September 1, 2005

USDA: Record rapeseed crop expected in France in 2005 

A record rapeseed crop is expected in France in 2005. Estimates by the French Ministry of Agriculture put 2005 rapeseed crop at 4.2 million MT (up 5 percent). 

Germany, with a declining crop and with great demand by the biodiesel industry, is expected to import larger quantities of rapeseed from France in 2005/06.

Prices and availability of soybean meal on the French market will be determinant in the choice between rapeseed meal and soybean meal in animal feed rations.

As all rapeseed has now been harvested, the French Ministry of Agriculture published in mid-August its preliminary estimate of 4.20 million MT, a 5 percent increase from 2004. This resulted from both expanded acreage and better yields. The dry weather conditions of 2005 negatively impacted diseases, and therefore favored yields.

This large crop is likely to result in strong crush and exports. French rapeseed crush was already at its maximum at 2 million MT in 2004/05, boosted by the growing demand from the French biodiesel industry. 

Exports are expected to increase more specifically to Germany and Poland, where Eurostat estimates rapeseed harvests are down significantly. The German demand for rapeseed is high, since biodiesel production capacity in this country has significantly increased in the past few years. 

Whether the large French crop would result in substitution of soybean meal with rapeseed meal in animal feed rations, as was the case in 2004/05, is uncertain. It will depend on the availability and prices for soybean meal on the French market.

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