Markets Surprised by Seeded Area Numbers

PANAMA - Jun 30/16 - SNS -- Markets were caught by surprise by the seeded area estimates for pulse crops in Canada, with land in lentils increasing instead of remaining unchanged or slipping.

Several exporters and processors were passionate in their belief that lentil area was closer to five million acres than the 5.14 million farmers said they intended to seed this year.

By contrast, Statistics Canada said farmers ended up planting 5.85 million acres of all classes of lentils, attracted by the fact spot bids were sitting at their record highs for green lentils and near decile 10 for reds.

For the second year in a row, lentils were the most important pulse grown in Canada, accounting for roughly half of all specialty crops sown this year. Land in all pulses and special crops was pegged at a record 11.44 million acres, up from 8.79 million last year and the 8.47 million planted in 2014. During the previous five years, land in pulses and special crops average 7.59 million acres.

It is important to note that Statistics Canada surveyed 24,500 farms between May 27 to June 12. When the survey started, seeding was over 88% complete for pulses, 83% complete for mustard , and 77% complete for canaryseed. By the time the survey period closed, seeding of all pulses and specialty crops was finished.