Pea Market Update: Tight pea supplies expected in Europe; import options complicated
AgPulse Analytica is predicting tight pea supplies in Europe due to dry weather in the main producing countries. In a market where Russian imports are restricted, Gaurav Jain discusses the implications.
This year, many of the large pea-producing countries in Europe, such as France, Germany, and Spain, suffered extremely dry weather; likewise, the European nations around the Baltic and Black Seas went through periods of high heat and dryness.
The dry weather will certainly impact this year’s pulse production, which is why AgPulse Analytica doubts the projected yield number representing the highest yields in five years.
If we estimate the yield number at 2018 lows, the production figure would drop, swelling the import requirement for which the European Union has traditionally been dependent upon Ukraine and Russia.
Over the years, supplies from these two countries made up 83-90% of total European pea imports. With the war in Ukraine leading to a smaller crop, Europe may find itself more dependent on Russia than usual. In fact, Russian pea exports to Europe for the period of Mar-May 2022 stand at the highest in four years.