WINNIPEG — Canadian flaxseed production is expected to exceed last year’s totals,; a rare occurrence after last season’s bumper harvest for most crops.
“It sounds like we lost a little bit of acres (due to flooding) but they’re still holding onto a pretty good forecast,” said Will Hill, president of the Flax Council of Canada.
Recent production estimates by Statistics Canada predicted Canada would produce 908,000 tonnes of flaxseed in 2014-15. It was slightly above trade guesses by industry watchers, who pegged production closer to 850,000 tonnes.
Read Also
Critical growing season is ahead for soybeans
What the weather turns out to be in the United States is going to have a significant impact on Canadian producers’ prices
Producers harvested only 712,000 tonnes of flax in 2013-15, so Hill is hopeful Statistics Canada’s projection proves to be accurate.
“I think maybe the surprise is they’re penciling in 24 bushels an acre as yields,” he said.
The agency’s forecast is also a bit higher than what most participants were anticipating, he added.
Recent rainfall in southeastern Saskatchewan and southwestern Manitoba has some crop-watchers on edge. They say most crops could use warm, sunny days .
However, Hill said flax should be OK regardless.
“It’s hard to kill a (flax) crop with too much moisture,” he said.
Hill also said he’s pleasantly surprised with how flax has handled weather challenges thus far, but added the true impact of any water damage isn’t known.
“We’ll know more in a few weeks,” he said.
Flax prices have generally stayed at a similar level since spring but could be on the move soon, according to Paul Martens of Prairie Flax Products in Manitoba.
He said elevators have dropped their price at the moment as they prepare for other commodities to be delivered.
However, he’s optimistic about market opportunities for the crop in fall.
“I think the demand has always been steady for flax, there always seems to be more exports,” said Martens.
According to the Prairie Ag Hotwire, the spot price for flax Aug. 28, was $12 to $13 a bushel, which compares to $11.50 to $12 a bu. March 11.
