Glacier FarmMedia | MarketsFarm — There were few changes to feed grain prices at the start of May, but seasonal trends could see values come down over the next few months.
Jay Janzen of CorNine Commodities in Lacombe, Alta. is seeing buyers covering off their monthly needs while also observing very little price movement.
“Delivered Lethbridge, we’ve probably seen barley at around C$315 to C$318 (per tonne),” Janzen said. “That hasn’t changed a whole lot, but it does seem like it could be backing off with corn futures going a little bit lower and guys able to bring it up from the (United) States.”
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Warm Midwestern temperatures and timely precipitation weighed on corn and soybean futures at the Chicago Board of Trade coming out of the Independence Day long weekend. Weather should remain a major market driver through the growing season, although some short-term direction could come from the monthly United States Department of Agriculture supply/demand estimates due out on July 11.
The July corn contract at the Chicago Board of Trade closed at US$4.4925 per bushel on May 7, its lowest close since Dec. 19, 2024. Some analysts believe U.S. corn ending stocks for 2024-25 will be bearish when the U.S. Department of Agriculture releases its supply/demand estimates on May 12.
However, feedlots seem to be favouring one feed grain in particular.
“On the finishing side of things, a lot of guys that are on barley are going to stay on barley. I think some other guys who were on corn are going to finish on barley as well. But we do have to consider corn as part of the southern Alberta feed market going forward,” Janzen said.
He also said deliveries to feedlots have been steady as of late while growers continue seeding. Despite dry and windy conditions in southern Alberta, plantings — mostly barley and wheat — have progressed at a rapid pace.
“Guys are getting to the point now where they want to wait a little bit for the canola,” Janzen said. “I’d say they’re getting about 50 per cent seeded in the central areas (of Alberta).”
He added that feed barley appears to be headed to “the top end of the market” within the next month, followed by prices coming down as the new crop emerges.
