Winnipeg-based Richardson International has been blocked from exporting canola to China, and that’s going to have an impact here in the Parkland
“It’s a big part of the farm economy here. I would say most big farmers grow three crops; wheat, canola, and beans, in rotation. So probably a third to half of the acres would be canola,” said Jack Bremner.
“Some guys figuring the price is going to go up in the spring, which it usually does, and they held off selling their canola. Now they are stuck with it, I guess. I’ve got a buddy who has five semi loads and he would have lost 10 or 12 thousand dollars. It takes a lot of money out of your bottom line. That’s where it comes off of.”
The Canola Council of Canada says the blocked exports to China, the destination for about 40 per cent of Canada's canola exports, hurts the entire value chain of industries involved in the market.
They also say there is no clear evidence that diplomatic friction between the two countries is related to the Chinese tech giant Huawei dispute.
But FarmLink senior market analyst Neil Townsend says he thinks there is a definite link to the Huawei case.
Foreign Affairs Minister Chrystia Freeland says there is no scientific basis for the Chinese government's allegation that some imports from Canada were contaminated with pests or bacteria.
