Grain price surprises

These are wild times for grain prices. It started with news that Russia was suspending grain exports due to their severe drought. More recently U.S. corn yields have been less than expected and as a result American corn futures are over $5 a bushel. Ordinarily that would mean rising barley prices on this side of the border. However, with all the wet weather and the hard frost over most of the Prairies, there’s an expectation that feed wheat will be available in abundance. As a result, the feed barley price direction is conflicted. In contrast, the frost has contributed to higher canola prices because there’s an expectation that the quantity and quality of the crop has been affected. The biggest price increases have been on large green lentils. If you’re lucky enough to have a No. 2 that isn’t contracted, there are price quotes approaching 40 cents a pound. Even if the grade has fallen to a No. 3, prices of around 23 cents a pound are available. That’s higher than the price you could have contracted on top grade product back in the spring. Meanwhile, there are crops that remain a big price disappointment. For instance, yellow pea prices remain ugly even though you hear lots of reports about disappointing pea yields. I’m Kevin Hursh.