Canada: Oilseed Production Rises

Matt Hopkins Posted by Matt Hopkins|13 May 2008

Canada’s total oilseed production is estimated to reach 12.5 million metric tons (MMT), a 9% increase over last year’s total of 11.5 MMT. According to the US Dept. of Agriculture’s Foreign Agriculture Service (USDA-FAS), the increase is due to an 8% surge in canola production and a 12% increase in soybean production. However, sunflower seed production is expected to fall by 26% compared to 2007/08.

In late April, Statistics Canada reported that canola producers intended to plant 0.5% more hectares than last year. The expected increase in canola production is attributed to a return to normal yields after extreme heat during last year’s growing season held down yields. Statistics Canada’s March planting intentions survey indicates that soybean producers will plant 2.4% more acreage in 2008/09. The expected 12% increase in soybean production is mostly driven by this increase in yields.

Seeding intentions for sunflower seed reveals that producers anticipate planting 21% less hectares to sunflower seed, due mainly to competition from more lucrative crops.