“Instead of being out there grazing and breeding, they are standing around in a little circle trying to fight the bugs.”

Cattle producers in Manitoba can expect to buy feed come fall because cur rent pas ture conditions are limiting the weight gains, according to industry officials.

During the week ended July 16, cattle movement was said to be slow as the industry is experiencing the seasonal summer shutdown. However, prices for cattle were steady to strong, ranging from $30 to $60 per hundred weights, or cwt, for slaughter cattle and $78 to $125 per cwt for feeder cattle, according to auction yard results. At the auction yards, feeder cattle were in high demand, but the quality of the animals varied.

However, the weight of cattle that will be hitting auction yards this fall is in question due to poor pasture conditions.

The summer season is typically when cattle producers send their cattle to pastures to fatten before selling them in the fall. However, due to the excess moisture conditions in Manitoba, many pasture lands are forcing cattle to higher ground which could affect their weight gains, according to Pam Iwanchysko, forage production specialist, and Tod Wallace, beef extension specialist, with Manitoba Agriculture, Food and Rural Initiatives.

“Cattle are … not utilizing much of the pastures other than the high ground areas,” said Iwanchysko.

“Livestock weight gains are significantly reduced because of that, the grass is full of water so they’re not getting a lot of fibre in their stomach and the weight gains are significantly less than producers are hoping for,” said Iwanchysko.

Wallace said that bugs this year have also been a factor, with mosquitoes and black flies being the worst. He farms himself and said in the pasture he has seen packs of cattle huddled together, as well as bulls lying in the grass in an attempt to protect themselves.

“Instead of being out there grazing and breeding, they are standing around in a little circle trying to fight the bugs,” said Wallace.

With the wet weather conditions in Manitoba, it is expected that cattle producers will want to source feed for their cattle before auction in the fall. However, the excess moisture has affected forage crops not only in Manitoba but across Western Canada, and has the potential to change the price of feed.

“There’s not going to be a lot of slough hay this year and in the southwest region of (Manitoba) a lot of producers rely on that for about 50 per cent of their hay production,” said Wallace.

However, Wallace said producers who started to access their hayfields recently have been surprised by the quality and he suspects that the yields will counter the loss of acres, leaving feed prices steady.

“Yields on some of the hay fields are really going to be good, but then there’s going to be a lot of lost acres because of excess moisture,” explained Wallace. “I think it will even out and I suspect most alfalfa hay will be around the normal price it is every other year.”

Haying in some parts of the province has begun, but no significant progress has been made, according to Iwanchysko. She said that consistent warm, dry weather is needed in Manitoba for forage croplands to dry out and for haying to make significant progress.

“If we get some good weather I think things will improve where producers can get out onto some of their tame hayfields,” said Iwanchysko.

But if unfavourable weather conditions continue to cycle through, “it’s going to have a significant impact of forage and livestock producers in the near future here,” said Iwanchysko.

FROM THE AUCTION FLOORS:

Note: All prices in Cdn$ per cwt. These prices also generally represent the top one-third of sales reported by the auction yard.

Ashern Livestock mart: Ashern is closed until mid-August.

Gladstone Auction Mart: Closed until August 16.

Grunthal Livestock Auction Mart: There were too few cattle for a market report this week.

Summer schedule: Auctions will be held every other week in July and August.

Heartland Livestock Services, Brandon: A total of 296 cattle were on offer in Brandon during the week.

A1-A2 steers traded from $79-$83.25; A1-A2 heifers $78-$81; D1-D2 cows $55-$60.75, age verified $55-$62.50; D3 cows $48-$55 and good bulls $68-$72.25.

Feeder steers weighing 900-1,000 lbs. sold from $85-$92; 800-900 lbs. $98-$105.25; 700-800 lbs. $105-$115; 600-700 lbs. $110-$122.50; 500-600 lbs. $110-$123; and 400-500 lbs. $115-$119.50.

Feeder heifers weighing 900-1,000 lbs. sold from $80-$89.50; 800-900 lbs. $85-$92.50; 700-800 lbs. $90-$107.50; 600-700 lbs. $100-$107.50 and 500-600 lbs. $108-$112.75.

Summer schedule: Auctions will be held every Tuesday.

Heartland Livestock Services, Virden: There were about 419 cattle sold at the sale held July 14.

Butcher steers brought $78-$83 while butcher heifers sold from $77-$81.50. Age-verified/young cows sold from $57-$61; D1-D2 cows $55-$59; D3 cows $52-$55; shelly cows $48-$52 and mature bulls $69-$73.25.

Feeder steers weighing 900-1,000 lbs. brought $87-$96.50; 800-900 lbs. $95-$104.25; 700-800 lbs. $98-$108; 600-700 lbs. $105-$118; 500-600 lbs. $110-$124; 400-500 lbs. $110-$125.

Feeder heifers weighing 900-1,000 lbs. traded from $78-$88; 800-900 lbs. $85-$94; 700-800 lbs. $90-$102; 600-700 lbs. $98-$107; 500-600 lbs. $100-$109 and 400-500 lbs. $100-$111.

Summer schedule: Auctions will be held every Wednesday.

Killarney Auction Mart: Killarney is now closed until mid-August.

Pipestone Livestock Sales: Pipestone is closed until the end of August.

Ste. Rose Auction Mart Ltd.: The next sale will be held on August 12.

