Canadian Grain Market Outlook
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1 Canadian Grain Market Outlook Grain Growers of Canada Gary Stanford, President Magrath, Alberta CANADA
2 Who we are The Grain Growers of Canada (GGC) provides a strong national voice for over 50,000 active and successful grain, oilseed and pulse producers. Our policies are forward-looking and market-driven. Our focus: Sound Science and Sustainability, Research, Business Risk Management, Trade and Marketing, and Transportation.
3 Where is Canadian wheat grown?
4 Canadian Farming: sustainability in action My wife and our two sons Matthew and Sean farm with us. Matthew, an agronomist, helps with cropping decisions. Sean is a mechanic and helps keep things running. We also hire seasonal help for the busy seasons.
5 Canadian Farming: sustainability in action Seeding Harvest
6 Canadian Farming: sustainability in action Canadian Prairie Spring Wheat
7 Canadian Wheat: a quality product Western Canada s Wheat Production in 2012 Metric Tons of Wheat Production in Manitoba, Saskatchewan and Alberta Wheat Category Production Average Production All Wheat 23,714,080 20,392,500 Durum Wheat 4,548,460 4,626,600 Spring Wheat 17,817,020 18,443,900 Winter Wheat 1,348,600 1,348,600 Source: Statistics Canada
8 Canadian Grain Industry: structure Post-Canadian Wheat Board (CWB) Formed provincial Commissions with check-offs to fund research, market development and market promotion of wheat. Cereals Canada has recently been formed, which will be the national representation for Canadian wheat, similar to Pulse Canada and the Canola Council of Canada.
9 Transportation: challenges and solutions Extended cold weather affecting rail service. Shuttle trains reduced from 134 cars to 109 cars to 85 cars. Growers, grain companies, railways and our Government are at the table working on solutions.
10 Canadian Grain Industry: quality assurance Canadian Grain Commission (CGC): Continues to be responsible for Quality Assurance system Grading Cargo certification Canadian International Grains Institute (CIGI): Independent technical institute that works with farmers and export industry to provide technical support. Baking seminars with assessments of new crop to ensure quality performance for bread and noodles. Offers customer service seminars on processing and quality evaluation.
11 Quality Parameters for Soft White Spring Wheat Wheat and Flour Characteristics Milling Performance Variety Wheat Pro Flour Pro Pro Loss FN Amyl Peak Clean Wht Flr Yld Flr Yld PB 0.50 Ash Flour Ash Starch Dmg AC Reed Sadash SWS Dough Properties Cookie Quality Variety Flour Alk H20 Ret Farino Abs Farino DDT Farino MTI Farino Stab Alveo Length Alveo P Alveo P/L Alveo W Cookie Spread Cookie Ratio AC Reed Sadash SWS Source: Agriculture and Agri-Food Canada
12 Wheat Protein Flour Protein Protein Loss Falling Number Variety Amylograph Peak Clean Wheat Flour Yield % Flour Yield % At 0.50 Ash Flour Ash Starch Damge Farinograph Abs Farinograph DDT Farinograph MTI Farinograph Stab Modified Extensograph Area Modified Extensograph Rmax Modified Extensograph Length 2013 Western Bread Wheat (CWRS_ Variety Registration Trial 8 Sites in Saskatchewan and 3 Sites in Alberta (data from trial plots and not indicative of commercial production) Wheat Properties Milling Performance Dough Properties Mean of Checks Lillian Carberry Glenn Unity VB Source: Canadian Grain Commission
13 Canadian Wheat: a quality product Wheat Canada is a reliable and consistent world supplier of wheat, producing more than 25 million tonnes annually. Canada is the third largest exporter of wheat in the world. Asia is a significant market for Canadian wheat Japan, Indonesia and China are the biggest buyers of Canadian wheat. Uncompromising grading standards means Canadian wheat flour is second to none in terms of quality.
14 Canadian Grains: a quality product Barley and Oats Barley Canada is the world s fifth largest exporter of barley, and third largest exporter of malt barley. Canada supplies about 20% of the global malting barley market, and Canadian malting barley is top quality. New malt barley varieites have lower amounts of protein. Asia is an important market for Canadian barley, especially China and Japan. Oats Canada is a major supplier of oats and leads the world in the production and export of high quality oats. There is increased awareness by consumers of oat bran as being healthy. Asia is a smaller buyer of oats; Japan is the major importer.
15 Canadian Grain: a quality product Canola and Pulses Canola Second largest crop in Canada (by acreage), production in last 25 years has increased from 4 million metric tonnes to 18 million metric tonnes (MMT). Canola meal is proven to improve milk production in dairy cattle. Asia is a very important market for canola: China and Japan are the biggest markets for seed, China and Korea for canola oil. Pulses Canada is the largest exporter of peas and lentils, providing 38% of the world pulse trade. China and India continue to be largest importers of Canadian pulses, with yellow pea being the largest export to China. Asia, in general, is appealing for pulse crops because of proximity to market and both India and China continue to be of key interest to the pulse industry in Alberta.
16 Canadian Grain: a quality product Soybeans Canada grows both GM and non-gm soybeans. Acerage is expanding rapidly across Western Canada. In 2013, overall national soybean production rose 2.2% to a high of 5.2 MMT Exports to Asia increased 97.4% between 2008 and 2012.
17 Canadian Grain Industry: quality business relations Who are Canada s main exporters? Canadian Wheat Board Glencore/Viterra Richardson Cargill Limited Parrish & Heimbecker Limited Patterson Grain Many special crop and pulse exporters
18 Trade Priorities and Predictability Need international collaboration on management of low level presence (LLP). Need to improve the establishment of internationally accepted Maximum Residue Levels (MRLs) of pesticides in crops. Would like to see a successful conclusion to the Trans Pacific Partnership Trade Agreement. In summary, the global grain trade needs sound science as the basis for predictable trade and market access.
19 Canada s Players CONTACT INFORMATION Grain Growers of Canada - Inland Terminal Association of Canada - Canadian Wheat Board ww.cwb.ca Pulse Canada Canola Council of Canada Canadian International Grains Institute - Canadian Grain Commission - Cereals Canada Western Grain Elevator Association
20 Questions? Grain Growers of Canada 912, 350 Sparks Street Ph:
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