Canada Markets

The unloading of grain at terminal positions is of utmost importance in terms of meeting commitments with our buyers as well as cleaning up the back-logged grain while tightening stocks on the Prairies in order to force basis levels. While this environment may be a ways off, trends for unloads at West Coast terminals are moving in the right direction as the companies move towards the 1 million metric tonne weekly target, as set by the Canadian government's Order in Council.

Wheat receipts in week 33 totaled 252,000 metric tonnes at West Coast terminals, the highest level seen since 305,800 mt were unloaded in Week 29. Of the 33 shipping weeks which have reported so far this crop year, only one week experienced wheat receipts above 300,000 mt, while a further 12 weeks saw receipts between 200,000 and 300,000 mt.

Canola receipts in Week 33 totaled 219,400 mt, only the sixth week that receipts exceeded 200,000 mt. Prior to the 205,500 mt receipted in Week 32, the last time weekly receipts exceeded 200,000 mt for canola was in Week 10.

Combined unloads for wheat and canola totaled 471,600 mt for Week 33, 91% of the total 516,400 mt of total grains that were unloaded at the ports of Vancouver and Prince Rupert. This is the lion's share of the total movement in Week 33, as both railroads focus on movement to the west in order to make the quickest impact to the approximate 70,000-car backlog.

As the railways push closer to the weekly targeted movement of 1 mmt, the upward trend in unload volumes should continue for weeks to come.

Cliff Jamieson can be reached at cliff.jamieson@dtn.com or on Twitter @CliffJamieson

(ES)

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