The Rural Voice, 2000-06, Page 12DEPENDABLE FARM DRAINAGE
• Farm Drainage
• Septic Systems (We are Licenced to install)
• Backhoe Service
• General Repair Service
KMM FARM DRAINAGE
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8 THE RURAL VOICE
Robert Mercer
Drought scare
this year?
There is nothing like the jolt of
limit -up soybeans and canola when
markets have been depressed for ages.
The month of May started with that
bang and all
at once the
ag-commod-
ity markets
were into a
weather run,
and farmers
tuned to the
radio.
Early in
the month the
question was,
would the
rally hold?
By the time
you read this
you will
know. However, at that time the cause
came not from North Africa, Europe or
even South America, but from the U.S.
midwest as usual. Also in the picture
was the potential of increased wheat
and soybean buying by China that was
expected at that time to take 3.0 million
tonnes of wheat. That could be low, if
their northern drought continues. In
North America the water levels in the
Great Lakes are low which is another
cause to be concerned over drought
potential.
Worldwide stocks of wheat are low,
and the U.S. holds a diminishing
volume of the world's most available
store of wheat. Prairie weather has been
hot early this year and the USDA dry
outlook for the western corn belt and
central U.S. could also apply to
Canada's bread basket. If the drought
holds in this area, ag-commodity prices
on the Winnipeg and Chicago
exchanges will reflect the volatile
performance seen recently in the tech -
stocks on the Nasdaq.
This tightening of the grain/oilseed
markets is adding interest to me as I set
off on a trip through the Prairies and
into Ontario in May. This windscreen
survey, mostly on the transCanada
highway, (and by keeping tuned to the
local farm broadcasts) will help me get
a better idea of western Canada's