AreaCanada
Commodity GroupOilseeds, oils and meals
CommodityRapeseed
Date01/04/2020
Policy CategoryTrade
Policy InstrumentBilateral, sector-specific trade negotiations
DescriptionWhile bilateral talks with China - aimed at restoring full access for Canadian rapeseed to China - continued, Chinas import licences for Canadas two largest rapeseed exporters remained suspended. Meanwhile, and despite the expiry of a phytosanitary agreement regulating shipments of Canadian rapeseed to China, imports of rapeseed from other Canadian exporters would continue to be accepted, provided they respected a reduced dockage limit of 1 percent of foreign material.
NotesCHINA / CANADA rapeseed trade: The two countries allowed a phytosanitary agreement regulating the shipment of Canadian rapeseed to China to expire on 31 March (see also MPPU Nov.16). Notwithstanding, China would continue to accept imports of Canadian rapeseed, provided that a reduced dockage limit of 1% of foreign material is respected a requirement allegedly linked to concerns about the transmission of blackleg disease through dockage. Since the required dockage limit is lower than the 2.5% standard set out Canadas Grain Commission, processing costs for Canadian rapeseed shippers are expected to rise. At the same time, Chinas import licenses for Canadas two largest rapeseed suppliers would remain suspended (see MPPU May19), according to trade officials. Market observers expect bilateral talks aimed at restoring full access for all Canadian exporters to continue in line with Chinese efforts to diversify its oilseed imports amid the ongoing COVID-19 pandemic.
