Why is Canola Price so poor

[cuban_assassin]

For all the talk of high demand for canola and how we "need" to grow 18mmt per year to meet demand the price sure sucks! WHY!!

[ado089]

We need to grow 18mmt to supply demand cheap enough for the rest of the system to make boat loads of money. Screw farm gate economics, gotta chase the big yield. I for one am not growing an acre of canola next year. I have half of next year's crop sold netting enough to break even at 12 bpa. I'll let the big guys grow wheat and canola.

[mcfarms]

you cant make money at between 10.50 and 11 ?

[farmaholic]

Throw in some poor yields and see what the break-even per bushel price is. Some acres will not produce a profit in 2015. I had a conversation about this with my Supply Retailer and had the nerve to say that wasn't their problem... Hard to believe he hasn't figured out who keeps those ****ing doors open yet? Stupidity

[farmaholic]

I was giving them static that their canola seed price was about $20 a bag more than some competitors in other areas.

[biglentil]

Need a solid 25 to 30 bpa to break even. Some guys did not get that saw alot of 16 inch tall finished canola to south.

[bigzee]

Quite simple ...... you all told stats can and any other nosey people the canola crop was bigger at the end than first thought. Farmers hurt farmers!!
Grow lots and they will buy it cheap.

[RTK]

Did your retailer actually say that or even imply that...? If so that is simple in my books - they would never hear from me again. I price check 4 retailers; I had two retailers I felt earned my business and dealt with me honestly. Guess what one manager got lazy... So happened one independent wanted some business and had quoted prices for a number of years only getting a small piece; last year he did 60% of chemical; 80% of fert. He came cap in hand this fall hoping for repeat business... I told him it was simple treat me fairly and the business is yours to lose...

[farmaholic]

Oh yes, it was "said". I hate being taken for granted. Seems the only part of the "wheel" that needs to make adjustments to ag economics is the "hub"(Producer).

[Braveheart]

Given all the bearish fundamentals, a big US soy crop, etc, prices have held up surprisingly well.