""We had a big crop... and now one of the biggest market drivers (rye for distilling) is down over 50 per cent," says McGillivray pointing to a combination of overproduction, changing consumer alcohol trends, and trade disruptions impacting U.S. whiskey exports."
""When you can get all of these things happening at once... that truly creates the liquidity and the movement... and ultimately supports the price," he says."
""Forward contracting is available, but success depends on understanding grain quality, staying connected to buyers, and using available market intelligence tools.""
"Looking ahead, rye acres are expected to drop 25 to 30 per cent for the 2026 crop year. That pullback, combined with gradual demand recovery, could begin tightening supply into 2027-offering a potential path toward improved pricing."
The rye market is experiencing a sharp correction, leading buyers and growers to reassess crop rotations in Western Canada. A significant drop in demand, particularly from the distilling industry, has resulted from overproduction and changing consumer trends. Prices have been negatively impacted by increased acreage and strong yields. Scoular is diversifying end-use markets to create alternative demand streams. Growers are encouraged to engage in planning and understand grain quality. A projected decrease in rye acreage for 2026 may lead to improved pricing by 2027 as demand recovers.
Read at Realagriculture
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