Latest news with #CanadianCanolaGrowersAssociation
Yahoo
3 days ago
- Business
- Yahoo
B.C. canola growers brace for new Chinese tariffs as harvest approaches
B.C. canola farmers are staring down millions in losses after China slapped new anti-dumping duties on Canadian canola just weeks before harvest begins. The retaliatory 75.8 per cent tariff on canola seed is the latest volley in the ongoing trade fight between the two countries. While farmers brace for the hit, experts are asking whether Canada's own 100 per cent tariffs on Chinese-made electric vehicles (EVs) are worth the cost, and if they should be scrapped in hopes China will reverse its canola tariff. Ernest Wiebe, who farms 800 acres of canola in Montney near Fort St. John, B.C., says producers are feeling discouraged by a recent drop in price for their crops. The price per bushel had been $15 to $16 earlier this year, but it's since dropped to about $12.50 to $13.20 a bushel, Wiebe said. And it's a long way off from the highs of $27 a bushel seen in 2022. "With all the uncertainty and stress of tariffs, and anti-dumping duties, we have seen a significant slide in our prices," he said. Doing the math A price drop by about $3 per bushel can wipe out between $120 and $180 an acre, depending on yield, according to Wiebe, who sits on the board of the Canadian Canola Growers Association. For the roughly 290 producers in the Peace Region, who seed up to 110,000 acres a year and grow 95 per cent of B.C.'s canola, that's a massive hit. Most of the crop is bound for China, where it's crushed and processed into cooking oil. Meanwhile, input costs keep climbing. Fertilizer alone is up $200 a metric ton this year, Wiebe said, on top of higher bills for land, fuel, equipment, and taxes. The growing price gap could mean tens of thousands, if not hundreds of thousands, in losses for the average farmer, and millions for B.C.'s economy."Overall, farmers [are] incredibly discouraged, and looking at it and going, 'Well, how are we going to make this all work?'" said Wiebe. B.C. growers are hoping for an average or slightly above-average crop this year. But a very dry May followed by late June rains has delayed maturity, raising the risk that bad weather — possibly even snow — could interfere with harvest. Pressure on Ottawa Werner Antweiler, an associate professor at University of British Columbia's Sauder School of Business, says he is worried about farmers suffering the consequences of "arbitrary" Canadian tariffs. The canola tariffs came after Canada's 100 per cent tariffs on Chinese EVs, and Antweiler says the EV tariffs weren't based on a proper investigation under World Trade Organization (WTO) principles. "We should definitely revisit this issue and, in that way, also maybe reduce the countervailing duties that we now see on canola exports." Stuart Smyth, a professor of agriculture and resource economics at the University of Saskatchewan, believes China's new tariffs are a strategic move to push down international canola prices before China buys large volumes at a discount. Similar tariffs in 2019 and 2020 cost the canola industry $2.3 billion, he said. "If this stays in for six or eight months, we could be looking at billions of dollars in costs," Smyth told CBC Radio West host Sarah Penton. China claims Canada is dumping canola below the cost of production, which the federal government denies. Smyth says Canada doesn't subsidize crops like other countries do, nor does it promote exports with subsidies. LISTEN | Professor says EV tariffs hurt B.C. farmers Canada and China are challenging each other at the WTO, and while Prime Minister Mark Carney says his government is working with industry to find solutions, Smyth doesn't expect much of a response. He believes Carney is prioritizing the steel, aluminum, and auto sectors to save jobs in southern Ontario, where there's a high density of voters. "The federal government has been very reserved on reaching out to China, having consultations, or even trying to set up discussions with them," Smyth said. Farmers running out of time Wiebe says the federal government needs to strike a deal with China soon, even if that means walking back its EV tariffs. "If that could be resolved, and the tariffs, or the anti-dumping duty in this case, lifted, I believe our canola price would probably jump $2 to $3 a bushel probably within the next week." Some may pivot from canola if profitability keeps sliding, Wiebe said, but planting other crops like wheat or oats has risks of its own. Flooding those markets could only end up driving down those prices too. "We're price takers," he said. "We can only sell at what the market offers."
