Lentils the bright spot of 2010 or are they?

[SASKFARMER3]

Lentils lentils every where. Seems lentils will be back in high acreage numbers this year. Guys that haven't seeded them for years are putting in one or two quarters at the expense of peas I feel. Talked to lots who are dropping peas all together and going back to the old stand by lentils.
So you lock in 10 bushels at .21 cents a lb yes some did better but humor me. 12.60 or 126.60 an acre. So they help you cover your seed costs and its a good incentive to spray and fight disease etc all the way till you harvest. Then huge acreage in spring plus dryer year gives us an average yield but with acreage were flowing in lentils. Now bids drop back to I remember low 6.60 bush or less. Yield I said was average to below. So now Joe farmer will liquidate the rest of his crop for 66 dollars an acre and has some seed left to put in 2011 crop. So total income $192.00 an acre to cover his expenses. This is reality in a year with little to no moisture in Western Sask. So in real world we farmers will just supply the processors with supply that they can shop around for $9.60 a bushel or .16 cents a lb. Just open for discussion.

[SASKFARMER3]

Oh yea the USA is going to increase lentil seeding by some 23%. Were going to have bins full of the stuff.

[bucket]

The last time I grew lentils the same thing was happening - 21 or 22 cents contracts for the fall. Everyone was growing them.

By the time september rolled around lentils were worth 6 to 8 cents a pound and the grading was horrible. Those 21 cent contracts were not being picked up.

Pea acres are going down but in the end, lentil and peas might be the same price.

[jamesb]

I think like most years we have to have a rotation. its hard to pick the winners now. As far as lentils I've been surprised how the new crop bids have stayed up. I do think there are going to be alot of wrecks out there this year with lentils, new unexperienced growers, unsuitable land for lentils, too tight of a rotation leading to disease, weed issues (kochia, wild mustard). I do think that if we can go into new crop with low carry over we have a better chance of holding the .21 cent price. There would have to be a wreck somewhere again to see this past years prices again.

[JDGreen]

I agree with james on this. Couple this with a wet august or september and there will be many wrecks. My rotation is not changing however it amuses me to see how many are trying to push their rotations to include lentils on lentil stubble. Guys in our area are losing yield and quality in a lentil/durum/L/D rotation already. As far as contracting your first 5-10 bushels at 12-14 dollars a bushel, only a fool would look past this IMO. What pisses me off most is seeing as I only reentered crop ins. 3 years ago I only have a 10 percent experience discount and have grown lentils for 18 years. Neighbor down road has 50 percent discount and has never grown them before as he has always been in crop ins. NOW THATS RETARDED...

[bucket]

As I think more about this, what is the difference between signing a high price lentil contract that doesn't get picked up OR having the cwb come out with high PRO's and then not taking the grain and continuing to lower the price?

[jamesb]

whats everyones else experience about lentils not being taken? I had Estons not go years years ago to buyer that is not here anymore but in my dealings with the larger companies still going today, all have taken the contracted product within a resonable timeframe to the date on the contract.

[SASKFARMER3]

Last time we seeded them had 1000 acres and it rained and rained and rained. Sold most for a 3 and that was the last time growing them.

[gustgd]

We have a short list of who we deal with. When we signed contracts in the last few years,All of our lentils move either when they said they would or within a relatively short time frame. It seems that everyone has processors that they loyally deal with, and receive preferential treatment from. That being said prices matter and we do shop around looking for the best deal.
Another thing to remember is to check with CGC on bond status before you deliver. We did have a little scare this winter when we had delivered a couple loads before checking. When we did call it was registered as doing business as something other than how they answer the phone.

[highwayman]

Best policy in marketing lentils is not to chase the pie in the sky. Deal only with reputable and reliable buyers with a positve history. Bonding means nothing! Payment history means everything. Actually had a buyer/processor advance us $250,000 when they couldnt honor the original delivery period that we had set out in our contract. This without us having delivered a single bushel prior to the advance on funds. Something I will never forget. Been doing business with them ever since and been very happy.