MarketsFarm — Prices for canary seed spiked to all-time new highs and then pulled well back as the Prairie winter set in, according to David Nobbs of Purely Canada Foods in Saskatoon.
Nobbs explained prices were on a rollercoaster in 2021, starting out at around 30 cents per pound only to climb through the 30s and 40s, pushing into the 50s as drought took hold across the region.
Production last year fell almost 39 per cent compared to the 178,000 tonnes harvested in 2020-21, according to Agriculture and Agri-Food Canada’s January supply and demand report.
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Ending stocks of 26,000 tonnes were squeezed to 5,000, which cut the stocks-to-use ratio from 16 to only four per cent.
Nobbs said prices climbed into the 60-cent range before buyers began to turn away, which eventually forced prices back to 45 cents/lb. for old crop.
“We are into a different part of the marketing year where farmers tend to be more worried about cash flow then they are the top price. Now we are on the downside of the crop year,” he said.
Prices, he said, should bounce back to about 40 cents/lb. — “which for the first 20 years of my career was a record price,” he added.
As for the 2022-23 crop year, he’s not completely sure as to how things will pan out. A lot depends on what farmers choose to plant and what buyers are looking for. Nevertheless, he feels prices will increase from the mid-30s into the 40s for new crop.
There are still some concerns about drought on Prairies continuing through this year, but more snow would help to alleviate the situation, he said.
On another note, the canary seed industry is looking to rebrand itself with another name as the product was approved for human consumption.
Rather than continuing with canary seed and its association with bird feed, the industry decided to rename it ‘alpiste,’ its Portuguese and Spanish name.
— Reporting by Glen Hallick for Glacier MarketsFarm in Winnipeg, with files from Michael Robin of the Western Producer.
