The Rural Voice, 2002-02, Page 21promise for better prices because of
shortages elsewhere.
Meanwhile the currency crisis in
Argentina is playing havoc with the
harvest there. Because of the banking
situation, farmers can't write a
cheque to cover things like paying
for the custom operators who harvest
much of the wheat crop in that
country (a capital tax on farm
equipment meant most farmers don't
own their own equipment). These
custom operators can't buy diesel
fuel on credit in areas of the country
where they are strangers so things are
grinding to a haltexcept for local
operators, Reesor said.
Argentinian farmers aren't
currently selling wheat off
the combine as they often do
because the buyers can't write them a
cheque in payment.
All this chaos may give Brazil an
opportunity to grab U.S. markets that
Argentina can't supply. Still, yields
in Argentina seem to be good and
that wheat will come on the market
eventually, Reesor said. "Watch the
wheat market like a hawk for a
market opportunity," he urged.
Meanwhile weather conditions
may affect the U.S. crop. Less than
Less than 50 per cent of
the winter wheat in
Oklahoma and Kansas
is rated good
50 per cent of the winter wheat crop
in Oklahoma and Kansas is rated
good. As well, there are predictions
of above -normal temperatures in
northern Argentina and Brazil.
Last year's dry weather in western
Canada plus strong demand made oat
prices soar during the summer for
oats that were available but "the
party's over", Reesor said. The
market is beginning to think there
will be more oats available, he said.
As well, those companies wanting
oats want a higher bushel weight and
they want the oats white with no
"garbage".
Peter Johnston, OMAFRA cereals
specialist added that while there is
good news for oat growers with
Quaker Oats back in the market with
double its former capacity, even if its
entire requirement of 60,000 metric
tonnes was sourced in Ontario, it
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