AUSTRALIA exported 597,775 tonnes of canola in February, down 16 percent from the 713,188t shipped in January, according to the latest Australian Bureau of Statistics data.
Belgium on 194,967t was the largest destination for February-shipped seed, followed by The Netherlands on 148,128t and Japan on 89,094t.
The February 2023 figure is down slightly from the 608,557t shipped in February 2022, and well below Australia’s record monthly shipment set in March 2023 of 854,950t.
In its latest Canola Supply & Demand Report released April 6, Lachstock Consulting said it expected the national canola area from the crop now being planted to be down on the 2022-23 area.
“We are assuming that the are planted to canola will be down 7-15pc across the board with lower prices, high input costs and the increased chance that we are heading into a drier year all contributing factors,” the report said.
“Canola prices have taken a dive over the last month as ample global supply and falling crude oil prices weigh on global markets.
“High global inflation has impacted demand for oils and lack of any meaningful rebound in China demand has also left markets feeling heavy.
“Global carry out in 2022-23 and 2023-24 is forecast to he historically high which will continue to weigh on the market.
“It will take a production issue in the Northern Hemisphere or here to change the supply and demand fundamentals that are currently pressuring canola prices.”
Despite the softer price outlook, canola planting is advancing at pace across southern Australia following widespread and ideally timed opening rain.
Table 1: Australian canola exports for December 2022 and January and February 2023. Source: ABS
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