Special Crop Growth Slowing in Canada

VANCOUVER - Jan 28/05 - SNS -- Canadian pulse and special crops production more than quadrupled since 1991-1992 but growth in the coming decade is expected to be slower, according to an review of the industry by Stan Skrypetz of Agriculture Canada's Market Analysis Branch in Winnipeg.

Following are extracts from Skrypetz' article:

Canadian seeded area for the eight major pulse and special crops increased by 256% from 0.93 million hectares (million hectares) in 1991-1992 to 3.31 million hectares in 2004-2005. During this period, total pulse crops seeded area increased by 311% from 0.62 million hectares to 2.54 million hectares and total special crops seeded area increased by 146% from 0.31 million hectares to 0.77 million hectares.

Production of the eight major pulse and special crops increased by 313% from 1.27 million metric tons (MT) in 1991-1992 to 5.23 million MT in 2004-2005. Although production trended upwards, there were some years of lower production caused mainly by unfavorable weather. During the 1991-1992 to 2004-2005 period, wheat production decreased by 19%, coarse grains production increased by 21%, and oilseeds production increased by 79%.

Pulse and special crops share of the total Canadian grains, oilseeds, and pulse and special crops production increased from 2% in 1991-1992 to 8% in 2004-2005. Dry peas accounted for most of the growth in production, increasing by 714% between 1991-1992 and 2004-2005, while lentil production increased by 180%.

Special crop production is very diversified and now includes more than twenty crops. The term pulse crops refers to dry peas, lentils, dry beans, chickpeas and fababeans. Special crops include mustard seed, canary seed, sunflower seed, buckwheat, caraway seed, coriander seed, borage seed, safflower seed, millet and hemp.

Within the major crop categories, there are several types produced, including the following: dry peas - yellow, green, small yellow, maple, marrowfat; lentils - large green, medium green, small green, red, dark green speckled, brown; dry beans - white pea, pinto, black, dark red kidney, light red kidney, white kidney, cranberry, small red, Great Northern, pink, brown, azuki; chickpeas - large kabuli, small kabuli, desi; mustard seed - yellow, oriental, brown; sunflower seed - confectionery, oilseed; canary seed/Canario. Canario is a glabrous or hairless type of canary seed developed in Canada.

Farm cash receipts for pulse and special crops increased by 223% from 1991 to $0.83 billion in 2003, while receipts fell by 7% to $2.47 billion for wheat, increased by 27% to $1.44 billion for coarse grains and increased by 129% to $2.72 billion for oilseeds. However, the receipts for pulse and special crops are only for the seven largest crops and the total receipts would have been higher if all pulse and special crops were included.

The increase in production has also benefited the general economy through the handling, processing, and transportation industries, mostly in rural communities. Direct employment by pulse and special crops dealers is estimated at about 2,500 employees. In addition, pulse and special crops contribute to employment in grain elevators, in transportation, transloading, port terminals, manufacturing of bags and other containers, in secondary processing, in manufacturing of inputs and inoculants for pulse crops, and with suppliers of seed for planting.

Canadian production of the eight major pulse and special crops is expected to decrease in 2005-2006 due to a decrease in seeded area and lower trend yields for most crops.

Canadian seeded area and production of pulse and special crops is expected to continue trending upwards moderately during the next decade because of improved varieties resulting in higher yields, increased seeded area because of the willingness of producers to continue diversifying out of grains in the Prairie provinces, and increasing demand in Canadian and world markets.

The level of the increase will depend on returns from pulse and special crops relative to grains and oilseeds, moisture conditions, carry-in stocks, crop rotation considerations and the producers’ ability to diversify. Most of the growth is expected to be in Saskatchewan, due to its large land base and the continuing development of varieties suitable for production in that province. Most of the production growth is expected to result from increased seeded area, but average yields are also expected to continue trending upwards.

(Mustard seed) production is expected to increase slowly because the market is limited, but Canada is expected to continue to be the largest exporter.

(The same hold true for buckwheat) until new higher yielding and more frost tolerant varieties are commercially available. This development is expected to encourage larger production. Research is underway to develop uses for buckwheat in the pharmaceutical and nutraceutical industries, which is expected to increase the demand for buckwheat.

Production of smaller area special crops such as spices, herbs, spelt, kamut, quinoa and hemp is also expected to increase over the next decade. However, the market for these crops can be oversupplied very quickly. Therefore, they will be important crops to some producers, but the total seeded area is not expected to become large.