Freelance columnist
Kevin Hursh is a farmer and agrologist.
Expect interim and final payments on No. 1 durum wheat to total around $1.66 a bushel. That will make this crop year’s durum price the best on record. The price received by farmers at the elevator should end up at over $6 a bushel.
An additional $1.33 a bushel should come in additional payments for No. 2 durum.
The Canadian Wheat Board’s estimates say an additional 54 cents a bushel will likely be paid to producers for No. 1 CWRS delivered in the current crop year. That estimate is unchanged from three months ago. The elevator price for number one what is still expected to total around $4.38 a bushel.
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Canada Prairie Spring wheats are expected to have additional payments in the 68 to 70 cents a bushel range, while Canada Western Extra Strong is likely to see another 57 cents a bushel added to the current initial payment.
The story isn’t as rosy on feed barley. A big part of the barley crop went for malting and the domestic feed barley price has been much more lucrative than the board’s price. Many producers have not even delivered their contracted quantities to the board.
The result is an estimated total price of only $1.63 for No. 1 CW barley. That’s down 46 cents a bushel from the price estimate made three months ago. The estimated final payment on feed barley has been reduced to 6 1Ú2 cents a bushel.
So how will prices in the new crop year compare? The board has recent estimates on that as well. You just have to deduct the higher freight charges which will come into effect Aug. 1.
The price estimates for the current crop year are likely pretty accurate. Most of this grain is already sold. Another 1994-95 price estimate will be issued in September.
The price estimates for 1995-96 should be taken with a healthy grain of salt. A myriad of factors can affect prices during the upcoming crop year, but it’s still useful to have the board’s best guess of where prices may end up.
