Canada: Worrisome Drop in Grain Prices
10-Sep-2025 08:08 AM
Canada: Worrisome Drop in Grain Prices
★ Grain prices in Western Canada have fallen sharply, raising serious concerns for farmers.
★ Canola prices have been hit by China’s 75.8% tariff on seed, but nearly all other crops are also facing price declines due to weak demand. China has significantly reduced grain purchases from both Canada and the U.S., adding to market pressure.
★ The biggest losses are seen in large green lentils. At the start of the season, forward contracts were available at 45 cents per pound, but prices have now dropped to around 27 cents per pound. For the first 600 pounds per acre, revenue has fallen from $270 to just $162 — a direct loss of over $100 per acre.
★ Other crops have also witnessed steep declines:
★ Yellow peas fell about 75 cents per bushel in August
★ Green peas dropped by $1 per bushel
★ Large green lentils declined 10 cents per pound (around \$6 per bushel)
★ Red lentils fell by about 4 cents per pound
★ Feed barley dropped 75 cents per bushel
★ Spring wheat prices fell by more than $1 per bushel
★ Flax plunged by $1.5 per bushel
★ While harvest-time price pressure is common, this year the scale and extent of the decline are highly unusual, causing significant stress for producers and the overall grain market.