Peas Like Firmer Feed Complex Tone

VANCOUVER - Nov 9/07 - SNS -- International feed pea markets ended the week with a slightly easier tone, as prices in most regions remain ahead of values compound feed mills and livestock feeders are keen to pay.

However, markets were helped by the USDA's crop production and revised supply-demand estimates Friday. Though not discussing fed peas, the USDA numbers added to the underlying bullish psychology in corn and soybean markets by modestly decreasing forecast ending stocks and supply.

While soybeans are used to create meal, which compete with feed peas on a protein basis; corn competes on an energy basis. Strength in both markets raises the inferred value of feed peas in livestock rations.

The more competitive of position of peas can be inferred from Canadian Grain Commission usage date. Sales from primary elevators to domestic markets totals 16,600 metric tons (MT) so far this season, compared to 12,200 by this time last year. The data suggests peas are finding a home on domestic markets despite the raw strength of food pea markets.

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