CBC
3 days ago
- Business
- CBC
B.C. canola growers brace for new Chinese tariffs as harvest approaches
B.C. canola farmers are staring down millions in losses after China slapped new anti-dumping duties on Canadian canola just weeks before harvest begins. The retaliatory 75.8 per cent tariff on canola seed is the latest volley in the ongoing trade fight between the two countries. While farmers brace for the hit, experts are asking whether Canada's own 100 per cent tariffs on Chinese-made electric vehicles (EVs) are worth the cost, and if they should be scrapped in hopes China will reverse its canola tariff. Ernest Wiebe, who farms 800 acres of canola in Montney near Fort St. John, B.C., says producers are feeling discouraged by a recent drop in price for their crops. The price per bushel had been $15 to $16 earlier this year, but it's since dropped to about $12.50 to $13.20 a bushel, Wiebe said. And it's a long way off from the highs of $27 a bushel seen in 2022. "With all the uncertainty and stress of tariffs, and anti-dumping duties, we have seen a significant slide in our prices," he said. Doing the math A price drop by about $3 per bushel can wipe out between $120 and $180 an acre, depending on yield, according to Wiebe, who sits on the board of the Canadian Canola Growers Association. For the roughly 290 producers in the Peace Region, who seed up to 110,000 acres a year and grow 95 per cent of B.C.'s canola, that's a massive hit. Most of the crop is bound for China, where it's crushed and processed into cooking oil. Meanwhile, input costs keep climbing. Fertilizer alone is up $200 a metric ton this year, Wiebe said, on top of higher bills for land, fuel, equipment, and taxes. The growing price gap could mean tens of thousands, if not hundreds of thousands, in losses for the average farmer, and millions for B.C.'s economy. WATCH | Canola farmers brace for tariff impact: Chinese tariffs on Canadian canola have farmers bracing for the worst 3 days ago A new Chinese tariff of over 75 per cent on Canadian canola seed takes effect today, effectively closing Canada's biggest export market for the product. The tariffs are an escalation in a mounting trade dispute between the two countries. "Overall, farmers [are] incredibly discouraged, and looking at it and going, 'Well, how are we going to make this all work?'" said Wiebe. B.C. growers are hoping for an average or slightly above-average crop this year. But a very dry May followed by late June rains has delayed maturity, raising the risk that bad weather — possibly even snow — could interfere with harvest. Pressure on Ottawa Werner Antweiler, an associate professor at University of British Columbia's Sauder School of Business, says he is worried about farmers suffering the consequences of "arbitrary" Canadian tariffs. The canola tariffs came after Canada's 100 per cent tariffs on Chinese EVs, and Antweiler says the EV tariffs weren't based on a proper investigation under World Trade Organization (WTO) principles. "We should definitely revisit this issue and, in that way, also maybe reduce the countervailing duties that we now see on canola exports." Stuart Smyth, a professor of agriculture and resource economics at the University of Saskatchewan, believes China's new tariffs are a strategic move to push down international canola prices before China buys large volumes at a discount. Similar tariffs in 2019 and 2020 cost the canola industry $2.3 billion, he said. "If this stays in for six or eight months, we could be looking at billions of dollars in costs," Smyth told CBC Radio West host Sarah Penton. China claims Canada is dumping canola below the cost of production, which the federal government denies. Smyth says Canada doesn't subsidize crops like other countries do, nor does it promote exports with subsidies. Canada and China are challenging each other at the WTO, and while Prime Minister Mark Carney says his government is working with industry to find solutions, Smyth doesn't expect much of a response. He believes Carney is prioritizing the steel, aluminum, and auto sectors to save jobs in southern Ontario, where there's a high density of voters. "The federal government has been very reserved on reaching out to China, having consultations, or even trying to set up discussions with them," Smyth said. Farmers running out of time Wiebe says the federal government needs to strike a deal with China soon, even if that means walking back its EV tariffs. "If that could be resolved, and the tariffs, or the anti-dumping duty in this case, lifted, I believe our canola price would probably jump $2 to $3 a bushel probably within the next week." Some may pivot from canola if profitability keeps sliding, Wiebe said, but planting other crops like wheat or oats has risks of its own. Flooding those markets could only end up driving down those prices too. "We're price takers," he said. "We can only sell at what the market offers."
