Pulses
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Feed Peas: Not as expensive as they seem. Bottoming
Saskatchewan FOB Farm Feed Pea prices seem to be carrying a big premium to Feed Wheat and Feed Barley values. Given the history of this three-way relationship, it would be easy to imagine that Feed Peas could slip further. However, Feed Peas can also be compared to both Corn and Soy Meal futures expressed in Canadian dollars, and their rallies make Feed Peas look cheap!
Feed Peas prices may not do much until other Prairie feed grains recover further, but the bottom has probably been found.
Lentils: Crimsons stronger than Lairds. For how Long?
Lentil varieties regularly exhibit unique variations in price behaviour and this year is no exception.
In recent weeks, average delivered elevator prices for Crimson Lentils in Saskatchewan have enjoyed a strong rally. New Crop Crimson bids have been pulled up to levels which are higher than post-harvest prices were in 2012 and 2013. This buoyancy is bound to attract acreage and increase future supplies. Note Crimson’s proximity to their old highs which could provide
overhead resistance, and the approach of their typically steep seasonal downturn.
In contrast, Laird Lentil prices have been relatively lethargic and are currently well below their old highs and 5 and 9 Year Averages. Even New Crop Laird prices are about ¾ of a cent/lb below Crimsons. Some can be forgiven if they are not excited, but, if the result is relatively tighter future supplies, this year’s typical post-harvest price recovery could be better than average.
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