Canola groups, GGC welcoming announcement on canola tariffs

Harpe says the tariffs on canola meal are down to zero, but still at 100 per cent for canola oil. Harpe says the removal of the tariff on meal is “really, really good news” as China buys a lot of canola meal.

The tariff on peas is also back down to zero.

Harpe says even with the tariffs, there has been “quite a bit of movement” of canola in the Peace.

“A lot of farmers still need cash flow over the wintertime. It gets back to, after harvest, there were bills to pay, and we’ve already started booking fertilizer and some other crop inputs, which means that needs to be paid (for) too.”

Harpe adds the cost of those Chinese tariffs across Canada is estimated at $2 billion.

“I know in September, we were estimating that it was costing farmers $1.25 a bushel because of the tariffs, so (it’s) pretty huge.”

Harpe says canola markets did jump after the announcement.

Harpe thinks trade “should get back to the way it was” before the tariffs were put in place.

He adds his organizations will keep talking to the government, not just about tariffs, but also about using more canola in Canada.

“We don’t want to see this happen again. This is twice in six years. We should learn our lesson pretty soon.”

Grain Growers of Canada says in a news release that it “welcomes renewed engagement between Canada and China,” adding that “any progress that lowers barriers for Canadian agricultural products, including canola and pulses, is a positive step for farmers who depend on stable, rules-based trade.”

The organization also says that what it calls “renewed engagement” has to “be grounded in predictability and follow-through.”

The full statement from the GGC appears below:

“Grain Growers of Canada welcomes renewed engagement between Canada and China, including Prime Minister Mark Carney’s visit to Beijing and today’s announcement of preliminary steps to de-escalate recent trade tensions.

For Canada’s grain farmers, restoring predictability and access to key export markets matters. China is Canada’s second-largest grain market, and prolonged trade disruptions have had real consequences on farm revenues, cash flow, and confidence. Any progress that lowers barriers for Canadian agricultural products, including canola and pulses, is a positive step for farmers who depend on stable, rules-based trade.

Grain Growers of Canada has consistently called for pragmatic engagement with both the United States and China to protect tariff-free access and prevent farmers from becoming collateral damage in broader geopolitical disputes. Over 70 percent of the grain grown in Canada is exported, and there are simply no alternatives that can replace markets of this scale.

At the same time, renewed engagement must be grounded in predictability and follow-through. Canadian farmers need assurance that market access will be durable, transparent, and insulated as much as possible from future political escalation. Ongoing issues around trade enforcement, regulatory certainty, and the treatment of Canadian exports will require continued, steady government attention.

As discussions continue following this week’s announcements, Grain Growers of Canada urges the federal government to keep agriculture front and centre, work closely with producers and exporters, and ensure that progress translates into reliable market access at the farm gate.

Canadian grain farmers are ready to supply global markets. What they need from government is consistency, certainty, and a clear commitment to keeping trade working.”

by Curtis Galbraith