Weather patterns have increasingly affected crops in the Midwest and Northern states, hardest hit are the Dakotas. Crops are in the budding stage and desperately need rain. The continued drought has drastically affected the wheat crop and has raised many concerns regarding pulses. Outlook remains volatile as we do not yet know specific numbers on how much the yields will be diminished by lack of rain. You can expect to see pricing on pulses to remain static with a bullish outlook through new crop. As buyers look towards new crop we are not seeing the drop in prices that we are normally accustomed to, due to the aforementioned drought conditions. The positive side is there are increases in planted acres of pulses in Washington, Montana, Dakotas, and some provinces in Canada. Hopefully this should offset some of the yield loss.
Aquatic protein demand has stayed relatively static, resulting in level future prices for the large commercial species.
Multiple companies have, or are currently, building plants to alleviate stress on the pea protein market. With that being said, pricing still seems bullish with continued increasing demand. Another factor that affects pricing is the outsourcing of the pea starch made during the manufacturing of the protein.
– Loren Topp, Purchasing Agent