date:May 30, 2013
Canola producers, particularly those with canola in storage, follow canola cash prices closely. However, not all canola producers track the difference between the cash price and the futures price for canola. This difference is termed basis. Following basis can often give clues of what is happening in the market.
The daily or spot basis is found by subtracting the nearby futures price from a daily cash price, says Neil Blue, market specialist with Alberta Agriculture and Rural Development. For e