Feed weekly outlook: Softening barley market to stabilize

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Published: February 20, 2020

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A barley crop south of Ethelton, Sask. on July 30, 2019. (Dave Bedard photo)

MarketsFarm — Feed barley bids in Western Canada have softened over the past few weeks, but should stabilize as the spring approaches.

“I don’t think there’s a lot of potential to push this thing much higher, and I don’t think the bottom will fall out either. What you see is what you get,” Matt Froehlich, a trader with JGL Commodities in Moose Jaw, said of the current feed barley market.

End users are relatively full for the time being and may be looking to lower their bids, but Froehlich noted declining truck freight rates would limit price movement from the farmer’s standpoint.

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“Truck freight rates should be loosening up, as fertilizer backhauls start up again,” he said.

Values also usually stay stable through the road ban season, as end-users need to pay up to keep product showing up at their door.

Blockades slowing rail movement across Canada may not have a direct influence on domestic feed grains, but Froehlich noted some grain intended for export may be backing up in the countryside and could move to domestic feed channels instead.

The larger-than-normal amount of grain left to overwinter across the Prairies this year will also be harvested soon.

— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.

About The Author

Phil Franz-Warkentin

Phil Franz-Warkentin

Editor - Daily News

Phil Franz-Warkentin grew up on an acreage in southern Manitoba and has reported on agriculture for over 20 years. Based in Winnipeg, his writing has appeared in publications across Canada and internationally. Phil is a trusted voice on the Prairie radio waves providing daily futures market updates. In his spare time, Phil enjoys playing music and making art.

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