Taylor Auctions, Melita, Man.: The next sale will be held on August 19.

Winnipeg Livestock Sales Ltd. There were about 300 head of cattle sold during the week ending on July 16.

In the slaughter market, choice steers and heifers sold from $80-$83; select steers and heifers $77-$80; dry fed cows $44-$47; good fleshed $40-$44; lean $34-$40; young age verified $45-$56.50 and good bulls $62-$74.50.

Feeder steers weighing 800-900 lbs. brought $92-$97.50; 700-800 lbs. $97-$103 and 500-600 lbs. $105-$118.

Feeder heifers weighing 800-900 lbs. traded from $85-$90; 700-800 lbs. $90-$95; 600-700 lbs. $93-$99 and 500-600 lbs. $95-$100.

Summer schedule: Winnipeg will hold a sale on Fridays only.

Amanda Lefley writes for Resource News International

(RNI), a Winnipeg company specializing in grain and

commodity market reporting.

The post Wet Pastures, Bugs Slow Livestock Gains appeared first on Manitoba Co-operator.

“There will be more competition from the U. S. for Canadian cattle this fall.”

The outlook for the Manitoba cattle industry includes reduced cattle movement, aggressive U. S. buyers, a possibility of lower feed prices, later deliveries, an increase in demand for yearling cattle, and steady cow prices.

During the week ended July 9, cattle movement was said to be slow, according to auction summaries, as the industry is in the middle of its summer shutdown.

The number of head is expected to decrease come fall, according to Rick Wright, a cattle buyer with Heartland Order Buying Co. Cattle movement will decline, he said, because of the liquidation of cattle which has been occurring since last fall. The decline will be caused by producers holding on to heifers for breeding purposes and an overall lower supply of yearling cattle, he added.

“More yearlings will be held back for retained ownership or are already committed to forward contracts, so that’s going to reduce the numbers,” said Wright.

Supply and demand will play a factor in cattle prices come fall, Wright said, but the value of the Canadian dollar will be a key factor.

According to Wright, the Canadian currency is expected to trade lower versus the U. S. greenback. A lower-valued Canadian dollar will mean more aggressive American buyers compared to last year.

“There will be more competition from the U. S. for Canadian cattle this fall,” said Wright.

The availability of feed is expected to increase, according to Wright. Wet weather conditions through the Canadian grain belt are expected to affect the production quality of some crops, but no official estimates have been made. If the crop quality is lower, Wright said it will make its way into the feed sector.

Also, he said, a strong U. S. corn crop is expected, which means cheap feed. However, the amount of feed shipped in from the U. S. will depend on the status of the Canadian currency.

“If the Canadian dollar is at 90 cents and not at par, it’s more difficult for us to bring in corn from the U. S.,” explained Wright.

Come fall, the Manitoba cattle industry might see later deliveries due to pasture conditions. Currently, they are saturated and there is a lot of bug activity, according to Wright. However, if the fall brings more favourable weather and the province experiences a late fall, similar to last year, it will mean cattle staying on pasture for a longer period of time.

Wright also expects there will be an increase in demand for yearling cattle from U. S. buyers, which will mean competition for Canadian feedlots.

“We could see Canadian feedlots be more aggressive on calf prices than they were last fall, just in an effort to have inventory ready to sell in January, February and March,” he said.

He also expects the price of finished cattle will increase while the price of cows will remain steady.

Demand for hamburger is “extremely strong,” said Wright.

An increase in demand for hamburger meat in the summer is typical, as barbecue season is in full swing.

“The dollar menus in the U. S. (fast-food restaurants) have really prompted high hamburger sales and that’s really helped the cow prices stay steady,” said Wright.

FROM THE AUCTION FLOORS

Note: All prices in Canadian dollars per hundredweight (cwt). These prices also generally represent the top one-third of sales reported by the auction yard.

Ashern Livestock Mart: Closed until mid-August.

Gladstone Auction Mart: Too few cattle were marketed this week for a report. The last auction for the summer will be July 13 and Gladstone will open again on Aug. 16.

Grunthal Livestock Auction Mart: Closed this week. The next sale will be held July 14; auctions will be held every other week in July and August.

Heartland Livestock Services, Brandon: A total of 158 cattle were on offer in Brandon during the week.

A1-A2 steers traded from $78 to $81.50; A1-A2 heifers, $75-$79.50; D1-D2 cows, $52-$59, age verified $57-$60.75; feeder cows, $45-$52; shells, $30-$44; and good bulls, $68-$72.25.

Feeder steers weighing 900-1,000 lbs. sold from $85 to $96; 800-900 lbs., $95-$101; 600-700 lbs., $100-$106; 500-600 lbs., $100-$108; and 400-500 lbs., $105-$118.

Feeder hei fers weighing 900-1,000 lbs. sold from $82 to $88.25; 800-900 lbs., $85-$94.25; 700-800 lbs., $90-$98; 600-700 lbs., $92-$109.50; 500-600 lbs., $100-$116.50; and 400-500 lbs., $100-$115.

Auctions will be held every Tuesday during the summer.

Heartland Livestock Services, Virden: A report was not available this week. Auctions will be held every Wednesday at Virden during the summer.

Killarney Auction Mart: Now closed until mid-August.

Pipestone Livestock Sales: Closed until the end of August.

