After gains in previous years, domestic feed demand is expected to weaken due to reduced livestock numbers. Malting barley export prices are expected to increase slightly because of increased demand, and tight carry-in stocks in major exporting countries of the EU, Canada and Australia. Total exports to the US are expected to increase slightly, based on expectations of lower EU and US oat production. Imports are expected to rise, while exports are forecast to fall. Canada will be a net importer of corn.
Domestic use is forecast to be unchanged, as increased industrial use offsets lower feed use.
Canadian prices are expected to rise slightly, with Chatham corn priced more on an import basis than in 1998-99. Domestic crush is expected to set a record high, despite low crush margins. As a result, carry-out stocks of canola are expected to remain tight. Domestic crush is expected to decrease due to low crush margins. Exports are forecast to decrease mainly due to lower import demand by China.