The pea market has had little to no change from last week. Yellow peas are still priced at $18/bu picked up in a few locations pending freight costs, while green peas continue to trade at $16 – $16.50/bu picked up. Maple peas show a bit more demand with trades taking place at $18 – $19/bu, depending on variety and movement timeline. The US market continues to support Canadian yellow peas which is holding our bids above other pea producing countries. Reports suggest India will be heading into the rabi season with a good amount of moisture, indicating positive planting conditions. However, their pea prices are down, so we wait to see if this will reduce pea plantings or not. New crop bids have slowly begun, mainly just for yellows, with trades taking place at $12 – $13/bu picked up with an act of God.
The oat market improved a bit this week as trades have taken place as high as $9.50/bu FOB farm for #2CW milling oats. The main reason for the price strength continues to be this year’s low yield as well as oats becoming a more popular dairy substitute. The best pricing opportunities for milling oats continue to be in Eastern Saskatchewan and into Manitoba. Bids are available all around the province though so be sure to let us know what you have and your pricing target. On the feed side of the oats market, indications remain between $7-$8/bu FOB farm for heavy and dry product. New crop bids are available for the 2022 growing season at $6/bu FOB farm for quick Fall movement.
After a small step back at the end of last week, January canola futures jumped right back into positive territory this week. The main reason for the price increase is coming from the USDA’s latest supply/ demand numbers, which revised soybean yield lower and sent soybeans and soy oil into a rally. That bullish soybean market, combined with tight Canadian stocks has the January futures at $995/MT, up from $986/MT at the same time last week. Looking all the way out to new crop, September futures are up to $785/MT and some local bids are now as high as $17/bu delivered into plant for Fall/Winter shipment of 2022.
Lentils have had another quiet week as markets continue tread lightly. Major concerns remain with the upcoming Australian harvest, logistical problems, and the fact that lentils are still priced at historically high levels. At this point buyers seem content with purchasing hand to mouth or just sitting on the sideline hoping values come down. Today, reds currently trade between 43-46 cents/lb delivered plant with shipping windows mostly pushed into 2022. Buyers continue to show little interest in #2 large greens, but indicated values remain around 59 cents/lb FOB farm. We’ve seen a bit of increased demand for higher quality #1/X2 large greens this week though, currently indicated at 61-62 cents. Small green lentils remain in light trade, being bid around 60 cents/lb FOB farm for #1 quality. Sample and feed grade bids seem to be the most active, as the pet food market is looking for product. If you have poor quality lentils give us a call as there should be a home for them at strong values.
The Canary seed market remains much the same this week. Since our last report, there hasn’t been any notable price or demand spikes, or drop offs. The Canary market seems to be stable with old crop still bid around $0.51/lb FOB farm for delivery into the new year. Old crop demand seems to be thin and end users seem to be content, so we may see prices decrease further if/when current needs are filled. New crop bids float around $0.35/lb FOB farm with an act of God today, but in light trade. Historically speaking $0.35/lb FOB farm for new crop pricing is a great starting point to get something on the books. That said, if these values aren’t quite doing the trick for you, call in and speak to a merchant to offer product up on firm target. Whether it be new crop or old, showing the market what you’re looking for can translate into actual trade.
Global markets are watching export numbers and seeing much of the world chickpea demand being filled outside of Canada. North America currently has the top-ranking values, which in turn has buyers looking elsewhere for product. The US was the main catalyst for Canadian chickpea exporting, but as of late, that demand seems to be tapering off, which would explain some buyers tightening their bids. Globally, India’s chickpea supply is typically a Desi variety, but there is chatter that they intend to increase their Kabuli planting, which adds another spoke in the wheel for possible Kabuli chickpea origins. Good quality #2 Kabuli chickpeas are valued @ $0.57/lb FOB farm for Jan.-Feb. movement. New crop bids come in at $0.42/lb FOB farm with an AOG with discounts for lower grades up to 10% damage. Sample chickpeas are worth $0.52/lb FOB farm Jan.-March.
Flax prices remain sideways for another week with bids still at $45.00/bu picked up for movement after the new year. A small increase in new crop values was seen this week as a few acres trade at $24-$25.00/bu picked up with an act of God. Yellow flax also remains strong with bids on old and new crop being catered to variety. If you have some product in the bin, call your Rayglen merchant to discuss pricing options. The strongest demand for flax has been coming out of the US. Exports to China have been limited as Canadian values are too high. Some analysts question whether Canada is pricing themselves out of other global markets such as China and the EU. The rally in flax prices seems to have slowed and with sideways pricing the last couple of weeks, it’s time look at what’s left in your bins. The main question is: will this market lose some steam once US demand is content and shifts business elsewhere?
The barley market is still trading at very solid levels this week and most of the Prairies still see bids at $8/bu, or better, FOB farm. In select areas, for premium barley (heavy and very dry), we have seen stronger values indicated. This is mostly applicable in the Southeast area of Saskatchewan and for those who are interested, please call to discuss. Barley prices are strong, but off a bit from the mid $8/bu picked up range we saw a couple weeks ago, due to the long talked about corn shipments starting to roll in. We’ve been expecting these corn shipments to come for a while, so it’s not really big news. Support in the barley market comes from reports that nearly half a million MT of barley left the country in early Fall to parts unknown… well not unknown, just not here. Malt interest is being seen with bids at $10.50/bu picked up on farm or better and rumors that some $11/bu delivered prices have popped up.
Soybean futures got a boost yesterday from the USDA WASDE report. The yield cut (51.2 bpa), reversed a downward trend and has futures trading near $12.25/bu. It should be noted that this year’s US soybean crop is forecast to be the second largest on record. Local bids have been as high as $14.50 to $15.00 FOB farm, location dependent. Feed fabas remain well supported by a strong overall feed complex and have recently traded at $13.00-$13.50/bu FOB farm. Export quality fabas currently trade at $15/bu FOB farm. Significant carryover volumes continue to temper dry bean prices. This may be countered by sedate farmer selling.
There was minimal change in the USDA report regarding wheat. Global and US supply stocks are soft, which continues to lend support for a positive trading atmosphere. As such, milling prices on a 13.5% protein CWRS are indicated at $12.45/bu delivered in Central Sask. for new year movement. There is some buyer interest in SWS as well and if you are looking for homes, give your Rayglen merchant a call for pricing and movement in your area. Shifting gears to feed, buyers continue to show interest at $11.00/bu FOB for movement this year and early 2022 on dry heavy product. Durum bids continue to trade at strong values with options to move product this calendar year. Look to see pricing in SE Sask. around $21 del for 2CWAD with West Central Sask. hovering at $20.50/bu FOB on a 3CWAD. Buyers are always entertaining offers, so if you have a firm bid let us know.
Not much change in the very hot mustard market this week as we continue to trade light volumes at record levels. Again, it’s very important to talk to your merchant and come up with a strategy to market your mustard effectively. It could be a firm offer that helps you get the sale done above expectations. We are seeing yellow trade at or above $1.10/lb FOB, with buyers also willing to entertain brown mustard at similar levels. Oriental lags but would likely trade around the 80-cent mark for Forge or Vulcan type, with Cutlass potentially carrying a slight discount in the 70’s. We have had discussions with many growers on new crop values. Again, these prices look absolutely phenomenal including an act of God. Mustard seed sales have started early and are starting to pick up. If mustard is an option for you, it is critical to find a pure supply. Talk to us about all types of mustard seed delivered to your yard. We have been delivering product to farm for years and make it as easy as possible for you.
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.