Ste. Rose Auction Mart: The next sale will be held Aug. 12.

Taylor Auctions, Melita: The next sale will be held Aug. 19.

Winnipeg Livestock Sales: There were about 395 head of cattle sold during the week ending July 9.

In the slaughter market, choice steers and heifers sold from $82 to $86; select steers and heifers, $78-$82; dry fed cows, $48-$52; good fleshed, $45-$48; lean, $38-$35; young age verified, $48-$63; and good bulls $65-$74.

Feeder steers weighing 800-900 lbs. brought $90-$97; 700-800 lbs., $95-$105; 600-700 lbs., $100-$112; and 500-600 lbs., $105-$119. Feeder heifers weighing 800-900 lbs. sold from $85 to $93; 700-800 lbs., $85-$94; and 500-600 lbs., $95-$108.

Winnipeg will hold sales on Fridays only during the summer.

Amanda Lefley writes for Resource News International

(RNI), a Winnipeg company specializing in grain and

commodity market reporting.

The post Lower Loonie To Draw More U. S. Buyers appeared first on Manitoba Co-operator.

(Resource News International) — Forage crop including pasture land, hay and silage crops across Western Canada vary in condition from province to province. But there’s one thing on which experts agree: the region’s forage crops need continued sunny, warm, dry weather to keep feed prices low for Canada’s livestock sector.

“If we get some good weather I think (conditions) will improve where producers can get out onto some of their tame hay fields,” said Pam Iwanchysko, forage and production specialist with Manitoba Agriculture, Food and Rural Initiatives at Dauphin.

Officials with the Saskatchewan ministry of agriculture and Alberta Agriculture and Rural Development agreed: favourable weather conditions are needed for pasture growth and for haying to get underway.

However, if weather conditions don’t improve forage producers still have some options, according to Andre Bonneau, forage management specialist with the Saskatchewan Ministry of Agriculture in Moose Jaw.

It’s possible, he said, for producers to take hay off a field that has excess moisture and wrap it instead of baling or hay preservatives can be added, which allows farmers to put away hay wetter than normal while still keeping the quality. There is also the option of silage, but the producer has to have the proper setup and storage facilities for the process.

“I think as time goes on over the next few weeks, and if the weather doesn’t straighten out, producers (in Saskatchewan) will be exercising those options,” said Bonneau.

Some haying has begun in Manitoba, Iwanchysko said, but producers are hesitant as they don’t want to get machinery bogged in their fields. Some alfalfa crops in the province have also been affected by flooding.

“The alfalfa (in Manitoba) is actually drowning out because alfalfa does not like to have wet feet for long periods of time,” said Iwanchysko.

Also, she said, the waterlogged fields have been restricting cattle to higher ground in pastureland, which could affect their weight gains.

Higher yields

Although excess moisture has cost some hay and pasture acres due to flooding, Bonneau said, the potential for higher yields this crop year could make up for the lost acres.

“Yield-wise, I would say pretty close to double the forage yield from traditional years,” Bonneau said of fields in Saskatchewan.

“There are some very beautiful forage crops if they haven’t been flooded out,” he said.

Grant Lastiwka, a grazing, forage, and beef specialist with Alberta Agriculture and Rural Development at Olds, agreed. In Alberta, he said, lost hay acres will be made up for in the yields of pasture for cattle producers.

“My presumption right now is that a lot of the shortfall to in hay yields are going to made up in terms of great yields of pasture for those producers in the beef industry,” he said.

There are also hopes cattle producers in Alberta can compensate for the loss of their hay yields with better pastureland, he said.

“We’ve got some good moisture in some areas where we’re hoping these people are going to offset their lack of hay yield maybe with greater pasture production so they might not need as much hay.”

Feed prices

Forage production in the West has the potential to play a major role in the price of cattle feed needed in the fall.

If cattle can’t feed well on pasture land they’ll need additional fattening, but if there’s a lack of hay or an abundance of poor-quality hay, producers could see higher feed prices for another consecutive year.

“In areas where the yields are doubled and the livestock numbers are high, prices will go down as long as (the crop) comes off dry and clean,” Bonneau said. “If (the crop) comes off black, or in poor shape, good hay may go up in price.”

Iwanchysko agrees: “We need a couple of good weeks of good haying weather to get some good quality feed up for the animals.”

However, Lastiwka is confident prices will go down because the cattle market will not be able to afford a consecutive year of higher feed costs.

“The beef industry won’t be able to pay… I don’t foresee them having the cash flow to do it this year.”

The post Prairies’ forage crops need dry weather appeared first on Manitoba Co-operator.

During the week ended June 25, cattle movement was said to be steady considering the industry is in its annual seasonal summer lull. Prices for the cattle marketed were also steady while demand from local producers increased, MCPA president Jay Fox said.

Demand from packers is starting to grow along with the Canadian global economy, as consumers are purchasing pricier cuts, he said.

“As people find a little bit more money in their pockets they are willing to buy something more than just hamburger, including prime steaks and cuts like that,” said Fox, who added that meat retail sales influence packer demand.

The price of cattle marketed has also seen an increase lately due to a world shortage in the number of breeding cattle, according to Fox.

“A lot of producers are unable to make it work and they’re selling out. A lot of producers are older and they’re not willing to take the risk anymore,” said Fox, noting a shortage of breeding cattle in Brazil, Australia, some south African countries, Canada and the U. S.

