MarketsFarm — The feed grain market in Western Canada is holding steady for the time being, with both buyers and sellers keeping to the sidelines ahead of the harvest.
“So far we haven’t seen the harvest pressure we would normally expect,” said grain trader Matt Beusekom of Market Place Commodities in Lethbridge.
Feedlots were still working through imported corn supplies but would be running out by the end of August, he said.
On the other side, “producers have a lot of storage and cash, and aren’t in a rush to sell,” Beusekom said. The market “doesn’t seem like it wants to go down… it feels fairly firm.”
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While an expected increase in production after the 2021 drought has end users expecting to see cheaper prices, “producers are saying, ‘we’re not going to sell,’” said Beusekom.
The question now is: who will give first?
Weather conditions through the harvest period could also have an influence on prices. If there is an early frost, or too much moisture, that could lead to more feed-quality grain.
— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.
