MARKET UPDATE – Demand has been limited as buyers continue to receive cheaper offers from the trade.
As I am writing this update on August 16th, harvest has been well underway for about two weeks in Southern Saskatchewan for lentils and fi eld peas. The dry conditions during the growing season has the initial yield below the long-term average for most growers. These dry conditions have helped the quality to remain above average with most peas and lentils grading No. 2 or better.
Demand has been limited as buyers continue to receive cheaper offers from the trade. This is not the news everyone would like to hear, including myself as I farm with my family in the Moose Jaw and Swift Current areas.
In my opinion, it will take another year to clear up the oversupply we have accumulated in Canada, the USA and the Black Sea Region.
Geo-political issues are not helping matters much. Iran, a major buyer of Laird lentils, has a crisis with their currency devaluation of nearly 50%. Turkey’s Lira also devalued by 25%. India is intent on banning import and/or using duties to limit access to this market.