However, the rise in prices due to the shortage of cattle and the increased demand from local producers and packers might be countered due to low production of feed grains as well as poor pasture conditions.

Excess moisture continues in the province and some pasture land, such as in the southwestern regions, is flooded, putting restrictions on grazing cattle, he noted.

“It’s not so much water, it’s muddy and cows don’t generally like to be dirty so they try to stay to the high ridges. If it’s a long wet season it is harder for them to get the good gains on the grass that they need to,” Fox said.

Moisture conditions also have the potential to impact feed prices. Due to unseeded acres and lower expected yields, feed grains will be in short supply, instilling rising costs for producers.

“We want to see grain producers grow the barley crop, and have a strong feed grain crop. We’re cautiously optimistic that things will work out, that there will be enough feed grains out there this fall,” said Fox.

FROM THE AUCTION FLOORS

Note: All prices in Canadian dollars per hundredweight (cwt). These prices also generally represent the top one-third of sales reported by the auction yard.

Ashern Livestock Mart: Closed until mid August.

Gladstone Auction Mart: Too few cattle were marketed this week for a report. The last auction for the summer will be July 13 and Gladstone will open again Aug. 16.

Grunthal Livestock Auction Mart: A report is not available due the small number of cattle at the auction. Auctions will be held every other week in July and August.

Heartland Livestock Services, Brandon: A total of 260 cattle were on offer in Brandon during the week.

A1-A2 steers traded from $78 to $81.50; A1-A2 heifers, $78-$80.75; D1-D2 cows, $52-$56, age-verified $55-$60; feeder cows, $45-$52; shells, $30-$44; and good bulls, $70-$73.75.

Feeder steers weighing 900-1,000 lbs. sold from $85 to $93.50; 800-900 lbs., $92-$99.50; 700-800 lbs., $100-$106; 600-700 lbs., $105-$116; and 500-600 lbs., $108-$118.50.

Feeder heifers weighing 800-900 lbs. sold from $85 to $90; 700-800 lbs., $90-$98.25; 600-700 lbs., $95-$107.50 and 500-600 lbs., $100-$108.50.

Auctions will be held every Tuesday during the summer.

Heartland Livestock Services, Virden: There were about 497 cattle sold at the sale held June 23.

Butcher steers brought $77-$81.75 while butcher heifers sold from $76 to $79. Ageverified/ young cows sold from $57 to $61.25; D1-D2 cows, $55-$59; D3 cows, $51-$55; shelly cows, $47-$51; and mature bulls, $68-$73.

Feeder steers weighing 900-1,000 lbs. brought $87-$96; 800-900 lbs., $94-$102.75; 700-800 lbs., $98-$112; 600-700 lbs., $105-$118; 500-600 lbs., $110-$125; and 400-500 lbs., $110-$125.

Feeder heifers weighing 900-1,000 lbs. traded from $77 to $87; 800-900 lbs., $84-$93; 700-800 lbs., $88-$99; 600-700 lbs., $97-$107; 500-600 lbs., $100-$109; and 400-500 lbs., $100-$111.

Auctions will be held every Wednesday during the summer.

Killarney Auction Mart: Closed until mid-August.

Pipestone Livestock Sales: Closed until the end of August.

Ste. Rose Auction Mart: A total of 254 cattle were sold at the June 24 sale. In the slaughter market, D1 and D2 cows ranged from $45 to $52; D3-D4 cows, $33-$45; and bulls, $73-$79.75.

Feeder steers weighing 800-900 lbs. traded from $90 to $101.50; 700-800 lbs., $90-$112.50; and 400-500 lbs., $115-$126.

Feeder heifers weighing 700-800 lbs. went for $90-$104.50; 600-700 lbs., $105-$112.50; 500-600 lbs., $105-$114; and 400-500 lbs., $110.

The next sale will be on Aug. 12.

Taylor Auctions, Melita: The sale held June 24 resulted in 145 slaughter cattle and 61 feeders being sold.

In the slaughter market, A1-A2 steers over 1,000 lbs. brought $78-$83; A1-A2 heifers over 850 lbs., $76-$81.75; D1 and D2 cows, $52-$63.50; D3 and D5 cows, $40-$51.50; and good bulls, $62-$75.75.

Feeder steers weighing 900-1,000 lbs., brought $85-$96.75; 800-900 lbs., $86-$98.50; 700-800 lbs., $88-$104; 600-700 lbs., $90-$104.50; 500-600 lbs., $92-$108; 400-500 lbs., $95-$112; and 300-400 lbs., $95-$110.

Feeder heifers weighing 800-900 lbs. traded from $83 to $94.50; 700-800 lbs., $85-$99.50; 600-700 lbs., $87-$104.50; 500-600 lbs., $88-$106; 400-500 lbs., $90-$108; and 300-400 lbs., $90-$105.

The next sale will be held Aug. 19.

Winnipeg Livestock Sales: There were about 416 head of cattle sold during the week ending June 25. In the slaughter market, choice steers and heifers sold from $79 to $82.25; dry fed cows, $47-$50; good fleshed, $43-$47; lean, $36-$43; young age-verified, $47-$58; and good bulls, $60-$76.25.

