MarketsFarm — The feed grain market in Western Canada is holding relatively steady for the time being as both buyers and sellers wait to get a better handle on new-crop production.
“It’s a waiting game at this point between the farmer and the feedlot,” said grain merchant Jay Janzen of CorNine Commodities at Lacombe, Alta.
Relatively dry conditions in Alberta were behind the caution, with steady movement of corn coming up from the U.S. and a recent influx of wheat entering the local feed market from a line company elevator keeping the market well supplied.
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While the dryness was limiting forward sales from farmers, “if we got a good rain then you’d see the bin doors open,” Janzen added, noting “at this point, it’s just the weather.”
Some spot business is still taking place, although most feeders are thought to be well covered for the time being.
Feed barley in Alberta is currently trading in the $7 to $8.93 per bushel range, according to Prairie Ag Hotwire data, with new-crop bids topping out at $6.70 per bushel.
— Phil Franz-Warkentin is an associate editor/analyst with MarketsFarm in Winnipeg.
