Chickpea prices continue to be under pressure as the market continues to price in big crops in India, Canada, and the US.
Late last week, Saskatchewan Agriculture provided their first estimate of the province’s yield, calling for 15 bushels per acre of chickpeas. This is 24% below last year’s Saskatchewan yield for chickpeas of 19.8 bushels per acre. The 5-year average yield for chickpeas in Saskatchewan is 27.4 bushels per acre, meaning this year’s crop is clearly below the average.
Nationally, Statistics Canada said on Friday that Canadian chickpea yields would come in at 22.2 bushels per acre this year. Compared to last year’s average haul of 21.9 bushels per acre, this is 1% higher. When compared to the 5-year average of 27.8 bushels per acre, this is 20% higher/lower.
As we’ve now turned the calendar over into September, the month of August ended with chickpeas pricing still sitting below their 5-year averages.
Looking at average prices in Saskatchewan, desi chickpea prices were nearly 19% higher than where July ended, and nearly 65% lower than at this time a year ago.
Kabuli chickpea prices were the same as the end of July, while being 66% lower than how kabuli chickpea prices in August 2017 finished.
Ultimately, there is some bullish news in this recent StatsCan production report for Canadian chickpeas.
For our GrainCents readers, we’re watching a variety of factors that might affect chickpea prices: 5 are bearish, none are bullish, and 3 are noise.
(If you’re not familiar with what “noise” is, then we recommend you check out our GrainCents risk management process towards chickpeas prices.)
This month, GrainCents investigated topics such as:
For our GrainCents readers, we’ll be continuing to monitor the harvest progress and yield in Canada, India, and the US, and the potential effects on chickpea prices very closely.
If you want to be more on top of what’s happening in canola prices (and making more sense of grain markets), join us for your free trial at GrainCents.