Canadian imports of US corn are down sharply compared to a year earlier, but shipments into Alberta’s feedlot alley are still large enough to weigh on domestic barley prices.
“The barley price here will gradually decline,” said Errol Anderson, of Pro Market Communications in Calgary, adding that up to 30 unit trains of US corn are booked already. A 100-car unit train typically amounts to about 8,000 to 10,000 tonnes of grain.
“Once these cattle go onto corn, they won’t go back to barley – they’re done for the year,” Anderson said, adding the lower price of corn is making it an attractive alternative to barley.
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