Canola prices maintain posture for another week and as the weather improves, we see harvest picking up in many locations throughout the Prairies. Concerns over green and high moisture are real, but the focus is not on marketing, rather, getting the product in the bin. Values today maintain around $9.65-$9.90/bu deld plant for OND with slight carry in the market for JFM at $10.00-$10.25/bu through June. Heated, green and off spec canola with high moisture trades steady around the $3.50/bu -$6.50//bu FOB farm range depending on percentages off each.
Lentil prices have had some movement over the last week, with red lentils at 18 cents picked up, small greens at 19 -19.5 cents delivered and large greens holding sideways at 24 cents picked up. Any lentils that have come off in recent weeks, will more than likely have some quality issues, but we do have prices for lower grades. Lentil movement through the Canadian handling systems has been positive over the last month, mostly due to the delays in harvest. At this time, import restrictions by the Indian government could hinder the future outlook. Australia’s crop estimate on red lentils is still positive regardless of the concerns of the other crops as the main lentil growing regions have potential. We could see some competition with Russia as new crop supplies become available and while we have seen a slight increase in lentil prices, this does not automatically translate to a long-term bullish market.
This past week has provided some decent enough weather for producers to get back in the field and resume harvest. We have seen a good amount of feed wheat coming off after the harvest delay and that doesn’t come as much of a surprise to most. The feed wheat market hasn’t faltered quite yet though and trading remains between $4.30 to $4.70/bu FOB farm. The milling market remains relatively stable as well, trading between $6.50 to $7.00/bu delivered to plants around Saskatchewan. Milling bids may see some life as more and more feed is reported, so make sure you keep in touch with your merchant. Milling durum is another commodity that is expected to remain firm throughout the year. #1 CWAD in the south east part of the province has traded as high as $9.00/bu FOB farm, although those bids seem to have slipped a little over the past couple weeks. Currently most of the Prairies are seeing bids in the $8.00 to $8.50/bu FOB farm range. We are asking producers to send in their durum specs so we can get you an accurate bid on your product. We also suggest getting firm targets posted into the new year to try and push these values.
There is some life sparked into the pea market late last week and early into this week. Larger variety green peas are trading at $9.00/bu Fob January – February and yellow peas had targets triggering at $6.25-6.50/bu FOB November – December. At the moment, green peas are still holding strong, but yellows have pulled back slightly. Green peas are holding this strength due to the tight supplies last year and the quality issues we are experiencing this year. We haven’t seen any overseas marketing changes that are looking to affect our market anytime soon. Therefore, locking in a target with your merchant is the way to go if your target price is close. Maple peas have been trading at $7.50/bu FOB and Dun peas are at $7.25 – $7.50/bu delivered.
The chickpea market is a bit of an enigma right now with a wide range on prices from lowly feed bids at 10 cents to #2 trading as high at 28 cents/lb picked up in the yard this week on the large kabuli types. Buyers are still concerned with sizing and want to know the general representation of 7mm sizing in the product as a starting point. There is still a fairly significant amount of chickpeas that have not been harvested at this time and the quality on the outstanding product is suspected to be poor. We have heard some combines getting into chickpeas, but in many areas combining is a matter of picking and choosing which parts of the field you won’t get stuck in, so it is a slow process. We have not heard many bids on desi type chickpeas in recent weeks, but reports suggest numbers are in the low twenties for those with binned product.
Well, if you asked the farmers at the beginning of the year if they’d still be harvesting now, a good majority would have said, “no”, but boy oh boy, no one saw this lack of summer and rain/snow filled fall, not even the farmers almanac… we think. This has pushed canary harvest production behind and as of last week Friday, canary was reported to be 69% complete in Saskatchewan. A positive note being that we continue to hold a solid price of 30c/lb FOB farm. As more canary is moving off the farm and into the market, we are starting to see tighter margins of carry over and early indications point towards a stronger demand for canary world-wide, so stay tuned.
As harvest slowly progresses, we are starting to hear that the flax crop is finally making its way into the bin. Unfortunately, we are also hearing and seeing that quality is all over the map. Many samples are coming in light weight, which usually lowers the oil content, discolored, throwing it out of milling spec and others seem to be completely fine. Getting a pre-grade on your flax will be beneficial in making it easier to market. When you get your flax graded make sure to get the test weight, moisture, dockage and, if possible, oil content. Flax has lost a little steam this week with prices ranging between $13.50-$14.00/bu for milling quality and $13.00-$13.50 for #1. Lower quality flax buyers are asking to see the sample before providing a bid. Yellow flax is still in demand with trades triggering at $15.00 to $15.50/bu.
The sideways trading of the oats market continues this week with very little happening price wise. Milling oats maintain a solid price amid concerns of quality around the prairies with this poor weather. The last week has provided some relief in Saskatchewan as combines have been rolling around most of the province and reports of some producers wrapping up harvest 2019 have been coming in. Milling oats are trading between $3.40-$3.75/bu delivered to plant. Feed quality oats are currently worth $2.50-$2.75/bu FOB farm as long as they are heavy and dry.
Compared to last week, the mustard markets are fairly flat, with an exception to yellow varieties. More interest in yellow mustard has popped up and bids have jumped to 38c/lb FOB farm on a #1. The quality this year is still generally unknown due to mustard being harvested late and taking a beating from the weather. It sounds like a few lots were taken off before the weather turned for the worst although, we haven’t seen many samples yet. Brown mustard prices are still at 30c/lb FOB farm, and oriental, depending on variety, is bid between 22-25c/lb FOB farm. All pricing is based on #1 and is subject to sample acceptance. If you are ready to start thinking about next years crop plan, we have certified mustard seed available that can be treated and is all delivered to your yard. For new crop contracts, show us offers and we will bring them back to our buyers.
Barley prices are stalled out this week, which we view as a positive. The past week has been great for weather and has a lot of growers back in the field finishing up harvest. This means more feed barley is likely to hit the market, so the fact that bids are stable is exciting, but we don’t expect that to hold for too long. Many reports from growers sound the same; they needed this week to get that last barley off no matter how flat it was! Movement on feed grains is being pushed back as feedlots remain bought up for October and now November, so we are looking into December or further out delivery periods. This isn’t all bad news though, as bids seem to have some carry for deferred delivery. Prices right now are anywhere between $3.25-$3.65/bu FOB farm Nov-Dec, depending on freight. We also have buyers looking for malt quality barley, so send us your samples.
Soybean futures continue to yo-yo due to crop conditions and delayed harvest. We also have no new news in China U.S. trade talks. Local soybean bids are trading in the range of $10.50/bu picked up on farm. Dry bean bids have held reasonably firm with harvest delays being reported in Western Canada and North Dakota. We are hearing faba quality variability from this year’s crop, some of which has been harvested whereas other geographies have yet to harvest. #2 faba bean bids continue to hover near $8.00/bu picked up.
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