Firm Finish For Birdseeds

VANCOUVER - May 11/12 - SNS -- North American birdseed ingredient markets finished the week's trading on a firmer note, helped by week ending improvements in oilseed markets and bullish stocks in Canada.

Commenting on the situation, the U.S. based Natiuonal Sunflower Association said, "This week's USDA report tightened the old crop ending stocks and projects record tight US new crop ending stocks based on stocks-to-usage ratio and was supportive fundamentally. Sunflower seed stocks will be extremely tight by the end of the marketing year in September.

"With the USDA supply and demand report factored into the market traders will turn to planting progress in the days ahead. In the near term, weather conditions should allow oilseed planting to continue ahead of average. USDA is using March planting intentions in forecasting 2012 US production.

"The trade has already upped its production estimates as the prospect for increased double crop soybean acres is a possibility given winter wheat maturity and harvest ahead of normal pace. Weather risk is nominal at the moment but should offer support if drier weather sets in. In the second half of this marketing year vegetable oil supply is expected to get tighter. The forecast reduction in supply is good news for sunflower and should be supportive to seed prices."

Subscribers can read the full text of the article by Clicking here