The Canadian Wheat Board has lowered its price projections for most classes of wheat and durum sold during the 2009-10 crop year. The Pool Return Outlooks, released Dec. 17, were left unchanged for feed barley, while malt barley prices were revised higher.
Wheat values were steady to down $6 per tonne from November, with most classes of wheat seeing declines. The CWB said increases in global wheat production forecasts, declines in U. S. wheat futures, and a steady global freight market over the past month were all weighing on expected wheat values.
Global wheat demand was said to be on a hand-to-mouth basis given the large supply situation. Durum PROs were reduced by $2 to $3 per tonne from the previous month. The CWB said world durum values were pressured lower over the month by larger production estimates, the weaker euro compared to the U. S. dollar, and favourable planting weather in North Africa.
Feed barley prices were left unchanged, with the spread in prices between various global exporters narrowing over the month. The CWB said feed barley prices out of the Black Sea region rose from November, while Canadian and European prices declined.
Malting barley PROs were increased by $3 per tonne from November. The CWB said downgrading to Australia’s barley crop provided some support for prices. Steady purchases from China were also helping underpin malt barley values, the board said.