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Canada Feed-Barley Drops to Two-Year Low on Record Harvest Yield

The price of Canadian barley used as animal feed has plunged to a two-year low as farmers across the Prairie Provinces start harvesting the biggest crop since in 2009.

Average prices at Calgary grain elevators tumbled 38 percent since the end of May to C$160.90 ($156.21) a metric ton, the lowest since August 2011, according to data from the Alberta Grain Commission. In Edmonton, the drop was 35 percent to $155.11 a ton.

Production in Canada, the world’s fifth-largest grower, will jump 12 percent to 8.8 million tons this year with yields averaging 64.1 bushels an acre, a record, Statistics Canada said on Aug. 21. Saskatchewan and Manitoba are getting as much as 110 bushels an acre from early harvests, while Alberta is seeing 120, FarmLink Marketing Solutions said in a report.

“When you’ve got yields of 100 bushels, it’s pretty big,” Joe Jackson, the head of risk management for Jameson, Gilroy and B&L Livestock Ltd., said in a telephone interview from Moose Jaw, Saskatchewan.

Russia, Germany, France and Spain are the largest barley growers, according to the U.S. Department of Agriculture.

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