Agriculture and Agri-Food Canada forecasts that the level of end-of-year crop stocks will be at a record high due to food supply problems caused by Russia’s invasion of Ukraine and others. problems.
In a report titled Canada: Prospects for Principal Field CropsAgriculture Canada researchers found that inventory of all major field crops like canola and wheat fell 29.1% as of March 31, 2022, from a year earlier.
“The economic outlook for global and Canadian grain markets remains particularly uncertain, in large part due to the Russian invasion of Ukraine, which has resulted in the continued disruption of supplies to the region for the foreseeable future,” staff wrote. .
“For 2021-22, stocks of all major field crops reported by (Statistics Canada) as of March 31, 2022 have decreased by 29.1% from March 31, 2022 due to drought-reduced production in 2021 and ‘sustained strong global demand.’
Individual crops that were affected included canola stocks which fell 49.3%, while wheat stocks fell five megatonnes.
“As a result, carry-out stocks (end-of-year inventories) for all major field crops are expected to end the year at a record high,” the staff wrote.
Tighter Canadian and global grain supplies and increased international demand have led Agriculture Canada to forecast high crop prices while warning that price volatility will continue due to the unpredictable nature of the conflict in Ukraine.
“Crop prices, in general, are expected to remain relatively high in 2022-23, but decline from record highs to near-record prices in 2021-22 as Canadian and global production are expected to increase,” the report said.
Farmers have warned that sky-high fertilizer prices are contributing to problems in the food supply chain.
“We are currently facing a fertilizer crisis, one of the main problems in our supply chain. Farmers need to find low-cost alternatives that are more environmentally friendly and still meet their needs,” National Farmers Union president Katie Ward told parliamentarians in February.
As True North exclusively reported in April, western Canadian wheat farmers lambasted Agriculture Canada for singling out grain growers for allegedly having the most “emissions intensity” in the world in a recent paper. discussion.
“I would like to know where they get their facts from,” said chairman Gunter Jochum. “I believe these facts have been entirely made up because in Canada we don’t even have a benchmark as to the actual emissions.”