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Consolidation Announcement

Arthur, Ontario - Canarm AgSystems is consolidating Shakespeare operations (Faromor – A Canarm Company) into our Arthur facility and transferring agricultural fan production to our Brockville location.

Faromor- A Canarm Company is a leading manufacturer of natural ventilation with a history dating back to 1978. Today, Faromor has become an icon for natural ventilation systems worldwide, by strongly promoting and emphasizing product development, improvement and continually adding to their product offering. To date, this has all been done from the Shakespeare, Ontario facility. 

Canarm AgSystems, is an Arthur, Ontario based manufacturer of ventilation, housing and technology solutions for barns. Financially strong, uniquely diverse, and proudly Canadian, Canarm AgSystems has been a trusted supplier to hog, dairy, and poultry farmers for over 80 years. In August 2019, Canarm Ltd. acquired Faromor. This new partnership resulted in enhanced product lines that brought the best of both to the agricultural ventilation industry.

Our Brockville site currently produces Industrial/Commercial/HVAC products housing the manufacture and distribution of our Canarm Commercial Ventilation products, our LFI Commercial/Industrial Axial Fan products and Delhi Blower products.

Over the coming months, Shakespeare operations will be consolidated into our Arthur facility. We will continue to manufacture the same quality products that you have come to associate with the Faromor name. These include all of our current natural ventilation products, including curtain, ridge and panel systems. Agricultural fans currently being made at our Arthur location will relocate to our operations in Brockville, Ontario.

This consolidation of our Shakespeare and Arthur facilities will increase our manufacturing efficiencies, as well as provide us with an opportunity to streamline and to further improve our customer service levels.

Staff at the Shakespeare operations are being offered positions at the Arthur facility. Their expertise and professionalism will be welcomed at their new home. We will work closely with everyone to make the integration process as smooth as possible.

We will build inventories ahead of demand to ensure a seamless transition, which will take place over the next several months. In the meantime, our customers will continue to receive the same highquality service that they have come to expect. 

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Agricultural Market Update: Grain Prices, Crop Conditions, and Weather Impacts

Welcome back to our channel where we provide comprehensive updates on the latest trends and changes in the agricultural sector. This week, we're looking at significant movements in grain prices, crop conditions, and the effects of weather patterns. Let's dive into the details:

Grain Price Decline Grain prices have fallen to their lowest levels since 2020, with December corn down 4.3% and November soybeans losing 3.1%. This decline is partly due to the beneficial moisture brought by Hurricane Beryl to the Midwest, which has improved crop conditions significantly. The USDA reported that corn and soybean crops are in their best condition in four years, contributing to the downward pressure on prices.

Record Short Positions and Market Sentiment Fund traders have increased their net short positions in the corn market to a record level, with a net short of 347,000 contracts of corn. This reflects a bearish sentiment in the market, further influencing grain price dynamics. Similar selling trends were observed in soybeans and SRW wheat, indicating broad market caution.

Weather Impact and Forecast Hurricane Beryl has brought significant rainfall across Arkansas, Missouri, western Tennessee, western Kentucky, and southern Illinois, with more expected over Missouri, Illinois, and Indiana in the coming days. Despite this, the market is currently more focused on the moisture benefits rather than potential heat risks forecasted in the 6-10 and 8-14 day periods.

US Crop Conditions Corn and soybean conditions have shown slight improvements last week, with corn rated 68% good to excellent and soybeans at 68%. These are among the best ratings for this time of year since 2020, suggesting robust crop health that could continue to influence grain prices.

Winter Wheat Harvest and Spring Wheat Conditions The US winter wheat harvest is progressing well, ahead of schedule with significant portions already harvested in Kansas and Texas. Spring wheat conditions are also favorable, with 75% rated good to excellent, although there have been some declines in states like Idaho, South Dakota, and Washington. Brazil's Corn Harvest and US Exports Brazil's second corn crop harvest is advancing rapidly due to favorable hot and dry conditions, with 63% of the crop already harvested. Meanwhile, US corn shipments saw a substantial increase last week, indicating strong export demand, which contrasts with the recent drop in domestic grain prices.

Ongoing Developments Lastly, the USDA reported a flash sale of corn, with significant quantities sold to unknown destinations, scheduled for delivery over the next two marketing years. This could signal ongoing international demand for US corn despite lower prices.

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?? Join the Conversation: How do you think these developments will impact global agricultural markets? What are your views on the current weather patterns affecting crop conditions? Share your thoughts in the comments below. Your input is crucial for our discussions.