The 2021 U.S. and Canadian spring wheat crops have faced dryness issues since seeding.
‘Record temperatures the last week of June added more stress to struggling crops,’ says Neil Blue, provincial crops market analyst with Alberta Agriculture and Forestry. ‘Many areas on the Prairies and in the United States have experienced abnormally dry conditions, which in turn has affected wheat prices.’
The Minneapolis hard red spring wheat futures rallied the week of June 28 to the highest level since dryness concerns in 2017. In Alberta, hard red spring wheat prices reached $360/tonne ($9.80/bushel) or higher.
‘Likely implications of lower hard red spring wheat supplies for next crop year are improving price spreads to lower quality wheats and higher protein premiums,’ explains Blue.