I was struck by some news stories earlier in June that the Canadian export sector needs to improve the infrastructure on the West Coast to improve the “slow” export pace of the past few years.
Certainly, as a nation, we will need to invest in export capacity in our west coast ports and the rail infrastructure to support larger export programs.
The fact that has been overlooked is that grain, oilseed and pulse exports from Canada are currently at a record pace.
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According to the Canadian Grain Commission, weekly exports to June 1 are up by 7.5 million tonnes from last year. The exports during the past week were 1.06 million tonnes, which pushed the total exports to 43.95 million tonnes for the crop year to date.
The largest rise in year-on-year exports to June 1 was in canola.
Canola exports are 3.2 million tonnes ahead of last year at this time with the crop year total to date at 8.5 million tonnes.
With eight weeks left in the marketing year, canola exports have already exceeded market expectations for the 2024-25 crop year. Deliveries into the primary elevator system remained good during the seeding period, which has allowed canola exports to continue at a strong pace.
Canola exports this crop year are likely to end up near 10 million tonnes, which should help support prices until the new crop harvest arrives.
Durum exports have seen the second largest increase when compared to last year.
Year-to-date durum exports have reached 4.9 million tonnes, which is up by 1.87 million tonnes from last year. This is the second fastest durum export pace in the past five years.
The durum export pace is only 464,000 tonnes lower than the record pace set in the 2020-21 crop year.
Without much fanfare, durum exports have been very strong in the second half of the marketing year.
Wheat exports continue at a record pace with exports to date this crop year at 18.4 million tonnes. This is 404,000 tonnes ahead of last year’s pace.
Wheat exports have remained strong through the crop year and are expected to continue through the next two months. The combination of strong wheat and durum exports means that the total wheat exports this year are also proceeding at a record pace.
Barley and pea exports have been slightly below last year’s pace this year.
Barley exports are down by 105,800 tonnes, while peas are slightly less than 100,000 tonnes below the 2022-23 crop year.
Barley exports are 1.76 million tonnes so far this year, while pea exports totalled 1.7 million tonnes. Pea exports certainly have been affected by the Chinese tariffs, but the overall impact this crop year has been minimal.
The theme in most markets this year has been one of slow or poor demand for Canadian crops. The announcement of the Chinese tariffs and U.S. tariff threats have amplified this narrative in the past six months.
Since the beginning of the calendar year, Canadian exports have just chugged along with nobody paying much attention. This sentiment has masked the fact that demand is strong for Canadian exports.
The good news is that there is no reason not to expect continued strength for Canadian exports into the 2025-26 marketing year.
