Canada’s canola prices rose, despite significant stocks at the beginning of the season

Statistics Canada (StatCan) yesterday released the report on stocks at the end of 2023/24 MY, according to which at the beginning of August, the country’s canola stocks reached a 4-year high of 3.1 mln tonnes, up 67% compared to the previous season. However, the market reacted quite unexpectedly to this, and quotations rose by 2.5%.

On August 1, a new season started in Canada, but the pace of canola harvesting remains quite low. Thus, as of September 3, only 16% of the canola area in Saskatchewan was harvested, and 4.9% in Alberta. The rains predicted for the coming days will further delay the harvest, which has already led to a slight increase in quotations.

November canola futures on the Winnipeg stock exchange yesterday rose 2.5% to 584 CAD/t or 430.5 $/t (-5.3% for the week, 0% for the month) after last week fell amid declining oil prices by 8.5%.

Сanola stocks in Canada are growing, as exports to the EU in 2023/24 MG was insignificant, and supplies to China may be limited because the government has launched an anti-dumping investigation.

Last week, China, which is the world’s largest importer of canola, announced that it would check supplies from Canada in response to the Trudeau government’s tariffs on imports of Chinese electric vehicles and aluminum. Now, Canadian canola exports are under threat as Beijing may also impose certain restrictive measures.

For almost 30 years of expertise in the agri markets, UkrAgroConsult has accumulated an extensive database, which became the basis of the platform AgriSupp.

It is a multi-functional online platform with market intelligence for grains and oilseeds that enables to get access to daily operational information on the Black Sea & Danube markets, analytical reports, historical data.

You are welcome to get a 7-day free demo access!!!

Tags: prices, Canada, rapeseed