WINNIPEG (Dow Jones)--Canadian sunflower producers say increased oilseed
sunflower acreage in the U.S. will not hurt the Canadian market, as demand from
U.S. crushers is also expected to increase.

  The U.S. Department of Agriculture's 2008/09 (August/July) prospective
planting report released Monday  forecast U.S. oilseed sunflower acres at 1.848
million, up from 1.764 million acres in 2007/08 and 1.658 million acres in
2006/07. U.S. growers are expected to plant 305,000 acres of confectionary
sunflowers in 2008, up only fractionally from the 304,000 acres planted the
previous year.

  "I don't think this increase should hurt us at all, especially given the
request by Frito-Lay for NuSun oil to use in their product line," said Darcelle
Mabon, executive director of the National Sunflower Association of Canada.

  In 2006, Frito-Lay announced it would begin using sunflower oil in its
leading potato chip brands, reducing saturated fat and increasing mono- and
polyunsaturated fats, commonly known as "good fats."

  "We're currently meeting their demand but they're looking at expanding NuSun
into more of their product line," Mabon said.

  Luc Remillard, a producer from St. Joseph, Manitoba, and a director with the
NSAC, agreed that the latest USDA numbers will have little impact on the
Canadian market for the 2008/09 crop year.

  "I expect we'll see firm prices until the next crop year given availability,
the demand and ending stocks," Remillard said.

  In Canada, total sunflower acreage (confectionary and oilseed) is expected to
be similar to or slightly above the 215,000 acres planted for the 2007/08 crop
year. The difference will be how the acreage is distributed between the two
varieties.

  According to Mabon, oilseed sunflower acres in 2008/09 are expected to range
from 70,000 to 75,000, up from 65,500 acres the previous spring. Confectionary
acreage meanwhile, will remain steady or decline slightly.

  The carryout stock level for the 2008/09 crop year is estimated by
Agriculture and Agri-Food Canada at 15,000 metric tons, down from 20,000 tons
in 2007/08 and 23,000 in 2006/07.

  On March 31, the bid for new-crop oilseed sunflowers (delivered to elevator)
stood at 25 cents per pound, according to the PrairieAg Hotwire.