Feed Cost Commentary

Understanding feed cost trends is critical for managing margins. Each month, we review current market conditions and key drivers influencing ingredient pricing across Western Canada.

May 2026

Feed costs continue to trend higher this spring, with firm nearby grain markets and elevated protein prices supporting overall ration costs. According to the latest feed cost model, total feed cost is now estimated at approximately $141 per pig, up from April levels.

Grain Markets Remain Firm

Wheat and barley markets across Alberta have remained firm over the past several weeks, supported by:

• Tight farmer selling ahead of and during seeding
• Ongoing domestic feed demand
• Higher freight costs impacting delivered pricing

Nearby old crop coverage continues to be difficult to secure in prompt positions, keeping pressure on short-term values.

Feed barley in Southern Alberta is currently trading in the low $310s/tonne delivered, while new crop bids for September and October movement remain historically attractive.

Feed wheat demand has eased slightly relative to barley; however, replacement values remain elevated and downside risk appears limited until post-seeding farmer selling improves. Many end users continue to purchase on a hand-to-mouth basis.

Corn and Protein Markets

Imported U.S. corn continues to act as the pricing ceiling for Prairie feed grain markets. While corn pricing into Western Canada has stabilized recently, landed values remain heavily influenced by freight costs, currency movement, and U.S. futures markets.

Protein markets remain volatile. Soybean meal futures continue to respond to:

• Global vegetable oil strength
• Geopolitical uncertainty
• Ongoing speculative fund activity

As a result, delivered soybean meal pricing into Alberta remains historically elevated despite some recent futures consolidation.

Canola meal continues to offer favourable relative value compared to soybean meal and remains competitively priced from a protein standpoint. Strong domestic crush demand and expanding crush capacity continue to support the longer-term outlook for the canola complex.

What to Watch

Market attention over the coming weeks will remain focused on:

• Prairie weather conditions
• Seeding progress
• Farmer selling activity
• Freight availability
• Broader geopolitical developments

If seeding progresses smoothly and producers become more active sellers following planting, some seasonal pressure could develop into early summer. However, any weather concerns or freight disruptions could quickly tighten nearby supplies and support prices again.

Key Takeaway

The feed market remains firm in the near term, particularly for nearby grain coverage. While seasonal pressure may emerge later this spring, producers should continue monitoring weather, freight, and export activity closely as volatility remains a key market feature heading into summer.

This commentary is updated monthly to provide timely insight as market conditions evolve.