Rapeseed and canola prices rose after another decline in the Canadian harvest forecast
On September 14, the Statistical Office of Canada again sharply reduced its forecast for the 2021 canola harvest to the lowest level since 2010 - 12.8 million tons, which is 34.4% lower than the 19.5 million tons harvested last year. recall that on August 30, StatsCan lowered its forecast for the canola harvest to 14.7 million tons, and USDA experts in the September report estimated it at 14 million tons.
Due to dry weather, the average canola yield will decrease by 39.5% to the lowest level in the last 10 years – 25.3 bushels/acre, which will not be able to compensate for the expansion of sowing areas by 8.1% to 22.2 million acres.
In the province of Saskatchewan, which is the main producer of canola, its yield will decrease by 47.2% to 5.8 million tons due to a 50.4% decrease in yield to 21.2 bushels/acre, although the sowing area increased by 6.3% to 12 million acres. In the provinces of Alberta and Manitoba, production will decrease by 17.1% and 21.3% due to weaker heat and significant sowing areas.
On the Winnipeg Stock Exchange, November canola futures fell from 880 to 853 CAD/t on the eve of the release of the USDA report, but yesterday they rose to 875.7 CAD/t or 6 690.3/T, which is still 25 CAD/t less than a month ago.
Against the background of a decrease in the forecast of the canola harvest in Canada, November rapeseed futures on Paris Euronext yesterday rose by 11.25 €/ton to 587 €/ton or 693.2. /ton.
In Ukraine, purchase prices for rapeseed at the end of last week, against the background of a decrease in the number of buyers and following World quotes, decreased in ports to 6 670-675/ton or 20300-20400 UAH/ton, but yesterday they rose again to 6 675-680/ton or 20500-20600 UAH/ton.