Russia\u0027s invasion of Ukraine has sent wheat prices into a panic, forcing Canadian bakers into some tough calls.
If Hyslop doesn’t sign more contracts before then, he’ll pay the market price when his flour runs out. That could be trouble, if inflation keeps up this frantic pace. But there’s also the risk that by booking more contracts now, he’s inadvertently locking himself into a peak rate.
But then Russia invaded Ukraine, sending global commodity markets, and wheat prices in particular, into a panic — forcing Canadian bakers into some tough calls. The invasion is liable to have serious impacts on food security outside Ukraine as well, if countries that depend on the region’s grain crops continue to be cut off from shipments and then have to pay higher prices in a tighter global market.“It’s tragic in the Ukraine, but it’s wider than that,” Ted Bilyea, a distinguished fellow at the Canadian Agri-Food Policy Institute, said in an interview last week. “This is lunacy.
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