Feeder steers weighing over 1,000 lbs. brought $84-$88.50; 900-1,000 lbs., $88-$92; 700-800 lbs., $98-$104.50; and 600-700 lbs., $106-$120.

Feeder heifers weighing 900-1,000 lbs. traded from $80 to $87.75; 800-900 lbs., $85-$90; 700-800 lbs., $90-$96; 600-700 lbs., $95-$103; and 500-600 lbs., $98-$108.

Winnipeg will hold sales on Fridays only during the summer.

– Amanda Lefley writes for Resource News International

(RNI), a Winnipeg company specializing in grain and

commodity market reporting.

The post Soaked Pastures Muddy Improved Markets appeared first on Manitoba Co-operator.

(Resource News International) — Open interest in ICE Futures Canada’s November canola future is currently at record highs for a single contract month, and there are ideas that this level of open contracts will remain high for some time to come, according to market participants.

On June 29, open interest in the November canola future hit 129,462 contracts, surpassing the previous record for a single month when the January 2008 canola future hit 108,332 contracts on Nov. 23, 2007, according to the Winnipeg-based exchange.

The total amount of open interest in the canola futures market is shy of the 183,650 record from March 5, 2008. Tuesday, the total open interest was around 154,360 contracts.  

June has been an active month for ICE canola futures. A record trading day was set on June 9, with 49,015 contracts traded, and an all-time volume record for one month will be set when markets close Wednesday, according to Brad Vannan, president and chief operating officer at ICE Futures Canada.

“It’s been a good month,” he said.

“I think there’s been a worldwide interest in the size of the Canadian crop, because Canada represents such a high volume of the total supply of canola for export,” said Vannan.

According to Ken Ball, a broker with Union Securities, it is typical to see an increase in the open interest in the futures market this time of year due to the surfacing of new crop. However, this year the open interest has been exceptionally high compared to the norm.

“Probably a bigger buildup than normal because of the issues building on the (Canadian) Prairies since late May,” said Ball.

Wet weather conditions across Canada’s grainbelt left a large and unexpected number of acres unplanted. Continued unfavourable conditions have started affecting yield potentials, a loss still to be determined.

“We are talking about a humongous reduced Canada production number, which reflects the high open interest in November,” said a senior analyst, who asked not to be identified.

The reduced production expected for the 2010-11 crop year has pushed producers to withhold selling old-crop stocks to cover their pre-sold contracts, market watchers said.

“With all the problems on the Prairies, growers have stopped selling and committing further forward because they don’t know what kind of a crop they’re going to have,” explained Ball. “The commercials are forced to come into the futures market to fulfill their commitments to make sure they’ve locked in their value because farmers aren’t giving it to them in the field.”

However, domestic crushers and grain companies had previously bought positions, anticipating the old crop to be available within the market by now.

“Just holding”

The lack of producer selling has driven traders to buy out their July contracts and move into the November in order to give themselves time, according to a senior analyst. The result is a higher open interest in the November contract, as investors are going long the market hoping producers will sell their old-crop stocks.

“So that definitely contributes to a buildup in open interest, when you have traders who are buying and just holding. They’re just sitting on their position opposed to buying and selling,” said Ball.

But analysts don’t think producer selling will start to increase anytime soon, as the damage done by the weather across the Canadian grainbelt is too extensive. Some market participants think the open interest rates will stay high until January 2012.

“These numbers are not going down. These numbers will stay where they are right now,” said the senior analyst.

“And, I think these numbers will stay at these levels until the beginning of 2012, because this won’t straighten itself out until the harvest is completed next year.”

Other factors will keep the open interest rates high as well, according to Ball. When open interest rates are high more participants join the market, causing them to increase more.

Also, speculators and commercials will be buying long-term positions, keeping open-interest rates buoyed.

“The combination of more speculative interest, holding long positions, not liquidating them in the short term, and increased commercial commitments in canola” will keep open-interest rates higher, said Ball.

The post Canola open interest at record high on ICE Canada appeared first on Manitoba Co-operator.

While most cattle markets are starting to slow down because of the summer lull, there was an increase in the amount of cull cows going through auction yards this week. The rise in these animals was linked to the current high prices for cull cows, due to the increased demand for hamburger meat. Prices for feeder and fat cattle stayed strong.

“It’s probably the price of the cull cows,” said Keith Cleaver, manager of Heartland Livestock Services at Brandon, about what attracted the high number of cattle to go through the yards. “It’s fairly high right now. So everything that doesn’t have a calf is getting sold.”

Typically, Cleaver said, he sees more feeder cattle go through the auction yard compared to cull cows – but this week, cull cows represented a large percentage of cattle moving through the yard.

“Quite a few cows actually for this time of year,” he said, noting that the summer season is typically when cattle are sent to pasture and business for auction yards slows down.

Surprisingly, wet weather conditions haven’t impacted cattle movement, according to Cleaver. Some producers haven’t been able to move onto pasture land in order to move cattle to the auction yard, he said, but there was not an overwhelming amount of producers in that situation to affect the level of sales.

Demand for grass cattle due to the recent weather conditions remained steady, as grass in pastures is expected to grow rapidly.

Packer interest for cattle remained steady, with most of the demand coming from the West, Cleaver said.

Demand from U. S. packers has been mainly targeted toward younger, age-verified cattle, Cleaver said.

The Canadian dollar as of June 18 was quoted at US97.88 cents. However, the recent firmness of the Canadian currency has had no bearing on cattle prices for this week, according to Cleaver.

