March 9, 2010

Canada sees new grain record for 2008-09

Western Canadian grain farmers saw their second-highest returns on record in 2008-09, boosted by high grain prices for a large, high-quality crop.

The financial results are outlined in the CWB's "Report to Producers".

Prairie farmers earned a near-record US$7.1 billion from their wheat, durum and barley, second only to US$7.2 billion the year before. While grain prices have since sharply declined, farmers' per-bushel returns in the 2008-09 crop year ending July 31, 2009, were the second-highest in history at US$8.47 for wheat and US$10.30 for durum, before freight and handling deductions.

Total sales of malting barley hit a new record at 2.8 million tonnes. Pooled returns for malting barley hit a new high at US$6.84 a bushel, before deductions.

Total CWB exports in the 2008-09 crop year were 18.4 million tonnes, the highest in nine years and a million tonnes above the previous year.

Combined with market changes that were favourable to the programmes, the new approach allowed the CWB to erase a US$28.9 million deficit in its contingency fund, caused by the extraordinary market conditions of 2007-08.