The chickpea market remains supported by strong export programs and a rise in Mexican and Indian pricing. Current Canadian bids are still quoted around 55 cents/lb FOB farm basis #2 spec with max 10% 7mms. If you have a higher percent of 7mms in your product, just let your merchant know as we will still be able to find a home with reasonable discounts. For our neighbours south of the border, US bids have been indicated at 38 cents/lb USD picked up on farm for large kabuli chickpeas. With export demand looking to remain strong, this will draw down our already lower supply, which should keep prices supported for this marketing year.
Spot mustard markets continue to hold their strength in value, which is now spilling over into some fantastic new crop programs as well. We all know that supplies are tight again this year, which is keeping prices supported, and the push for new crop acres has started. Old crop bids are indicated at $1.20/lb for yellow, $1.20/lb for oriental, and $1.15/lb for brown. Shipping windows remain attractive and we’re still able to contract for movement before year’s end if needed. If you have a target price in mind, just let your merchant know as firm offers continue to grab attention. New crop pricing has started out strong with bids indicated at $0.90/lb for yellow varieties, $0.90 – $1.00/lb on oriental, and $0.85/lb on brown, all with a full act of God on the first 10bu/ac. Speak with your merchant on movement options and firm pricing opportunities. We also have a good selection of certified mustard seed with treatment options and free delivery to farm available.
Flax markets remain much the same as previous days/weeks. Buyers aren’t aggressively buying, and sellers aren’t selling, which is presumably the reason these markets are in a holding pattern. There are still posted bids floating around in that $20.00 – $21.00/bu FOB farm range, but this does not appear to be a deep bid at all. The assumption is that if sales start to hit the books, these values will likely slip further. The US and China continue to buy cheaper product from other countries, and now reports suggest further Covid restrictions in China have forced many facilities at port to close up shop for the time being. The fact of the matter is most flax buyers remain comfortable with what they’ve already purchased and are somewhat willing to roll the dice on what the market is going to do down the line. Firm sales targets above posted bids haven’t been overly successful in recent weeks, but that option still exists for those willing to play the waiting game in hopes of stronger values.
Lentil markets are mostly sideways with demand seeming to slow compared to only a couple weeks ago. Bids on #2 large green lentils still hover around 52 cents/lb FOB for December/January shipping, while small green lentils show values around 50 cents/lb FOB. The red lentil market seems to be all over the map, but on the high end, 35 cents/lb delivered is still attainable in select locations with relatively quick movement. The market doesn’t seem to have a firm grasp on where red lentils are headed, but a recent influx of Australian production is hitting the market, causing some purchasers to pull bids entirely. So far, we haven’t heard of any fallouts regarding quality from Australia, but with all the discussion around untimely rain, this may still come. Today, it looks like any potential for red lentils to see an uptick in prices will depend on Indian purchases later in 2023. The green lentil market could see a slight rally in the new year as North American supplies are tighter than normal with Morocco, Colombia, and the UAE being the biggest importers.
Green and maple peas are gaining strength as yellows lose a little momentum this week. Although it’s not a widespread phenomenon, green peas have traded north of $14.00/bu FOB farm in a couple locations where the freight made sense. Growers are encouraged to post their firm targets up as these opportunities aren’t widely advertised. Buyers are starting to show interest in higher bleached and sample grade green peas for the feed market as well. Bids hover around $12-$12.50/bu FOB farm pending spec, which is a great opportunity to clear out any off-spec product sitting on farm. Maple peas have also seen an increase in price this week, with product grown from the Acer variety trading as high as $18.50/bu delivered plant. Other varieties are seeing strong values as well, up to $16.25/bu delivered. Yellow peas remain subdued compared to other pea markets, with very little aggressiveness seen on the buy side. That’s not to say that values aren’t attractive, as we still have options to move tonnage at $12.50- $13.00 FOB farm this week.
