It was a full house at the Sky Centre for the Innovation Credit Union - Stark and Marsh Ag Outlook Conference yesterday.
Neil Townsend, FarmLink’s Senior Market Analyst, told farmers that he’s a little bearish going into 2019-20 crop year noting that farmers may be yielding their way to success.
“Some of the yields on the wheat look promising even at $7 a bushel for #1 CWRS 13.5% which is down 50 cents from our price expectation this year. So, I think that pencils out nicely. I think the pulses when you get back towards the 19 cent lentils or the 20 cent lentils, I think that looks like it could be a fairly favourable return."
He says durum is a little more mixed, noting there will be long periods of time where $6.75 a bushel isn’t available.
Farmers will need to be conscious of your cash flow needs and your ability to be patient, to wait for the market to come to you. With canola if we see yields pop by two to three bushels then we could have a surplus of canola and it could struggle with pricing.
Townsend says farmers still looking to market old crop should be watching the market daily and look at actively marketing into opportunities; while for the new crop they should look at securing margins and watch for hedging opportunities.