You may have noticed prices of commodities going up recently. Gasoline and lumber come to mind, and you can add canola to that list.
It’s the Bitcoin of the agriculture industry – canola. Before last weekend, its price reached record highs before slowly coming down. But, what caused the surge? Ward Toma, who is the General Manager of the Alberta Canola Producers Commission says it’s a classic supply & demand scenario.
And while China’s embargo on Canadian canola has affected our farmers, the demand for our rapeseed didn’t suffer too terribly. Canada continues to export to China, as well as find new markets in Europe through its application in the production of biofuel.
Last year, biofuel consumed almost 28 per cent of global total canola oil production.