MarketsFarm — The feed barley market remains strong despite the influx of freshly harvested supplies, with little competition from other feed sources.
“The markets have been coming up steadily, with what feels like no harvest pressure,” said Suzanne Leclerc, owner of Market Master Ltd. in Edmonton.
“People were hoping the market would get lower and didn’t purchase, because they were hoping to see more harvest pressure,” said Leclerc.
However, that didn’t happen “and they caught themselves where they were short and needed to pay up to get (supplies).”
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The weaker Canadian dollar and strength in Chicago corn futures mean that corn imports from the U.S. are no longer a cheap option, she added. A good-quality Canadian wheat crop has also cut into feed wheat supplies.
The lack of cheaper feed alternatives should leave little reason for barley prices to go lower, according to Leclerc, especially with the grain harvest nearing completion across Western Canada.
However, continued issues with the availability of trucking were something to watch.
Leclerc noted that while prices may be rising in the key feeding area of Lethbridge, the trucking rates are also going up. She recommended that anyone who needs to move grain should book their transportation in advance, given the difficulties getting trucks.
— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.
