New York | Reuters –– Olam’s US$1.3 billion deal to buy rival Archer Daniels Midland’s cocoa processing business may reduce liquidity in the niche cocoa bean trade, raising concerns about volatile prices and a potential shake-up of customer relationships. In the biggest deal to roil the cocoa trade in recent years, Olam scooped up a […] Read more
Olam’s cocoa purchase raises supply, price volatility concerns
Striking port workers in Argentine grains hub halt shipping
Buenos Aires | Reuters — Port workers in part of the Argentine grain hub of Rosario went on strike on Thursday to demand a year-end bonus, paralyzing ship movements, said the head of the powerful CGT union’s local branch. Wage increases are lagging behind Argentina’s soaring inflation rate, which some private economists estimate is around […] Read more
U.S. shippers, West Coast dockworkers resume contract talks
Los Angeles | Reuters — Negotiators for shipping lines and terminal operators at 29 U.S. West Coast ports resumed contract talks with the union for dockworkers on Thursday, as cargo backups continued at the ports, a representative for the labour group said. Officials from the Pacific Maritime Association and the International Longshore and Warehouse Union […] Read more
Talks fold on contracts for CN mechanics, clerical staff
About 4,800 unionized mechanics, clerical workers, excavator operators and truck drivers at Canadian National Railway (CN) will go into the new year without new contracts. Unifor, whose locals have five collective agreements with Montreal-based CN, announced Thursday it’s been “unable to reach a new tentative collective agreement” in negotiations with CN since mid-September. The company […] Read more
U.S. livestock: Expanded limits break CME feeder cattle losing streak
Chicago | Reuters — Chicago Mercantile Exchange feeder cattle surged Thursday on short covering in volatile action after the exchange expanded futures trading limits, following three-cent-per-pound limit-down settlements five days in a row. CME took emergency steps on Wednesday to stem the plunge in feeder cattle contracts by increasing its limit to 4.5 cents/lb. from […] Read more
Record cattle prices subside across Western Canada
CNS Canada — This year’s bull run for the cattle market in Western Canada appears to have come to an end. While bids across the Prairies are still high, they are a cut below the record highs seen earlier in the fall. “In less than two weeks the futures market for March, on the feeder […] Read more
Canada Bread to buy Saputo snack cake business
Canada’s biggest dairy processor is set to sell its baked goods business to Canada Bread for $120 million cash. Montreal-based Saputo’s baked goods business is billed as Canada’s top producer of snack cakes, sold mainly in the Canadian retail market and “on a small scale” in the U.S. The company’s cakes are sold under the […] Read more
CN overshoots 2013-14 grain handling revenue cap
The Western Grains Research Foundation will get a $4.98 million gift this season from Canadian National Railway, but not out of holiday spirit per se. The Canadian Transportation Agency on Thursday ruled CN, during the 2013-14 crop year, exceeded its maximum allowable revenue from Prairie grain handling by $4,981,915, above its previously set “entitlement” of […] Read more
U.S. grains: CBOT wheat extends rally, corn hits highest since July
Chicago | Reuters — U.S. wheat futures rose on Thursday, extending a winning streak spurred by concerns about Russia cutting back on its overseas shipments, traders said. Corn and soybean futures also firmed, with corn hitting its highest since July 7 during the session. Improving export prospects following China’s approval of some genetically modified strains […] Read more
Russia adds rail loading to informal curbs on grain exports
Moscow | Reuters — Russia has significantly cut railway loading of grain for export, industry sources said, adding to informal curbs to overseas shipments. Russia, one of the world’s main wheat exporters, is restricting grain exports to try to cool domestic prices as the country tackles a currency crisis linked to plunging oil prices and […] Read more