Lowest canola harvest in Canada in more than 10 years leads to market redistribution

Canada's 13-year low canola crop is forcing large importers to pay a higher price for the product or look for new markets to buy oilseeds, Reuters reported. In particular, China, Japan, Mexico and the United Arab Emirates are traditionally the largest importers of Canadian canola. However, against the background of its deficit on the world market, importers may reorient to purchases from Ukraine and Australia, given the higher rapeseed harvest in these countries. Moreover, importers are forced to reorient themselves to purchasing canola (rapeseed) oil from Ukraine and Australia or palm and soybean oils, given the high price of Canadian canola, which, in turn, exacerbates the problem of rising world food prices. At the same time, in the event of an even greater reduction in the canola crop in Canada, importers may also be forced to increase demand for soybean and sunflower meal. It is also noted that both exporters and Canadian processors are faced with an extremely low supply of ...