FROM THE AUCTION FLOORS

Note: All prices in Canadian dollars per hundredweight. These prices also generally represent the top one-third of sales reported by the auction yard.

Ashern Livestock Mart: Ashern is closed until mid-August.

Gladstone Auction Mart: The June 15 sale saw a total of 219 head of cattle sold at the Gladstone yard. In the slaughter market, bulls sold from $65 to $71.50 while cows brought $35-$65.

Feeder steers in the 900-1,000 lbs. weight category traded from $80 to $89.25; 800-900 lbs., $80-$99; 700-800 lbs., $90-$109.50; 600-700 lbs., $90-$121.50; 500-600 lbs., $100-$124.50; 400-500 lbs., $88-$126 and 300-400 lbs., $99-$130.

Feeder heifers weighing 900-1,000 lbs. sold from $70 to $89.50; 800-900 lbs., $73-$92; 700-800 lbs., $75-$95.50; 600-700 lbs., $97-$105.50; 500-600 lbs., $80-$111.50; 400-500 lbs., $85-$110 and 300-400 lbs., $84-$105.

The last auction for the summer will be July 13; Gladstone will reopen Aug. 16.

Grunthal Livestock Auction Mart: There were 153 cattle sold at the Grunthal yard on June 16. Included in the sale were 85 slaughter animals and 68 feeders.

In the slaughter market, fleshy export cows traded from $52 to $57; lean export cows, $48-$54; mature cows, $45-$51; feeding cows, $55-$65; export bulls, $67-$73; and mature bulls $65-$70.

Feeder heifers weighing 700-800 lbs. sold from $88 to $94; 600-700 lbs., $92-$106; 500-600 lbs., $100-$110; 400-500 lbs., $104-$115; and under 400 lbs., $104-$114.

Feeder steers weighing 700-800 lbs. sold from $94 to $102; 600-700 lbs., $100-$110; 500-600 lbs., $105-$115; 400-500 lbs., $110-$120 and under 400 lbs., $110-$120.

Auctions will be held every other week in July and August.

Heartland Livestock Services, Brandon: A total of 456 cattle were on offer in Brandon during the week. A1-A2 steers traded from $80 to $85.50; A1-A2 heifers, $78-$82; D1-D2 cows, $52-$58, age verified $56-$64; feeder cows, $45-$52; shells, $30-$45; and good bulls $70-$76.75.

Feeder steers weighing 900-1,000 lbs. sold from $90 to $97; 800-900 lbs., $95-$104.25; 700-800 lbs., $100-$112.50; 600-700 lbs., $105-$119.25; 500-600 lbs., $110-$120; and 400-500 lbs., $110-$124.50.

Feeder heifers weighing 900-1,000 lbs. sold from $82 to $88.50; 800-900 lbs., $84-$90.50; 700-800 lbs., $92-$104.25; 600-700 lbs., $95-$105.50; 500-600 lbs., $98-$110 and 400-500 lbs., $100-$108.

Auctions will be held every Tuesday.

Heartland Livestock Services, Virden: There were about 369 cattle sold at the sale held June 16.

Butcher steers brought $80-$84.75 while butcher heifers sold from $78 to $82.25. Age-verified/ young cows sold from $58 to $63; D1-D2 cows, $57-$61; D3 cows, $52-$56; shelly cows, $48-$52; and mature bulls, $70-$76.

Feeder steers weighing 900-1,000 lbs. brought $87-$94; 800-900 lbs., $95-$103.75; 700-800 lbs., $100-$112; 600-700 lbs., $105-$118; 500-600 lbs., $110-$123; and 400-500 lbs., $110-$125.

Feeder heifers weighing 900-1,000 lbs. traded from $77 to $84.50; 800-900 lbs., $83-$91; 700-800 lbs., $89-$100; 600-700 lbs., $96-$106; 500-600 lbs., $100-$110; and 400-500 lbs., $100-$114.

Auctions will be held every Wednesday.

Killarney Auction Mart: There were 438 cattle sold at the June 17 sale. In the slaughter market, D1 and D2 cows went from $55 to $60; D3 and D4 cows, $44-$54.50; age-verified cows $54-$61; and bulls, $64-$75.

Feeder steers weighing 900-1,000 lbs., sold for $72-$78.50; 800-900 lbs., $96-$99; 700-800 lbs., $102.50-$106.50; 600-700 lbs., $110.50-$118; 500-600 lbs., $114-$120.50; 400-500 lbs., $116-$124; and 300-400 lbs., $102-126.

Feeder heifers weighing 900-1,000 lbs. brought $76-$84; 800-900 lbs., $93.50-$95; 700-800 lbs., $94-$103.50; 600-700 lbs., $102-$105; 500-600 lbs., $98-$109; 400-500 lbs., $100.25-$108; and 300-400 lbs., $92-$97.50.

Killarney is now closed until mid-August.

Pipestone Livestock Sales: There were 162 cattle sold at the sale held June 14. Included in the sale were 64 slaughter cattle and 98 feeders.

In the slaughter market, A1 and A2 steers sold from $77 to $81; A1 and A2 heifers, $73.50-$75; D1 cows, $53-$59, age verified up to $66; D2 cows, $46-$51; D3 cows $36-$44; and bulls, $70-$73.

