Glacier FarmMedia | MarketsFarm—Plentiful supplies and the prospects of a decent crop this year are putting pressure on Prairie pea prices.
Delivered prices for green peas across the Prairies ranged from C$12.50 to C$14.21 per bushel as of July 26, according to Prairie Ag Hotwire. The latter price was down C$4.27 from last month but only four cents lower than last year. For yellow peas, delivered prices ranged from C$9.75 to C$11.40/bu., down C$1.60 from last month and down C$1.40 from last year.
Shawn Madsen, operations manager of Southland Pulse near Estevan, Sask., went on a recent road trip looking at fields hundreds of kilometres south of Estevan, including some in the United States. He said crops look “better than average” for the most part and he anticipates more peas to be available than in the past few years.
Read Also
U.S. grains: Wheat futures rise on supply snags in top-exporter Russia
U.S. wheat futures closed higher on Thursday on concerns over the limited availability of supplies for export in Russia, analysts said.
“It’s only natural when you see prices decline when that happens,” he added.
However, some areas were affected by the recent hot and dry conditions in much of Saskatchewan.
“There are some pockets that didn’t get as much rain (west and south of Estevan). Those producers (over there) you kind of feel for because with those prices that are declining and they don’t have much to sell, they are going to hurt the most.”
Agriculture and Agri-Food Canada (AAFC) estimated 2023-24 ending stocks for peas at 225,000 tonnes in its monthly estimates released on July 22. However, an expected 691,000-tonne rise in production for 2024-25 at 3.3 million tonnes would raise carryout to 440,000 tonnes.
Madsen said buyers are being “patient” with the new crop.
“They’ve seen this crop grow and mature and it looks like it’s going to be okay,” he said. “They didn’t want to go out and buy more in fear of paying too much. They’re watching and waiting. I think there’s going to be good demand but the market’s going to have to figure out where it looks for both the buyer and the seller.”
In drier areas of the province, some growers have already harvested their peas and the rest of the province may follow suit soon.
“We’re only probably days away from seeing a lot of combines rolling around this area,” Madsen said.
