Canadian farmers count on to plant the biggest wheat crop in additional than twenty years this yr amid robust demand for wheat.
Statistics Canada mentioned Wednesday that farmers count on to plant 23 million hectares of wheat, up 6.2 p.c from the earlier yr.
In accordance with the federal company’s report on main area crops, the anticipated development is feasible on account of favorable costs and powerful demand for wheat.
Russia’s invasion of Ukraine greater than a yr in the past despatched international wheat costs hovering, as Ukraine was one of many world’s largest wheat exporters.
Costs have since fallen considerably from final yr’s double-digit highs, however stay comparatively robust from a historic perspective.
Chicago’s benchmark wheat futures have been buying and selling at round US$6.49 a bushel on Wednesday afternoon.
The conflict in Ukraine is only one of a number of curveballs Canadian farmers have been thrown final yr.
These challenges included inflationary pressures on issues like fertilizer and gas, in addition to greater rates of interest.
Farmers have additionally confronted extra excessive climate over the previous decade, together with a extreme drought in 2021.
Statistics Canada mentioned farmers additionally plan to plant extra canola, corn for grain, barley and soybeans in 2023 in comparison with final yr, whereas oats, lentils and dry peas are anticipated to say no.
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