15 November, 2006

Canada: Barley exports for 2006-2007 are forecasted to decrease by 23%

According to the Grains and Oilseeds Outlook released on November 10th, the Canadian barley production for 2006-2007 decreased by 20%, due to lower area and yields, resulting in a 16% decrease in supply. Exports are forecast to fall by 23%, as higher malting barley exports only partly offset lower feed barley exports.

Despite lower exports and domestic use, carry-out stocks are forecast to fall sharply. The average off-Board feed barley price is projected to rise by CA$30/t. The CWB PRO for No. 1 CW feed barley for Pool A in 2006-07 is CA $170/t, vs. CA$131/t for 2005-06 Pool B. The PRO for SS2R malting barley is CA$200/t vs. CA$171/t for 2005-06, due to lower exportable supplies from major competitors and strong import demand from China and the US.

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