Smaller Special Crop Harvest

VANCOUVER - Oct 15/10 - SNS -- Agriculture Canada reports total specialty crop production in Canada looks to total 5.1 million metric tons (MT) this year, down 10% from last year.

"Supply is estimated to decrease by 5%, but remain burdensome as lower production is partially offset by large carry-in stocks. The outlook assumes below normal crop quality. Total domestic use is expected to fall to 1.2 million MT. Total exports are forecast to increase marginally as higher exports of peas are partially offset by lower exports of lentils. Total carry-out stocks are forecast to fall by 29% to 0.8 million MT.

"In general, pulse and specialty crop prices are forecast to decrease from the 2009-10 level due to burdensome Canadian and world supply," Agriculture Canada's market analysis branch in Winnipeg said.

"The Canadian dollar is assumed to average slightly stronger than last year vis-à-vis the US dollar. The main factors to watch are harvest progress, exchange rates and the condition of the world crops, particularly the Indian subcontinent, Turkey and Australia."

Agriculture Canada Mustard Comment

In its latest monthly review of Canadian mustard seed Agriculture Canada's market analysis branch in Winnipeg reports seeded area totalled 410,000 acres this year, compared to 524,000 acres last year. This has the potential for production to total 159,000 MT, versus 208,000 last year.

Agriculture Canada is forecasting exports will reach 135,000 in 2010-11. Domestic use is forecast at 24,000 for the coming marketing year.

Season ending stocks are forecast to finish the 2010-11 season at 100,000 MT.

Agriculture Canada estimates grower bids will average between $440 and $470 MT in 2010-11.