“Uncertainty is the only thing that is certain”: Sask. Farmers react to Chinese duty on canola
Canola producers say they are not surprised by China’s last decision in its current trade war with Canada.
“Everyone expected this day to happen. It was just a question of moment and what level the prices were going to be applied,” said Bill Prybylski, president of the Agricultural Producers Association of Saskatchewan.
On Tuesday, the Chinese Ministry of Commerce announced a preliminary obligation of 75.8% on Canadian seeds of Canola after an anti -dumping survey that it started last year.
China claims that the “dumping” of Canadian canola on the Chinese market harms its canola oil market.
The survey – and the 100% price taken from the oil and the canola Canadian meal in March – were launched in response to the price of 100% of Canada on Chinese electric vehicles.
Ottawa said that China had until September, when its investigation is officially ended, to make a final decision on tasks, but it could extend the deadline for six months.
“Taken in the middle”
Although the last series of Canola prices is expected, it does not make the process less frustrating for producers like Prybylski.
“We have the impression that we are caught in the middle of a trade war that we did not want, or we started, or that we have an influence,” he said, speaking with CBC News from his farm near Yorkton, in Sask., About 175 kilometers north-east of Regina.
Several agricultural associations and Canola claim that the move of China actually stops the Canadian canola on the Chinese market.
According to Canada’s Canola Council, China is Canola’s largest seed market and the second largest Canadian canola market.
The latest data provided by the Council shows that canola exports from Canada to China totaled $ 4.9 billion in 2024.
For the moment, producers are carefully looking at the Canola price.
Rick White, president and chief executive officer of Canada Canola Growers Association, said that it was too early to say what these prices might look like. But with the harvesting of the harvest of this season which should start in the coming weeks, there is no doubt that it will be “economically painful,” he said.
“The price should sag, the opportunity to deliver will probably be slowed down and it could be a difficult route here for next year,” said White.
Prybylski has accepted, saying that he thought that many producers will probably have to sell their products at a loss.
Saskatchewan Prime Minister Scott Moe has deplored the effects of new duty on the producers of the province.
Speaking on Tuesday in Saskatoon, Moe said that he had contacted Prime Minister Mark Carney to speak to him about the issue and have him treat him immediately. “
Moe said the Canadian Canola sector is larger than the steel, aluminum and combined electric vehicles industries.
“Our federal government cannot sacrifice a canola industry of $ 43 billion, 200,000 jobs in this industry which is largely based, in equity, in Western Canada, to protect the industry from electric vehicles which, largely based in eastern Canada,” said Moe.
China imposed 100% prices on oil and Canada’s Canadian meal last month, creating an uncertainty for around 40,000 farmers as well as for workers in the support industries.
In early June, Canadian and Chinese trade ministers have committed to meet to resolve business problems.
In an article on social networks on Tuesday, the Chinese Ministry of Commerce said that officials from the two countries met four days ago and discussed trade and the means of deepening cooperation.
The Prime Minister’s office postponed comments to the last Chinese CANOLA tariff to the Minister of International Trade, which did not immediately respond to a request for comments.
Carla Beck, the head of the DPP of the Saskatchewan DPP, urged Moe to visit China immediately.
“Given the level of threat that we see at the moment, it has no meaning for me that we do not use this office today to face it,” she said in Regina.
Moe said it was open to a commercial mission in China with Carney. Saskatchewan has a sales office in Shanghai and Moe went there in 2018.
China remains a higher importer of Canadian canola, but it exports few electric vehicles to Canada.
Canada has justified its samples from Chinese electric vehicles by arguing that they were protecting the investments planned at home. Canada also equaled a similar decision by the president of the time, Joe Biden, who struck Chinese electric vehicles with American rates.
Chinese electric vehicles are much cheaper than electric manufacturing vehicles North American manufacturing, partly due to the drop in labor and environmental standards and state subsidies.
China has struck Canadian Canola products with 100% prices, just one day after imposing 25% samples at all Canadian seafood exports. Movements are in retaliation for 100% Canada prices on all Chinese electric vehicles, aluminum and steel products.
Cathy Holtslander, director of research and policies at the National Farmers Union, said that although Canola’s last announcement is not ideal, Canadians should not panic.
Speaking in Saskatoon, Holtslander said that the sale of canola on the export markets does not really start in October. This means that the effect may not be immediate.
Holtslander said she thought the last announcement is a negotiation tactic and could be resolved politically.
“Politics is extremely complex and unpredictable. I think uncertainty is the only thing that is certain now.”
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