Canola Basis

[Cattleman]

I haven't grown a lot of canola, but have some this year. I am looking for some historical canola basis levels for the November, December, January time frame, against the January futures.

Does anyone have this, or where do you find it?

Just thinking if we do get a bit of a spring/summer rally in canola, just wanting to get a better picture of an expected net price I am protecting if I were to buy some put options.

Thanks.

[MBgrower]

Ask the cdn canola council. Surely they must have detailed historic stats of basis levels in western canada.

[macdon02]

If canola council doesn't maybe canola growers? How about provincial ag ministry? Surely there is someone out there that claims to represent farmers that can give us some hard data on basis .... or are they more interested in a personal paycheck then arming us with historical data by region?

[macdon02]

http://www.seasonalcharts.com/future_farmprodukte_soybean.html here's a site with seasonal charts on all the ag's. It isn't perfect every year but it's to be used as a guide only. Some years is bang on to the day other years it'll be off completely. But this is the sort of thing those no good producer groups should be giving us regarding basis.

[Braveheart]

It will depend a lot on where you are Cattleman. How close to a crusher, distance to Vancouver, etc. Ask some farmers with skin in the game what a "good" basis is for your area.

Sometimes when you hear what basis averages, get aggressive and put in a basis target that is the number you'd like. Weather scares, delivery shortages, new sales booked, might just get your target hit.

[farming101]

These numbers are general values for SK. They are for nowhere in particular but can be used for comparison.

January cash prices would be based off March futures so not included.

November-December basis levels:

10 year average: -31.30 basis January
10 year high: +12.80 basis January (2nd week December 2012)
10 year low: -68.40 basis January (last week December 2010)

[Cattleman]

Thanks Farming and others. Would be nice to have a source. I did a bit of digging from Sk Ag. prices Comparing prices to couple years of futures, and surprised how weak the basis was, as you showed farming. Good to know when making plans.

[ward.toma]

Some historical canola price and basis information can be found at
http://www.pdqinfo.ca/ and at https://www.albertacanola.com.

Ward Toma
General Manager
Alberta Canola