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(Alice McFarlane/farmnewsNOW Staff)
Canola Exports

Canadian canola finding it’s way into China

Dec 5, 2019 | 10:18 AM

Canadian canola seed is being sold into China but it’s at a much slower pace compared to one year ago.

Canola Council of Canada president Jim Everson recently visited China where he met with Chinese importers and the new Canadian ambassador Dominic Barton. He said he was hoping to get a better understanding of the dispute between the two countries.

“It’s very important to have an ambassador. They have really unique access and unique circumstances a result of their position. Canada has one and that’s a very good thing. Secondly, I think very highly of Dominic Barton,” he said. “He understands global trade and natural resource products, he wrote the book here in Canada on the opportunity that we have in the agricultural sector.”

“So, he really understands that part of the business. But you know, these issues in China are very complex, and they’re not entirely just about canola and canola quality. Clearly, they are issues that will take time.”

Everson said the industry needs to work very closely with government, be supportive and make it clear to China that we’re interested in finding a solution.

While some Canadian canola is entering China, two Canadian companies are still being denied access.

“Viterra and Richardson are still in this circumstance where their permits have been removed. There is seed going to China, I would say, roughly, about a quarter of what we would normally expect at this time,” he said. “I think any trade there is a welcome development for our canola value chain. We’d like to see more of that. But clearly, in order to return the situation to where we think it should be, we need to resolve the issues, we need to make sure those two companies, and all Canadian exporters, have access to the Chinese market.”

Everson said the amount he mentioned is Canada’s direct trade to China. But, there has been speculation Canadian canola is entering China through a third party.

“Well, I see that our exports to other markets are up. Seed markets are up. There’s been discussion that you will have seen of some of that product going into markets and being processed there and then the oil is making its way into other markets and presumably China. I wouldn’t comment on the exact statistics there. But I would say that it’s possible that some Canadian product is finding its way in China,” he said.

Everson said total canola exports are doing okay.

“The statistics show that trade is fairly robust considering the circumstances we have with China,” he said. “And, you know, our goal is to open market access around the world and to make sure that our exporters of seed, oil and meal have unimpeded access to markets.”

Jim Everson spoke at the recent Canola Industry Meeting in Saskatoon.

alice.mcfarlane@jpbg.ca

On Twitter: @AliceMcF

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