Glacier Farm Media – Prices for green and yellow peas across Western Canada have likely hit their peak, according to Darwin Hamilton of Kalshea Commodities Inc.
Hamilton attributed the rise in prices to the reduced production of green peas plus a sudden demand for yellow peas from India and China to a lesser extent.
“A lot of the pea acres that went in this year were yellows. A lot fewer greens and poorer yields. The greens are in demand from our regular customers from South America,” he said, noting prices for the peas remained very good throughout harvest.
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As for the yellow peas, Hamilton stated India in particular has essentially been non-existent as a buyer during the last four years.
“Then all of a sudden India announces they might have less [pulses] available. They drop their import regulations on yellow peas,” he commented, adding that prices for them went from “a soft $10 per bushel to $12.50 to $13.”
With that turnaround from India, Hamilton said if Canada produced an average yellow pea crop this year that would have slowed the spike in their prices. He said all of this buying will lead to tighter ending stocks for both peas, than what had been expected.
Statistics Canada issued its final production report for 2023 on Dec. 4, in which it placed total dry pea production at 2.61 million tonnes. While that’s up from StatCan’s September estimate of 2.27 million tonnes, it’s short of the 3.42 million harvested in 2022. Meanwhile, Agriculture and Agri-Food Canada isn’t expected to release its next supply and demand estimates until later this month.
Hamilton suggested farmers take advantage of the good prices for yellow peas by Dec. 31.
“Once Jan. 1 hits, the buying is going to be done,” he commented, with India unlikely to start another buying spree until what they have purchased now has arrived, which he believes would be March at the earliest.
Prairie Ag Hotwire reported green pea prices as Of Dec. 11 were C$16.50 to C$17.50/bu. delivered across Western Canada, with yellows at C$11 to C$12. During the course of 2023, green peas were as little as C$11.80/bu. to as much as C$18 and yellows ranged from C$8.20/bu. to C$13.39.
