Summer has finally arrived, and turfgrass harvest is fast approaching in Western Canada, with promising crops thanks to excellent growing conditions.
Crop Outlook
Crops emerged from winter much as expected. Most fields benefited from a wet fall and entered winter in good condition. Areas with limited snow cover experienced more winterkill, but overall losses were close to average at approximately 20%.
Conditions have been cool and wet across many parts of the Prairies this spring, delaying planting and leading to unseeded acres and crop losses due to excess moisture in some areas. Fortunately, our grass crops thrive in cool, moist conditions and have taken full advantage of the weather this season, setting up for excellent yield potential.
In the U.S., Oregon growers are dealing with high temperatures that have reduced yield potential, but they are still expecting an average harvest. Minnesota crops are also on track for average yields; however, acres are down significantly from the highs seen a few years ago.
Market Conditions
With greater stability in global trade and seed prices, distributor purchasing patterns have returned to a more normal rhythm, with steady demand. Forage sales have been strong, supported by healthy cattle markets. Seed inventories remain very low for many forage species, helping support steady movement and favorable prices.
Turf inventories continue to improve with steady demand and lower production volumes. As a result, prices have begun to slowly move upward after several years of declining values.
Perennial Ryegrass
Perennial ryegrass inventories have become more balanced due to reduced acres in Minnesota and Oregon. Inventories of high-quality, top-performing seed are becoming limited, with most of the remaining supply consisting of lower-quality seed. Expect prices to increase slightly over the coming year, with stronger demand for high-quality seed lots, making the extra effort to produce high-quality seed well worthwhile.
Tall Fescue
Seed companies significantly reduced tall fescue plantings in recent years to manage excess inventories. As a result, the availability of new, top-performing tall fescue varieties has tightened, while demand for BrettYoung’s leading tall fescue products remains steady.
Inventories remain higher for tall fescue than for other species, but prices for high-quality seed have begun to increase slightly and are expected to remain steady, at a minimum, moving forward.
Alfalfa Update
Strong demand has reduced alfalfa seed inventories throughout the industry to nearly zero at the end of this season. Higher seed production acres in North America and improved crops in Europe are expected to begin rebuilding inventories over the coming year.
Prices are expected to remain stable for certified production of proprietary varieties, providing solid returns for growers. However, common seed prices are expected to decline if crops perform as anticipated.
Red Fescue
Improved moisture in the Peace River region should help yields this season, but acres are down significantly, so the crop is expected to be small. Red fescue acres in the EU have declined by approximately 30% over the past several years, helping reduce inventories.
This has supported stronger red fescue prices; however, further upside is likely to be limited by the price and availability of substitute species.
Timothy Update
Timothy plantings this spring are off to a much better start after struggling with drought last year. There continues to be strong demand for additional certified timothy production in Western Canada, which should help keep prices firm.
To learn more about integrating forage and turf seed production into your operation, connect with a BrettYoung Seed Production Specialist.
