Sharp declines in canola and pulse prices have presented farmers with a dilemma for rotation crops.
Lentils and canola plantings have been expanding over the past decade, partly due to the rotational benefits but also superior financial returns above the traditional cereals crops of wheat and barley. This pattern of expanding pulse and canola plantings will be tested in coming months after significant price setbacks in late 2017. Lentil prices have suffered after the Indian government imposed a 30 per cent import tariff in December after a bumper domestic harvest. Exporter bids have been sporadic with the news of the import tax.
Canola prices have also come under pressure in recent months as it became apparent that global supplies were more comfortable than earlier thought.