David McKee at Key International LCC points out the surge in demand for oat milk, which now dominates the creamer used at many coffee shops. Global oat production has been relatively stagnant for years, running at about half the output level of the 1960’s. Production this year increased by 6.8 percent, mostly due to an 80 percent increase in Canada following last year’s drought reduced crop. Canada is the world’s largest exporter of oats, selling 68 percent of the globally traded stock. The oats do not travel far because the U.S. is the largest importer, taking 56 percent of the traded total. Canada also supplies Mexico with its oat import needs. The ability to sell oats at food-grade prices is likely to keep production l...

TAGS – Softs, North America