Source: Agriculture and Agrifood Canada Bi-weekly Bulletin

SUMMARY

Canada is the fourth largest exporter in the world grains and oilseeds (G&O) market. With a relatively small domestic market for its products, the Canadian G&O industry depends heavily on the international market. The appreciation of the Canadian dollar, against the United States (US) dollar, since 2002-2003 has significantly reduced domestic and export G&O prices and returns to Canadian producers, in terms of Canadian dollars. For 2006-2007, the Canadian dollar is projected by the major Canadian banks to be slightly stronger than 2005-2006, which will continue to depress Canadian G&O prices.

Full report in PDF format: http://www.seedquest.com/News/releases/2006/pdf/16660.pdf