Drought in Canada supported the price of canola and canola
a Little rain, which took place at the weekend, brought in the prairies of Canada lowering the temperature, but the meteorologists at the end of the week again promise dry and hot weather, which will increase stress to crops. The rains may be useful for rapeseed, however, it is clear that the production of spring wheat and maize will decrease significantly due to the drought, which was particularly evident in July.
the Only thing that prevents disaster from drought in Saskatchewan and Alberta, is the excessive saturation of the soil moisture in April and may. This allowed the plants to form strong root systems that have access to moisture from the deeper layers of the soil.
From 1 April the South West quarter of Saskatchewan and adjacent parts of Alberta got 20 to 30% of normal precipitation. The rest of Saskatchewan and Alberta to the South from the East-West line through Saskatoon and southwest of Manitoba had an unstable precipitation is less than average. Manitoba has the most favorable conditions and possibilities to obtain the yield of canola at an average level or better. However, the area where conditions are favourable for rapeseed is only 5-6% of the total crop area in Western Canada.
canola Futures in Chicago rose yesterday by 1% to 505 CAD/t or 398,7 $/t for November delivery.
the Price of rapeseed in Paris grew by 3.5 €/t to 372 €/t or 437 $/t in November after prices of soy and sunflower oil.
In Ukraine, the demand for canola remains high, so prices are at the level of 12100-12300 UAH/t in the domestic grain elevators and 12500-12700 UAH/t or 410-415 $/t delivered to the port. The cultivation of GMO products is prohibited, but this season again be the party of GMO canola. Traders or refuse to purchase such a rapeseed, or offer a discount of UAH 500 per ton.
the processors ' Purchase prices vary greatly depending on region and range from 11900 to 12400 UAH/t with delivery to the plant. The producers do not make allowances for GMO canola.