The Rural Voice, 2001-06, Page 55i
lower production, matching with
continued good crusher demand. As
well, the food grade market is coming
back into play, albeit at softer
premiums. But, at least the market in
the Orient is starting to pick up again.
With grain prices still in the
doldrums, it's hard to get too excited
about the future. And, I think old crop
prices especially for corn will continue
to be stuck in a rut. With the reduced
corn acres that Sparks is' touting,
December corn futures should stop
bleeding and maybe even heal a little.
If weather turns droughty, the corn
crop is quite vulnerable because of the
lower acres and prices could go higher.
In Ontario, we have a fairly large
corn acreage that is off to a good start,
so expect basis levels to drop to export
levels or lower. If the crop progresses
well, producers don't want to be in a
position of needing to sell corn right at
harvest time. A little forward planning
is needed.
As far as old crop is concerned,
corn imports have met the Ontario
demand since last summer and
producers who are still holding some
corn need to sell before basis levels
drop any further.
The soybean crop in the U.S. has
potential to be huge and even though
demand is good, futures prices should
struggle. Once again weather holds the
key to any rallies. Nearby demand is
great but won't likely outstrip supply
right to harvest.
In Ontario, we are seeing a very
strong basis for old crop soys and
producers need to get some selling
done while this little spike continues.
The price may not be great in many
producers' minds but things may not
get any better. Soy acreage is down in
Ontario this year so new crop basis
levels should not get, too weak in U.S.
funds. The Canadian dollar and the
value of futures hold the key to our
basis levels.
The gist of what I'm saying is if
you haven't already.sold old crop
grain, it needs to be sold very soon. If
you need to move corn at harvest, look
at locking in a basis so you don't have
to sell it right at harvest. Also,
consider locking in some basis on
soybeans in case the Canadian dollar
strengthens. Producers need to
maximize prices this year more than
ever.0
Information supplied by Dave Gordon,
LAC, Inc., Hyde Park, 519-473-9333.
IF YOU'RE LOOKING
FOR A NEW DISC MOWER
CONDITIONERTHIS
ONFS GUARANTEED TO
MANE THE FIjAL CUT.
With its highly maneuverable 9'2" cutting width, our all-new
Hesston 1320 Rotary Disc Mower Conditioner cuts the toughest
fields down to size.
It's got a 75" fully -engaged conditioner for high quality hay in
the toughest conditions. And its heavy, durable construction uses
six discs with two knives each. So it whisks through obstacles like
anthills or gopher mounds without plugging. Plus, a modular -
designed cutterbed with oversized bearings means easy mainte-
nance and greater reliability.
So to cut through mowing problems, the 1 320 is all you need.
See it at your AGCO Hesston dealer today, along with a wide
selection of equipment for all your hay and forage needs. And
ask about flexible AGCO financing.
ALMA
Shantz Farm Equipment Ltd.
519-638-3317
CHEPSTOW
Mullin's Farm Service
519-366-2325
MOUNT FOREST
Maple Lane Farm Service Inc.
519-323-4289
LUCKNOW / MILDMAY
Cross County Equipment Ltd.
519-528-3426/ 519-367-2648
�• HESSPON
ACCO
JUNE 2001 51