Canola oil production down, inventories dependent on 2022 production

According to one of Canada's largest canola oil processors, the 2021 canola harvest was down by at least 28% year over year. The typical harvest is right around 21 million MT. Because of the weather and fires during the 2021 growing season, harvest came in at 12-15 million MT. Half of the Canadian production goes into the domestic market. So, that has had a significant impact on the amount of product available for export. Inventories are hinging on the 2022 growing season. If the 2022 season is challenged, that could mean large jumps in domestic and global canola prices.