Grain prices are moving down this month in the latest outlook from G3 Canada.
Dave Simonot is the director of pooling with G3, and says the price outlook for hard red spring wheat is down 8 dollars a ton this month.
He says bumper crops in the U.S. and Canada are putting pressure on the market.
He says Western Europe has lost some production from excessive rain earlier in the growing season, but crops in North America will offset the loss.
The only change is that he does not expect record world wheat production this year.
For durum, again strong production in Western Canada and the Northern U.S. is pressuring markets.
The latest monthly outlook is down 10 dollars a ton.
But he says the crop is still not in the bin and quality in Western Europe is poor, so there is still some possible rally in durum.
As well, he says durum is still commanding a premium of about one dollar a bushel over spring wheat.
For canola, this month’s price outlook is down 27 dollars a ton because of a strong U.S. soybean crop and slumping futures markets.
The biggest decline is for yellow field peas, which have taken a 70 dollar a ton dive.
Simonot says stong overseas demand and prices pushed prairie farmers to seed a huge acreage, and markets cannot absorb all the expected production.