April 27, 2006

Farmers plan to plant more spring wheat in Canada
 

Planting of spring wheat among farmers in the Canadian prairie province of Saskatchewan is likely to increase this year, according to a Statistics Canada survey released Tuesday (Apr 25).

The survey found farmers are planning an 11-percent increase in spring wheat over 2005.

At the same time, plantings of canola, lentils and durum wheat are likely to be reduced as farmers have been discouraged by large inventories and low prices on top of increasing costs.

Durum wheat planting in Saskatchewan is expected to be 30 percent lower than in 2005, the result of reduced demand and poor prices.

Conducted in March, the survey found that conditions for farmers have become more difficult due to rising costs.

However, current soil conditions are perfect for planting, thus giving a good headstart to the 2006 crop, the survey said.

Some farmers have chosen to let their lands fallow as they felt none of the predicted returns are good enough to cover costs.

Current problems with the winter wheat crop in the United States means good news for spring wheat prices in Canada, said Larry Weber of Weber Commodities in the provincial capital, Saskatoon.

Since spring wheat is the dominant wheat in Saskatchewan, lifting of prices would help the region out of its economic doldrums, he said.