Feeder steers weighing 800-900 lbs. fetched $92-$101; 700-800 lbs., $102-$112; 600-700 lbs., $107-$117; 500-600 lbs., $110-$124; and 400-500 lbs., $116-$130.

Feeder heifers weighing 800-900 lbs., traded from $87 to $96.50; 700-800 lbs., $93-$100; 600-700 lbs., $96-$106; 500-600 lbs., $106-$114; and 400-500 lbs., $100-$118.

Pipestone is now closed until the end of August.

Ste. Rose Auction Mart: A total of 260 cattle were sold at the June 17 sale. In the slaughter market, D1 and D2 cows ranged from $45 to $52; D3-D4 cows, $33-$45; and bulls, $73-$78.

Feeder steers weighing 800-900 lbs. went for $90-$101.50 and 700-800 lbs., $90-$112.50. Feeder heifers weighing 700-800 lbs. brought $90-$104.50.

The last sale before the summer break will be held June 24.

Taylor Auctions, Melita: The sale held June 17 resulted in 145 slaughter cattle and 67 feeders being sold. In the slaughter market, A1 and A2 steers over 1,000 lbs. brought $77-$83.50; A1 and A2 heifers over 850 lbs., $76-$82.75; D1 and D2 cows, $52-$64; D3 and D5 cows, $38-$50; and good bulls, $58-$69.

Feeder steers weighing 900-1,000 lbs. brought $85-$98; 800-900 lbs., $87-$102; 700-800 lbs., $90-$109.50; 600-700 lbs., $92-$112; 500-600 lbs., $95-$114; 400-500 lbs., $95-$124; and 300-400 lbs., $95-$120.

Feeder hei fers weighing 800-900 lbs. traded from $78 to $96.50; 700-800 lbs., $82-$101.50; 600-700 lbs., $85-$104; 500-600 lbs., $88-$106; 400-500 lbs., $90-$110; and 300-400 lbs., $92-$114.

Taylor Auctions will be closed for the month of July.

Winnipeg Livestock Sales: There were about 395 head of cattle sold during the week ending June 18. In the slaughter market, choice steers and heifers sold from $82 to $85; select steers and heifers, $78-$82; dry fed cows, $48-$52; good fleshed, $45-$49; lean, $38-$45; young age verified, $48-$59; and good bulls, $60-$75.

Feeder steers weighing 900-1,000 lbs. brought $87-$93; 800-900 lbs., $95-$99.50; 700-800 lbs., $98-$102; 600-700 lbs., $105-$116.50; and 500-600 lbs., $110-$123.

Feeder heifers weighing over 1,000 lbs. traded from $80 to $85; 800-900 lbs., $85-$88; 700-800 lbs., $92-$97; and 500-600 lbs., $98-$113.

Winnipeg will hold sales on Fridays only during the summer months.

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(Resource News International) — Quebec meat packer Olymel’s hog processing plant at Red Deer, Alta. is again open after shutting down operations Monday and Tuesday due to an animal disease scare.

Test results for foot-and-mouth disease, “which is what was feared by some, were negative and the plant has resumed operations,” said Lisa Gauthier, a Canadian Food Inspection Agency spokesperson based in Ottawa.

The Olymel plant, which processes about 45,000 hogs per week, did not make any shipments or receive shipments during the time of its closure.

The plant shut down after a shipment of hogs from a farm in Saskatchewan displayed visible symptoms of vesicular diseases, an official with the Canadian Pork Council had said Tuesday.

The shipment of hogs in question was not processed by the plant and was not considered to be a human health risk.

Samples were sent for immediate testing by the CFIA, and the initial farm from which the hogs were shipped from had been placed under quarantine.

Olymel officials were not available for comment Wednesday morning.

Foot-and-mouth disease is one of a group of vesicular diseases affecting hogs and other species and is considered one of the most contagious animal diseases. Clinical signs in hogs include hoof lesions, snout vesicles (fluid-filled blisters) and mouth lesions.

Foot-and-mouth was last reported in this country in 1952 and remains a reportable disease under federal animal health legislation, meaning all suspected cases must be reported to CFIA.

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The primary processing plant closed its doors Monday to hog shipments, according to Guy Gravelle, an Ottawa-based spokesperson with the Canadian Food Inspection Agency.

No shipments have been made from the plant during that time as well, he said.

Lisa Gauthier, another CFIA spokesperson in Ottawa, said preliminary test results have come back negative for a reportable animal disease.

However, the agency said, further testing is being conducted to produce definitive results and the Olymel plant remains closed until that time.

Ste-Hyacinthe, Que.-based Olymel’s Red Deer plant processes about 45,000 hogs a week.

Martin Rice, executive director at the Canadian Pork Council, said the closure was initiated because of visible signs of disease a shipment of hogs was displaying.

“The signs were of a vesicular type of a disease and there are some vesicular diseases which are extremely serious,” said Rice.

Some of the symptoms the hogs were displaying included lesions on the skin and diarrhea, according to Rice.

The shipment of live hogs in question was not processed by the plant and is not considered to be a human health risk.

Reports have confirmed that the initial farm from which the hogs were shipped has been quarantined as well.

Definitive test results are expected within 24 hours.

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“The (report will) not reflect the true market scenario and I don’t think the trade is going to put a great deal of stock into the numbers,” said Mike Jubinville, a Winnipeg analyst with ProFarmer Canada.

