Winnipeg/Commodity News Service Canada – ‘A lack of significant farmer selling’ has been a common talking point from analysts whenever they’ve had to account for some unexplained strength in the canola market in recent weeks. However, that line may need to be retired, as the official data tells a different story.
According to Canadian Grain Commission (CGC) numbers released today, farmer deliveries of canola into the commercial pipeline totalled 673,400 tonnes during the week of September 21 to 27, 2015.
That’s the largest deliveries in a single week going back at least until 2007 (when our CNS Canada office began compiling the CGC numbers in an excel table). For comparison purposes, weekly canola deliveries only topped 600,000 tonnes on one other occasion in the past nine years (2014/15, week 7, 619,800 tonnes).
Typical canola deliveries into the commercial pipeline are in the 200,000 to 400,000 tonne range, with average weekly movement during the entire 2014/15 grain marketing year coming in at about 320,000 tonnes.