W46: Weekly Canola & Rapeseed Update

Global

W46 Global Market Price for Rapeseed Showed a Decline of 4.1% WoW

Global cereal and oilseed futures market closed W46 (November 14-20) with a predominance of falls, although both corn and oats in the United States have rebounded in relation to the last seven days. Rapeseed price fell 4.1% WoW from reducing the price from USD 662.50/MT in W45, to USD 635.16/MT in W46 on Euronext.

Russia

Russia’s the Total Oilseed Harvest in 2022 Is Expected to Exceed 28MMT

The total estimated oilseed harvest in Russia in 2022 is expected to increase by 13% YoY to 28MMT from 24.8MMT in 2021. Rapeseed harvest is expected to rise 1.3% from 4.45 MMT in 2021 to 4.51 MMT in 2022.

Production of Oilseeds Increased by 30% As of W46 in the Altai Territory

In 2022, the main oilseed crop of Altai Territory have seen a 30% increase in harvest. This season, 1.5 MMT of oilseeds are expected to be harvested in the region with rapeseed harvest expected to reach 280,000MT. According to the regional ministry of agriculture, the cultivation of rapeseed and oil flax was prioritised during the current growing season. 

The Tyumen Region Exported More Than 2,500MT of Rapeseed Oil to China in 2022

Since the start of 2022, Tyumen Region has sold more than 2,500MT of rapeseed oil to China, according to Rosselkhoznadzor. For the transportation of these products, 134 phytosanitary certifications were issued overall. In October, 215MT of rapeseed oil were sent to China from the Tyumen Region. In 2022, the export of rapeseed oil has shifted to the east, and the share of China is more than 50%, although in 2021, with comparable export numbers, 35% of the oil was delivered there, and another third went to Norway.

Ukraine

Mykolayiv Oblast Was the First to Finish Harvesting 2022 Rapeseed Harvest

In Ukraine, for W46, Mykolayiv Oblast was the first to complete the winter harvest, while Vinnytsia and Kirovohrad Oblast are leaders in terms of threshing. Rapeseed harvesting was completed on 1.1M ha of total sown area as of November 17, with 3.2MMT of rapeseed threshed, yielding 28.9kg/hectare.

Ukraine Planted 1M Ha of Winter Rapeseed in 2022/23

According to Ukraine Ministry of Agriculture, as of November 15, rapeseed was sown in 1M ha followed by winter cereals in an area of 4.4M ha for the 2023 harvest. As of W46, all regions in Ukraine have completed the sowing of winter rapeseed, which is 4% more than the forecasted area.

92% Of the Rapeseed Sowing in Kyiv Region, Ukraine, Was Completed as of W46

Farmers from Kyiv region, Ukraine, are completing the 2022/23 sowing of winter crops, such as rapeseed, barley, and wheat. In W46, 92% of the sowing area of rapeseed is completed on an area of 55,000ha. The first region to complete the sowing of rapeseed is the Bilotserkiv, Boryspil, Obukhiv, and Fastiv regions.

Germany

Germany Is an Important Supplier of Rapeseed Oil in the EU

German rapeseed oil exports were more focused on the EU and less on third countries in 2022/23. This is because rapeseed supply is important for the production of biodiesel or hydrogenated vegetable oil (HVO) in Europe. In 2021/22 major export market for German rapeseed oil is the Netherlands, which nearly imported 600,00MT, and acts as a hub for world trade in the commodity. Belgium is the next major importer, amounting to 86,500MT and this is followed by France, Denmark, and Poland as important destinations.

Poland

Rapeseed in the South of Poland in Good Condition in W46

Poland's winter rapeseed is in good condition because of the favourable weather condition. Rapeseed generated 8-12 leaves per plant, and the leaves are also well-developed in terms of volume. Warm October permitted the plants to produce a lot of leaves, but only properly maintained plants could grow roots that were deep and well-developed (at least 20 cm long) under these circumstances.

India

Indian Rapeseed Sowing Area Increased by 0.7M ha in 2022

According to India's Ministry of Agriculture, 5.5M ha of rapeseed were planted during the winter season, which is 0.7Mha more than in 2021. By increasing domestic production of rapeseed oil, India, as the world's largest importer of vegetable oil, could reduce its dependence on purchases from Malaysia, Indonesia, Brazil, Argentina, Russia, and Ukraine. In the fiscal year 2021/22 that ended in March, India imported USD18.99B in vegetable oil. 

Uruguay

Uruguay Has the Largest Rapeseed Area Planted in South America

With more than 250,000ha set to be planted with rapeseed by 2022, Uruguay will have the largest rapeseed sowing area in South America. The increase in planting area is attributed mainly to high demand from Europe and other international markets. The Uruguayan rapeseed industry reached this target over the winter, but the estimated harvest might be affected due to a water shortage in Uruguay. According to estimates, Uruguay will export 300,000MT of rapeseed in 2022, primarily to the UK. Currently, Uruguay is searching for new market opportunities in countries such as Chile or Mexico. The nearest competitors for Uruguayan rapeseed now are Paraguay, which has a crop of between 40,000-50,000ha, followed by Chile, which has a crop planted between 35,000-40,000 ha, and Argentina, which has a crop planted of about 15,000-20,000ha.