HomeMy WebLinkAboutHuron Expositor, 2016-06-15, Page 17Wednesday, June 15, 2016 • Huron Expositor 17
Strong demand, robust futures market, sow payoff prospects
John Miner
Postmedia Network
Ontario soybean farmers
are enjoying more breathing
room on the financial front.
While massive U.S. plant-
ings were expected to hold
down global prices this year,
soybeans — one of the top
crops in Southwestern
Ontario's vast farm belt —
have climbed on the com-
modity markets this spring,
hitting their highest level in
two years last week.
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Prices for corn and wheat,
the region's other big agri-
cultural staples, are also up
from lows set earlier this
year.
"For a producer, it is a fan-
tastic thing," said Todd Aus-
tin, manager of marketing
with Grain Farmers of
Ontario.
At $9 a bushel, soybeans
don't seem exciting. But
closer to $12 on the futures
market, it does seem excit-
ing, he said.
Farmers can use contracts
to lock in prices ahead of
harvest. Austin said he
hopes producers are taking
advantage of the pricing
opportunities.
While a large soybean
crop is expected in the U.S.,
supplies are forecast to con-
tinue to fall on strong
exports.
Production problems in
key South American growing
areas have also contributed
to soybean prices rising.
Prices continued to push
higher Friday after the U.S.
Department of Agriculture
released a report predicting
soybean supplies will con-
tinue to fall.
Ontario farmers typically
plant two million acres of
soybeans each year, which
are processed for food prod-
ucts, oil and livestock feed.
Planting of this year's soy-
bean crop is virtually com-
plete in Ontario, except for a
pocket in the Parkhill area that
has had too much moisture,
said Peter Johnson, an agron-
omist with Real Agriculture.
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"They've caught every rain
that has gone through!'
The corn crop is more var-
iable, he said.
"You can really tell we had
a cold start to the season...
but in general terms the corn
crop is in very good shape,"
Johnson said.
Much of the wheat crop,
just weeks from harvest, was
hit with stripe rust, causing
substantial damage if farm-
ers didn't move to control
the disease. It's very unusual
for the disease to be a
problem for Ontario growers
and resulted from the mild
winter allowing it to survive
much further north, he said.
"Typically, stripe rust
blows in from Mexico and
Texas, places quite far south.
This year, because of the
mild winter, it overwintered
as far north as Kentucky and
Tennessee and didn't have
nearly as far to travel," John-
son said.
Still, Johnson said, the
wheat crop looks the best
he's ever seen in his career.
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our website: www.centralhuron.com.