Improved outlook on yields likely to boost Eastern margins

Declining crop prices have been challenging for Canada’s grains and oilseeds producers. But a better outlook for Eastern Canadian yields, compared to our January forecasts, points to positive margins there. In the West, a lot of regional variation in estimated yields suggests our January forecast of weak margins is largely unchanged.

Corn prices to stabilize, wheat prices to rise slightly and soy prices to fall in 2024-25 MY

That improved forecast for margins won’t come from better prices for the year, however. FCC Economics’ price forecast has generally declined further for major crops since January. Corn prices will remain close to the bottom seen in the last four years as will wheat. Soybeans will continue falling from their high in February 2023 throughout the rest of 2024 (Figure 1).

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