China Agriculture View

Winnipeg, MB, July 26, 2011 (CNS Canada), Jul 26, 2011 (Commodity News Service Canada, Inc. via COMTEX) –
China willcontinue to allow Canadian canola shipments to enter the country while government and industry participants in both countries work towards a long term solution to the issue of
blackleg in Canadian canola, said the Canadian government in a news release July 26.

China remains one of the largest markets for Canada’s canola crop, but exports to the country have been hampered since 2009 when China placed import restrictions related to blackleg, a common fungal disease in canola. Currently, canola that tests positive for blackleg can only be delivered to crushing facilities far away from where China grows its own rapeseed crop.

“This is tremendous news for our canola producers and processors and is a testament to our strong and collaborative working relationship with China,” said Canadian agriculture minister Gerry Ritz in the news release.

“This development demonstrates that the growing Canada-China commercial relationship is benefiting Canadian farmers and their families,” added Ed Fast, Minister of International Trade and Minister for the Asia-Pacific Gateway, in the release. “We value and welcome the continued access as China is now the world’s second-largest economy. It is important that we further develop our trading relationship with China to create opportunities for hard-working Canadians”

The announcement is part of an ongoing strategy to achieve a stable trading environment with China for Canadian canola, said the release.

“We welcome China’s commitment to work in partnership to maintain trade in canola while jointly tackling research to reduce the threat of blackleg,” said Canola Council of Canada President JoAnne Buth in the release.

During the first ten months of the 2010/11 (Aug/Jul) crop year Canada had exported 692,000 tons of canola to China, making it the fourth largest export destination, according to the most recent Canadian Grain Commission data as of the end of May. That compares with the previous year when Canada had sent 1.841 million tons of canola by the end of May.