CBC
6 days ago
- Business
- CBC
China claims Canada is 'dumping' cheap canola into its market, prompting 75.8% tariff
On Thursday, China imposed a 75.8 per cent tariff on canola imports from Canada, alleging that Canada is 'dumping' the product into the Chinese market. How will this affect Canadian canola farmers? Canadian Canola Growers Association CEO Rick White joins Power & Politics to discuss.
13-08-2025
- Business
Federal ministers meet with canola lobby to discuss new tariffs from China
Headlines Latest News Podcasts (new window) Tariffs are scheduled to come into effect Thursday Canola is a major export of Canada's agricultural industry. The crop will face new, steep tariffs from China starting on Thursday. Photo: The Canadian Press / Jeff McIntosh Kyle Duggan (new window) · The Canadian Press Agriculture Minister Heath MacDonald and International Trade Minister Maninder Sidhu are meeting with canola groups Wednesday afternoon to discuss China's announcement that it will hit Canada with a 75.8 per cent tariff on the crop. The ministers have a meeting scheduled with the Canola Council of Canada and the Canadian Canola Growers Association. The new duties are scheduled to come into effect Thursday. The canola industry is calling for swift action by Ottawa, warning Beijing is threatening a tariff so steep it would effectively seal off its $5-billion market to Canada. Conservative MP Michelle Rempel Garner told a news conference earlier Wednesday that the tariffs were completely avoidable and require an immediate response from the federal government. As a western Canadian, I cannot stress how devastating this is to our economy and to our agricultural producers, the Alberta MP told reporters on Parliament Hill. Where are the Liberals on this? Why aren't they out here today having a press conference on this? China started an anti-dumping probe of Canadian canola exports nearly a year ago. That investigation was launched in response to Canada's 100 per cent tariff on Chinese electric vehicles. Canada denies that it is dumping canola in China. Dumping is a trade practice which sees exports from one country flood a foreign nation's market with goods at prices lower than their domestic cost, undercutting local industry. Immigration status is one of many factors considered during sentencing: law professor 39 minutes ago Federal Politics National overtime ban in effect as CUPW members are still without a deal Canada welcomed over 55,000 Afghans between August 2021 and November 2024 Aliens weren't responsible for the strange light — we swear More sustainable approach to landscaping gaining popularity amid a very dry summer
Edmonton Journal
13-08-2025
- Business
- Edmonton Journal
'Very stressful': Southern Alberta farmers say China's tariff on Canadian canola seed creates price uncertainty
Article content In a Tuesday statement, Chris Davison, president and CEO of the Canola Council of Canada, said the Chinese market is effectively closed to the Canadian canola industry due to China's preliminary determination of dumping for canola seed, along with the 100-per-cent anti-discrimination tariffs on canola meal and oil already in place. Article content The Chinese market is Canada's second largest for canola and canola products — in 2024, Canada's canola exports to China were valued at $4.9 billion. Article content 'This tariff will have an immediate and substantive impact on farmers' marketing opportunities for the 2025 canola crop,' said Canadian Canola Growers Association president and CEO Rick White. Article content Alberta Agriculture and Irrigation Minister RJ Sigurdson called the decision by China — Alberta's second largest agricultural export market — 'another devastating blow' for the province's agriculture industry. Almost 70 per cent of Alberta's canola seed exports head to China. Article content Article content 'Alberta is once again calling on Ottawa to act swiftly, engage in constructive dialogue with China and restore access to one of our most critical markets before more livelihoods are lost,' Sigurdson said Tuesday. Article content Two federal cabinet ministers said Tuesday that Canada stands 'shoulder to shoulder' in support of Canada's canola producers, workers and exporters. International Trade Minister Maninder Sidhu and Agriculture and Agri-Food Minister Heath MacDonald also denied that Canada dumps canola on the Chinese market.
