Feed weekly outlook: Feed grains slip, but still solid overall

feedlot
(Photo courtesy Canada Beef Inc.)

CNS Canada — Feed barley prices may have come down slightly from their highs earlier in the spring, but remain solid overall, according to an Edmonton-based merchant.

Dry weather and the late spring created some uncertainty in the market, and led to opportunities for some growers, said Samantha Metcalfe, a grain trader with Market Master Ltd. The dryness had producers hesitant to make sales, while also encouraging more end-user demand.

Prices slipped a bit as “end-users and feedlots started getting the coverage they needed,” said Metcalfe.

However, she said, prices were still relatively solid and did not decline as much as they could have.

Barley picked up on the farm had moved to as high as $5 per bushel at one point, but was now trading at around $4.80 per bushel. Metcalfe placed on-farm feed wheat prices at about $6.50 per bushel in the Edmonton area and at about $6.60 to the south.

For old-crop grain, some producers are starting to clean out their bins to prepare for the new crop, but Metcalfe said others are likely still sitting on supplies and putting an estimate on the available grain stocks was difficult.

Looking ahead to the new crop, recent rains have alleviated some of the dryness concerns, but Metcalfe said there were still patchy fields and the uncertain production prospects had producers only forward selling small amounts.

— Phil Franz-Warkentin writes for Commodity News Service Canada, a Glacier FarmMedia company specializing in grain and commodity market reporting.

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