on canola sit around $26.50/bu or better delivered plant in NW and NE Sask and closer to $26/bu FOB farm in SE Sask. New crop canola values continue to show strong bids as well with NW Sask seeing values at or near $24.50/bu delivered plant pending delivery window. NE Sask bids are closer to $24/bu delivered and SE Sask can expect to hit the $23-$23.50 range FOB farm, again pending delivery timeframe. Those outside of quoted areas are encouraged to call so we can track down firm values. War volatility, dry conditions and what we think most would call “lower than expected” canola acres reported by StatsCan still keep the market propped up and values firm.
Soybean futures staged a modest bounce due to Midwest US planting delays and spillover from an energy market rally. Local bids are location dependent and range from $17.50 -$18.25/bu FOB farm. Dry bean markets are still absorbing the impact of the recent precipitation in North Dakota and Manitoba. Early forecasts anticipated dry bean acres to be down due to potential net returns from competing crops. New crop specialty dry beans bids are between 50¢-60¢/lb delivered. Local feed values continue to dictate domestic faba values. New crop faba bids showing up around $15.00/bu FOB farm for a #2, while old crop feed faba bids are near $13/bu FOB farm. Old crop #2 quality fabas are likely priced in the range of $16/bu FOB farm, but bidders remain few and far between; growers are encouraged to use a firm target!
The forecasted 7% decrease in year over year seeded acres has offered some settling to what was feeling like a slipping market. Yellow peas are priced at $16.50 – 17.00/bu, while green pea bids hover near $14.00/bu. Maple peas have some interest at $15.75-16.00/bu. New crop prices have firmed on both yellow and greens this week with indications at $14.00/bu and $13.50/bu FOB farm with AOG. New crop maple peas are showing bids around $14.00/bu delivered. Interest exists for other niche peas as well, such as Austrian Winter Peas, so please let us know if you’re looking for a home or throwing up a firm target on any type of pea!
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.