COARSE GRAINS: WORLD MARKETS AND TRADE
Canadian Barley Farmers Vote to End Canadian Wheat Board’s Monopoly On Barley: During the end of March the results of a barley plebiscite were announced indicating that a majority of Canadian farmers want to have greater choice in where to market their barley crop. Results show that 48 percent want the choice to market to the CWB or the open-market, 14 percent were in favor of getting the CWB out of barley marketing completely and only 38 percent voted to retain the CWB.
As a result of this, on April 3, Chuck Strahl, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board, stated, "We now have a mandate from farmers to move to marketing choice, to provide Western Canadian grain growers with the freedom to choose how they market their barley. It is the Government’s intention to make marketing choice a reality by August 1, 2007 - in time for the coming crop year." Canada is typically the fifth largest barley exporter in the world, with exports this year expected at 1.5 million tons. The majority of exports are typically malting barley, primarily to the United States and China, whereas barley feed exports are usually shipped to Saudi Arabia and Japan.
Domestic: March export bids for U.S. #2 yellow corn averaged $172, down $7 per ton. Since mid-February, daily export bids for Gulf shipment have dropped over $40 per ton. Large planting intentions, and impacts from other commodities markets have combined for a more bearish outlook. However, recent cold and wet weather in key growing areas and stronger soybean prices relative to corn have supported prices in recent days.
TRADE CHANGES IN 2006/2007
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Last modified: Tuesday, April 10, 2007