However, some market watchers think StatsCan will have factored in the wet weather conditions since it conducted its survey and changed its acreage estimates accordingly.

“They will probably take into account some of the unseeded acres on this report and they will also do more acreage adjustments on the August report,” said Jerry Klassen, manager of GAP Grains and Products in Winnipeg.

Others, say the report will be a good basis point to use. Chuck Penner, president of Leftfield Commodity Research, said he will take the new numbers and subtract what percentage was lost from them for a more accurate guideline. 

The report, he said, is “a new level of what farmers were planning to seed and, for example, if they only got 85 per cent of their crop planted, you then work from that number instead of the StatsCan numbers (released in April).”

Pre-report estimates peg Canadian canola area in 2010 at 13.25 million to 15 million acres, a significant drop from the estimated acreage in StatsCan’s April report of 16.907 million.

The decline is due to the record rainfall in northeastern parts of Saskatchewan, a key canola producing area, analysts said. Total seeded acreage in 2009 was reportedly 16.199 million acres.

As for the acres that did get seeded this year, market participants are not confident about the yield potential.

“There is an awful pile of acres that are in waterlogged soils clearly losing yields right now… some of those acres might be shown as seeded initially but will end up being lost,” said Ron Frost, business development manager with Agri-Trend Marketing.

All wheat area was estimated at 18 million to 20 million acres by analysts. Of that total durum acres are predicted to account for 3.2 million to 3.3 million acres. All wheat acres reached 24.456 million in 2009, while durum acres were 5.66 million.

“Durum country”

Penner expects that most of the durum acres originally expected to be seeded made it into the ground, despite adverse weather. Areas where the crop is typically grown didn’t see as much rainfall as other regions in Canada, he said.

“A good chunk of where the durum is produced wasn’t hit quite as bad. The worst part of unseeded acreage is more northern, in northeastern Saskatchewan, and that’s not durum country… probably close to 90 per cent of the durum was put in.”

Estimates for seeded barley area ranged from 6.6 million to 7.5 million acres, which compared to the estimated 8.344 million released in April from StatsCan. Barley acres in 2009 were 8.663 million.

An even bigger drop was expected to be seen in the area seeded to flaxseed. Analysts predicted between one million and 1.1 million acres of flax made it into the ground compared to 1.435 million predicted in April by StatsCan, and 1.71 million from 2009.

Flaxseed, Penner said, “tends to be the crop that gets planted last so it just got delayed, that was one of the (crops) that really suffered from the weather.”

Oats is another crop expected to see a dramatic drop in acreage, with an estimated seeding intention of 2.8 million to 3.5 million acres compared to 3.992 million from StatsCan’s April report.

Estimates for pea area ranged from 2.5 million to 3.3 million acres, compared to 3.76 million from 2009, while the average market calls for lentil acreage to be around 2.5 million, compared to 2.4 million from one year ago.

The estimated seeded acreage predicted by industry participants for all crops typically took a downward trend compared to StatsCan’s original numbers published in April. A turn in weather at the beginning of June left producers unable to gain access to cropland due to soil moisture, leaving a large percentage of acres unseeded across Canada.

“It’s a very unusual situation. It’s unprecedented the amount of acres that have been lost here,” said Jubinville.

“The conditions we have now are excess for any crop. It doesn’t matter if it’s lentils, spring wheat, or durum or canola. You can’t grow anything when it’s flooding,” said Klassen.

Table 1. Pre-report trade estimates (millions of acres)

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(Resource News International) — Saskatchewan’s agriculture minister says you have to see it to believe it, in terms of the amount of water lying on the province’s cropland.

Bob Bjornerud estimated close to 25 per cent of the crop within the province will not get seeded, and crop already planted will be drowned out, which is why he said he plans to speak with federal officials about further possible compensation for producers other than programs already in place.

Additional compensation for producers “is one of the things we want to talk to (federal Agriculture Minister Gerry Ritz) about and see if there is any opportunity, anything outside of crop insurance,” Bjornerud, who previously farmed at Saltcoats in the province’s southeast, said Tuesday in a phone interview.

Bjornerud said he plans to “highlight the fact that we have a real problem in Saskatchewan and see if anything else can be done.”

Bjornerud said he has been touring cropland in Saskatchewan since June 7 and the worst areas are regions in the east-central part of the province. Some quarter-sections were 50 per cent covered by water with 40 to 50 sloughs on the land, he said.

The land, he said, is “so saturated right now and the water table is right up to the top. Unless it evaporates it has nowhere to go.”

The excess moisture on the Prairies is affecting more than just Saskatchewan producers, he said, but much of the province’s economy relies on agriculture.

“I know there is a lot of chemical and fertilizer dealers out there that are probably having some pretty sleepless nights after seeing the amount of crop not going into the ground,” Bjornerud said.

During his tour, Bjornerud said, the main concern producers had was for him to see the extent of the excess moisture and for him to bring it to Ritz’s attention as well.

To ensure that Ritz, a former northwestern Saskatchewan farmer, understands “how bad it is” in Saskatchewan, producers want to “give him an invitation to come out and take and look at all the acres that are flooded out,” said Bjornerud.

Farmers, he said, want to get the message across that “we have some real problems in our agriculture sector this summer.”

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