There could be a lot more oats grown in western Canada next year.

That according to John Duvenaud, publisher of the Wild Oats Grain Market Advisory.

"The bulk of the oats are grown in Saskatchewan, and it rained there for a month right during the middle of harvest and about half of the oats were in the swath," he said. "Any oats that were in the swath, they're bleached and they are not going to go into the milling market. There's a major livestock component of demand for oats, and bleached oats is fine for keeping your calf going but it's not a milling oat. Milling oat supplies are on the tight side."

Duvenaud says another reason the milling oat prices should handle the winter well is the fact that oats coming out of Finland were also down last year due to dry conditions.

He adds oat markets are trading well above their 5 or 10-year average and are looking good through to new crop.

More information on the markets can be found here.

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