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Tight Logistics Underpinning Prairie Barley Prices

Tight logistics are keeping Prairie barley prices well supported, even amid heavier 2022-23 supplies. 

Jim Beusekom, of Market Place Commodities in Lethbridge, said trucking companies are having issues securing enough equipment and drivers to move grain from one location to the next. So, while there may be plenty of barley available in Western Canada this year, actual supplies are in some ways farther away from the feedlots where it is needed. 

“The issue that is at hand today is logistics,” he said, adding there has already been several corn trains traded in recent weeks for delivery during the winter months, as the end users want to make sure they have their needs covered. 

Canadian barley production amounted to 9.4 million tonnes this year, up by more than one-third (35%) from last year’s drought-reduced harvest. Given last year’s tight barley supply, cattle feeders imported a record large amount of American corn as an alternative. 

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