| | Alberta’s sugar beet industry is going through turbulent times. The 2002 growing season will be remembered as one of the lowest yielding and, at the same time, one of the most eventful seasons in the history of Alberta’s sugar beet production. Due to water rationing in 2001, there was a 30 per cent decrease in acres of sugar beets planted. Producers, again hit with the need to ration water in 2002, planted only 29,670 acres, two per cent less than the previous year and the lowest since 1990. Contracting of the 2002 crop began on April 8 and the first beets were planted on April 16, with 40 percent seeded by month end. Soil moisture reserves were generally poor at the start of that growing season. However, much needed rain was received during the first two weeks of May. This turned into a deluge later in the month.
Heavy snow during the third week of May and significant rain during early June resulted in so much water that a number of beet fields drowned.
Consequently, the 2002 crop recorded the lowest yield of the last twenty-five years - 15.22 metric tonnes.
The situation for 2003
The situation for 2003 is very alarming, both for sugar beet growers and processors (Rogers Sugar Ltd.). In 1997 and 1998, the Rogers Sugar Ltd. processing plant invested close to $65 million to upgrade and modernize and enhance its capacity for slicing and processing beets. It had hoped to process about 50,000 acres of beets by 2000. Currently, however, the factory is operating at less than 60 percent of its potential capacity. Weather conditions (drought and water rationing) and depressed world sugar prices are having an ongoing negative impact on the sugar beet industry in Alberta.
For 2003, contracted acres are expected to remain the same as last year. About 70 percent of the beets were seeded as of April 28. So, even with an acreage that is less than what the sugar factory wants, there appears to be a potential for a good crop this year.
Like sugar beets, other irrigated crops such as potatoes, beans, sunflowers and other processing vegetables are grown on contract. These crops are in direct competition with sugar beets for the limited irrigated land in southern Alberta. Unless the world price for sugar improves and beet growers realize better returns, the state of the sugar beet industry in Alberta will remain in flux.
For more information, please contact:
Nabi Chaudhary
Senior Economic Analyst, Crops
Phone: 780-422-4054
E-mail: nabi.chaudhary@gov.ab.ca |
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