Canola futures continued their back-and-forth pattern on Monday, posting losses after gains on Friday.
The canola market fell on the heels a Reuters report today that China’s state-run trading company had purchased about 50,000 tonnes of new-crop canola from Australia. If accurate, it would mark the first Chinese purchase of Australian canola since 2020 and comes after China last week slapped punitive anti-dumping duties on imports of Canadian canola.
China is Canada’s second-largest market for canola and related products, with exports valued at $4.9 billion in 2024. If upheld, the preliminary Chinese anti-dumping duty of nearly 76% will make Canadian canola commercially unviable in China.
Still, canola stocks are expected to remain quite tight in 2025-26.
Chicago soybean oil, European rapeseed and palm oil were all higher today.
November canola dropped $9.20 to $651.70, and January was down $9.40 at $663.30.
