Tariffs from China and the United States have paralyzed feed grain markets in Western Canada according to Market Master Ltd. owner Susanne Leclerc from Edmonton.
With Alberta farmers presently reluctant to sell their barley and wheat for feed, cash prices have been on the upswing, according to Darcy Haley, vice-president Ag Value Brokers in Lethbridge.
There is still some buying activity at feedlots despite some cattle already being put out to pasture for the summer months, according to Susanne Leclerc at Edmonton-based Market Master Ltd.
Due to good supplies, prices for feed barley and wheat continued to slide back, according to Jim Beusekom of Market Place Commodities in Lethbridge, Alta.
For the week ending February 15, Western Canadian feeder cattle markets traded steady to five dollars higher on average compared to seven days earlier. The market has recovered after the recent stretch of adverse weather and the U.S. tariff threat in early February.
For the week ending December 21, Western Canadian backgrounded cattle and heavier calves were unchanged to $5 lower on average. Calves in the 600-800 pound range were relatively unchanged while calves under 600 pounds were steady to $10 higher.
The weaker Canadian dollar has enhanced the feeding margin structure on incoming replacement calves and this translated into stronger values on premium genetic packages. Finishing feedlot operators in Alberta and Ontario were fairly aggressive in Manitoba and Saskatchewan markets.