The oat market seems to be a bit more sporadic this week as some buyers sit on the sidelines, while others jump back into the ring for another round of purchasing. Those on the sidelines are content with current bookings and are generally uninterested in procuring more, unless values are low enough and shipment windows are wide enough. Those that are looking for product bring a welcomed change with bids at $5.00-$5.50/bu FOB farm on the east side of Saskatchewan… movement is still well into the new year. Sales remain slow as many producers want to see bids closer to last year’s highs and a quicker shipping option, but some growers have taken advantage of the opportunity in fear of missing a short rally. New crop bids are now out and quoted around $5.50/bu delivered plant for glyphosate free product. If this of interest, let us know and we can get you a FOB farm bid if that’s your preference. Feed oats continue to be searched for and values sit in that $4.00/bu or better range for another week.
The barley market is in a bit of a flux this week as corn makes its ascent into feedlot alley from the US. Additional unit trains are hitting Lethbridge which is taking the burn off the buying side of barley and buyers are starting to squelch bids a bit. Decent values are still out there to be had with bids in the north and southeast corners of Sask ranging around that $7.50/bu mark with stronger values quoted as you move closer to southern AB. Look to see top bids in SW Sask around that $8.50/bu and a little softer in NW Sask, around that $8 dollar range; all picked up on farm for Dec-Mar shipping. Looking for a little quicker movement? Talk to your Rayglen agent about putting up an offer. Sliding to the malt side, buyers are still sitting on the sidelines not looking to engage too much. If feed bids start to pull back, you may see the maltsters come to the table with a bit more of an appetite.
The canaryseed market remains unchanged for another week, a common theme seen for quite some time now. Buyers and sellers remain at a standoff, both sides content to sit and wait for the other to flinch first. A few loads have been booked here and there, but we are far from overwhelming amounts hitting the pipeline. Buying interest at historically attractive levels continues with bids quoted around 40-41c/lb picked up on the farm. Shipping windows remain reasonable, still quoted as Dec-Jan, which offers growers a good option for cash flow early in the new year. It is perhaps time to talk to your merchant about new crop values as well. Although we don’t have any firm bids, other commodities are starting to show bids for 2023/24 production, and we think it may be time to start throwing in 10bu/ac targets with an act of God.
Quiet markets for faba beans lately as buyers are not really looking and sellers don’t seem to be coming out of the woodwork with product. Bids remain around $13 to $13.50/bu on farm for #2 quality, whilst the feed prices still seem to be showing close to $10/bu depending on your location. Soybean futures have been mostly running sideways of late, not venturing too far out from $14.50 USD on the January for the month of November thus far, posted at $14.28 USD at time of writing. Markets got a bit of a kick up early in the week due to the missile strike in Poland, but the pop up seems to have backed off as cooler heads prevail. A weaker USD hurts the soybean values up here as well this week. Local soybean bids are showing somewhere around $18-$18.50/bu CAD today, maybe a touch better in the right areas as a picked up on farm price.
The wheat market continues to be sensitive to the events of the Ukrainian/Russian conflict. Wheat markets have dropped as details become clearer regarding the unintended and errant missile strike in Poland. It has now been confirmed the missile that left two of Poland’s citizens dead was unintentional – and likely came from a Ukrainian anti-missile defense system response to a Russian barrage. Committed bulls still focus not only on the Black Sea, but also dry conditions in Argentina, wet harvest in Australia, and poor winter wheat crop condition scores in the US Midwest. Local milling market values run near $11.75-$12.00/bu delivered, while feed values trail valued in a range of $9.25-$10.00/bu FOB farm, freight dependent.
Much like all grain commodities, canola is giving back the gains seen yesterday driven by tense Black Sea news. Local demand for canola remains strong and global edible oil prices are contributing to robust crush margins. Local crushers are reflecting that in their bid structure. Local bids are location dependent and range from $19.00-$19.50/bu FOB farm based on a Jan futures value of $882/MT and change at time of writing.
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.