red lentils

[caseman]

anyone selling? hauled my .21cent contract 2 days ago. should have sold more!!

price was .17 yesterday now .16 today.
hope the price comes back in the next few months.

[farmaholic]

Sold our #1 small greens, 30 cents/lb. 1 load FOB farm and 2 loads delivered for the same price to the same place. And sold about 1/2 of the green peas for 9.50 FOB farm

[highwayman]

Would expect red lentils to rebound sometime early in new year or acres will fall off the cliff. Even at 21 cents they wont be seeded on our farm. Large green lentils out yielded our reds by 20-25% this past season and markets seem to be more stable on the green side. Have grown greens since the early eighties,reds since 89 and there have been very few occasions when reds out-performed the large greens in returns.

[bigzee]

Massive farm by Moose Jaw has now bought get this 250,000 bu of reds for .21 off farmers. Friend sold 4000 to this farm. Problem is they grow acres upon acres of reds so they control the market, when they sell price usually comes down next day. 21 better than 17, think i will hold mine for what they want down the road.

[dave4441]

Wow, if they bought 250,000 at 21 and today is 16-17 they are out of the money $750,000. It was reasonably obvious to the trade that you did not want to be long 21 cent reds this fall. Do you think this is true? The only thing that is contolling this market is lack of India as a buyer. Could be interesting though if this guy starts to try and market a couple hundred thousand bushel as there is no where to go with it.

[bigzee]

Yes its true, buddy of mine sold through a brokerage firm, and they went to this farm. These guys are 40,000 acres or more so they need to find a way to make more $$$$$$$$$. lol

[Hopperbin]

Actually the real buyer could be using this farm as a storage facility. Really would be nice to know what is actually going on.

[dave4441]

I do not suspect anyone in the trade would be storing reds at this point in the game. I might be wrong but....

[grainboy]

i actually know a few compainies/farms that went long on reds at 20-22c. a red lentil at 15c would be a safe investment but going long over 20c wouldnt be a get rich quick plan right now.

[caseman]

does that farmer want mine??? .20cents and they are gone!!!

[lakenheath]

I was the farmer that sold the 4,000 bu of reds. Used Rayglen commodities to sell these reds to JGL Grain. Talked to JGL buyer on phone and asked where my lentils went. The JGL rep told me that they were sold to Babich's by Moose Jaw. They were very up-front with the information.

An employee of Babich's told someone who then told someone (as per the usual rumour mill process) that my lentils were the last to go in the 5th 50,000 bu bin of reds that they just recently purchased for around that 21 cent mark.

Crazy......

[wmoebis]

Could it be they were using them to blend some lower quality ones up?

[highwayman]

Could they possibly be storing lentils for Mobil Grain. Babich farms have sold a lot of product to them before and it wouldn't be the first time a processor used farmers bins for extra storage. Mobil has been agressive in the red market many times before as well.