GrainTALK for April/May 2021

MAGAZINE SUBSCRIPTION CHANGES

Farmer-members and industry associates who have changes to their mailing address or wish to cancel their subscription to the Ontario Grain Farmer magazine can contact Phaedra McIntosh, Grain Farmers of Ontario database coordinator, at pmcintosh@gfo.ca or 519-767-4130. •

WATCH GRAINTALK WEBINARS!

Road safety for plant21
Dean Anderson from Workplace Safety and Prevention Services met with the agronomy team to discuss Road Safety for this upcoming planting season. In this webinar, he talks about who gets the lane when driving equipment down the road, what signage you need on the vehicle, and other helpful tips for safety during plant21.

Farmer Forum: Corn rootworm
Watch the recording of our Farmer Forum on corn rootworm. This event featured: an overview of CRW resistance in Ontario from Tracey Baute, field crop entomologist with OMAFRA; a U.S. perspective on CRW from Erin Hodgson, extension entomologist specialist with Iowa State University; CRW management options from Dr. Jocelyn Smith, research scientist of entomology with the University of Guelph; and feed options from Christine O’Reilly, forage and grazing specialist with OMAFRA.

You can find these webinars and more at www.gfo.ca/GrainTALK. •

COMMODITY LOAN GUARANTEE PROGRAM

The Government of Ontario is making improvements to the Commodity Loan Guarantee Program to extend repayment deadlines, increase lending capacity, and provide farmers with greater flexibility to purchase essential crop growing supplies, such as seed and fertilizer.

The Commodity Loan Guarantee Program’s loan repayment deadlines are being permanently extended from February 28 to September 30 to better align repayment dates with the growing season. The extended deadlines will reduce paperwork and costs for farmers who would otherwise have to transfer their loans to other financing options until the sale of their crops. The program’s maximum guaranteed loan limit is also being permanently increased from $120 million to $200 million to allow extended loan repayment deadlines and accommodate an increase in lending capacity.

These changes are being made following consultations with the Agricultural Credit Corporation (ACC) leadership, program clients, and the ACC’s lender, as part of a mandated five-year review that was conducted in 2020. Changes to the Commodity Loan Guarantee Program are now in effect, and clients of the Agricultural Credit Corporation will be notified that their loans are extended. •

RESPONSIBLE GRAIN CODE OF PRACTICE

The Canadian Roundtable for Sustainable Crops (CRSC) is leading the development of a voluntary grain industry Code of Practice called Responsible Grain. The purpose of Responsible Grain is to address consumers’ and customers’ priorities, and to provide practical solutions that support farms in continual improvement.

The CRSC sought input directly from farmers across Canada through public consultation November 2020 — February 2021. Grain Farmers of Ontario is a long-standing member of the CRSC. We were not involved in the creation of Responsible Grain, but actively participated in the public consultation.

The CRSC will review all feedback from the Canada-wide public consultation and release a second draft of the Responsible Grain Code of Practice in Fall 2021. A second consultation in Fall 2021 will follow and Grain Farmers of Ontario will continue to provide feedback on behalf of our membership to ensure the code is practical and widely adoptable.

For more information, visit: http://sustainablecrops.ca/ and https://responsiblegrain.ca/. •

GRAIN FARMERS OF ONTARIO NEW STRATEGIC PLAN

Grain Farmers of Ontario has released a new Strategic Plan. It outlines our commitment to our core values: our farmer-members, our team, our community, our results, our innovation, our honesty and integrity.

The complete 2021 Grain Farmers of Ontario Strategic Plan is available on our website. •

USE LICENSED GRAIN DEALERS

Grain Farmers of Ontario reminds all farmer-members of the importance of using a licensed grain dealer. Farmers who sell grains and oilseeds to licensed dealers or store crops at elevator operators may be financially protected under the Grain Financial Protection Program (GFPP) if a licensed dealer does not meet their payment or storage obligations within the agreed timeline. Farmers who have not been paid for delivered grain within the timelines established under the Grains Act should contact Agricorp right away at 1-888-247-4999.

If a dealer’s grain license is suspended or surrendered, they cannot purchase or accept grain from Ontario farmers.

Any contracts for the purchase of grain with a dealer who does not hold a grain license are not subject to the Grains Act and regulations. Farmers who find themselves in this situation may choose to seek independent advice on dealing with unfulfilled contracts.

Agricorp delivers the Grain Financial Protection Program on behalf of the Ontario Ministry of Agriculture, Food and Rural Affairs and appoints a chief inspector to issue grain dealer licenses and performs dealer and elevator inspections. Visit agricorp.com for an up-to-date list of licensed grain dealers and elevator operators and to read more about the GFPP.

MARKET COMMENTARY

by Philip Shaw
On February 9, the United States Department of Agriculture (USDA) reduced corn 2020/2021 ending stocks to 1.502 billion bushels, down 50 million bushels from their January report. 2021 corn yield (172 bpa) and production (14.182 bbu) were maintained. Total corn usage was increased by 50 million bushels to 14.625 reducing the stocks to use ratio down to 10.2%. USDA lowered old crop soybean ending stocks by 20 million bushels down to 120 million bushels. USDA left the supply side of the ledger the same from the January report, but increased exports by 20 million bushels to 2.250 bbu.

On February 25, the Canadian dollar briefly flirted above 80 cents U.S. as the U.S. greenback weakened. It was brief, as the U.S. dollar recovered. Needless to say, the corn and soybean futures market structure is bullish and looks to continue that way into spring. •