Reduced U.S. Pea and Lentil Area

WASHINGTON - Feb 26/07 - SNS -- Competition from corn, soybeans and wheat is expected to result in an across the board 10% drop in U.S. field pea and lentils seedings this year, says USDA's Gary Lucier of the Economic Research Services February Vegetables and Melons Outlook.

"The market situation for dry peas and lentils is similar to that of dry beans, " Lucier says. "Despite relatively attractive prices and revenue possibilities for peas and lentils, many producers may find potential returns stronger this spring for other crops."

Lucier expects most of the drop to be "centered in the upper Midwest, where competition with crops such as spring wheat (including durum) is likely to be intense. Even with these reductions in planted area, output of both peas and lentils is expected to increase under the assumption that yields return to their long-term averages from last year’s weather-reduced levels.

"The acreage situation in traditional Western growing areas, which tend to be largely concentrated on food-grade markets, may be a bit different," he said.

In these areas, acreage changes are expected to be much more subdued. In fact, with food-grade farm prices now well above both loan rates and year-earlier levels (and continuing to rise), some increase in acreage (particularly for dry peas) is not out of the question in the Palouse.

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