EU: Canola Crop Expected to Decrease in 2016

6 May 2016

According to some European analysts, the production of rapeseed seeds in the EU will decrease to 21.2-21.4 mln. tons this year as compared to 22 mln. tons a year earlier, Reuters reported.
In particular, in Poland, the gross yield of this oilseed may be reduced to 2.45 mln. tons (-22% per year) due to the early frost in the winter and the cold weather in late April, when rapeseed had entered the flowering stage in a number of regions of the country.

In France, a slight decrease in oilseed crop is expected because of destruction of crops by fungal disease and insects. In this regard, the ODA analysts have reduced rapeseed production forecast in the country from 5.4 mln. tons to 5.2 mln. tons against 5.3 mln. tons in 2015.

In the UK, a slight decrease in the volume of the crop is also expected due to the reduction of the cultivated area occupied by rapeseed by 10% per year due to a weak demand from processors for this oilseed. In addition, a reduction in crop yields due to its destruction by pests is forecast.

At the same time, the rapeseed crop in Germany may increase by 0.6% or to 5.03 million tons, as recent frosts have not caused any substantial harm to the crop.

It is also expected that the decrease in the gross harvest of rapeseed in the EU will increase its dependence on imports of products from Ukraine, Australia, and Canada. However, the low crop of this oilseed in Ukraine in the current year may lead to a lack of its supply in the world market.