March 21, 2012

Canada's 2012 rapeseed production up to 15 million tonnes

As a record area is likely to be sown with the oilseed, Canada could harvest 15-15.4 million tonnes of rapeseed in 2012, up from 14.4 million last year, Hamburg-based oilseeds analysts Oil World forecast on Tuesday (Mar 20).

Canadian farmers are expected to react to high rapeseed prices by increasing their sowings, Oil World said. Canadian rapeseed futures touched a new six-month high on Monday.

"Rapeseed plantings will probably be boosted to a record 8.1-8.5 million hectares or 20-21 million acres, up sharply from the previous high of 7.6 million hectares planted in the spring of 2011 and the average 6.3 million hectares in the five years 1996-2010," Oil World said.

Canada is a major rapeseed exporter that traditionally makes large sales to Asia, especially China. Canada's agriculture department last week raised its forecast for rapeseed plantings for the harvests in summer and autumn 2012 to nearly 20.4 million acres (8.3 million hectares) from its estimate of about 19.8 million acres in February.

The department forecast this season's crop at 15.4 million tonnes.