Wheat is one of the world's oldest and most important cereal crops. It is a major source of energy in our diet and most wheat is grown for food purposes. Canada produces mostly hard wheat varieties, best suited for bread making. Softer wheats, which Canada also grows, are used for pastries. Durum type varieties of wheat are used primarily for noodles and pastas. Wheat of lower quality, not suitable for flour milling, is used as livestock feed.

Canada is one of the largest wheat producing and exporting nations with the Canadian Wheat Board being the sole marketing agent for wheat sold in the export market. On average, over three-quarters of Canada's production is exported, 95% of which is grown on the prairies. Saskatchewan grows most of Canada's wheat (almost 60%), followed by Alberta (25%) and Manitoba (15%).

Prices for domestic feed wheat are established through the trading of futures contracts on The Winnipeg Commodity Exchange. Feed wheat competes with corn, oats and barley and prices must be competitive with these alternative feed grains. Domestic prices are also influenced by the anticipated returns from export sales and the availability of delivery quotas, along with prices in the open feed market.