Apr 19/06: Canada Lifts Duty on U.S. Corn
While U.S. corn is clearly subsidized and is being dumped into Canada by being sold below the cost of production, the Canadian government says it is not causing injury to the Canadian industry and therefore the U.S. $1.65 per bushel counter-vailing duty imposed last December 15 is not justified.
Naturally, the Canadian Corn Producers (CCP) say they are disappointed. "Given the preliminary CITT injury finding, and CBSA's two subsidy and dumping findings, today's CITT decision that no injury was found obviously is disappointing", said Brian Doidge, spokesperson for the CCP.
"We do not agree with that finding and are considering all our options. Canadian corn farmers are being pushed out of business by unfair and illegal U.S. subsidies. We will not give up as our future and the future of the Canadian grain and oilseed sector is at stake."
Naturally, the Canadian Corn Producers (CCP) say they are disappointed. "Given the preliminary CITT injury finding, and CBSA's two subsidy and dumping findings, today's CITT decision that no injury was found obviously is disappointing", said Brian Doidge, spokesperson for the CCP.
"We do not agree with that finding and are considering all our options. Canadian corn farmers are being pushed out of business by unfair and illegal U.S. subsidies. We will not give up as our future and the future of the Canadian grain and oilseed sector is at stake."
Apr 13/06: Ethanol Not Driving Up Gas Prices
The Energy Information Administration (EIA) agreed with the Renewable Fuels Association (RFA) this week that anticipated major price hikes for gasoline this summer cannot be blamed on the use of ethanol as a fuel additive in gasoline.
EIA Administrator Guy Caruso predicted gasoline prices will average 25 cents a gallon higher this summer than last summer and 19 cents of that will be due to higher oil prices from oil companies raising prices due to high demand. Ethanol replacing MTBE as a fuel additive will account for only a few pennies per gallon of the expected increase, according to EIA.
EIA Administrator Guy Caruso predicted gasoline prices will average 25 cents a gallon higher this summer than last summer and 19 cents of that will be due to higher oil prices from oil companies raising prices due to high demand. Ethanol replacing MTBE as a fuel additive will account for only a few pennies per gallon of the expected increase, according to EIA.
Apr 07/06: Brazilian Crop Update
Several Brazilian soybean production forecast have been issued recently. The most recent was Brazil’s Institute of Geography and Statistics (IBGE) at 55.9 million-tonne forecast published April 6. This was down 1.4 million tonnes from its early March forecast. On April 4, the Ministry of Agriculture’s supply agency (CONAB) forecast Brazilian soybean production at 55.7 million tonnes, which was 1.5 million tonnes below its late March forecast. Dry weather in pockets of Parana, Bahia and Mato Grosso do Sul, coupled with Asian soybean rust in Mato Grosso and elsewhere led to the lower crop estimates.
Apr 07/06: China Commits to Buy U.S. Soybeans
The U.S. Soybean Export Council and the Illinois Soybean Association hosted a special delegation of Chinese soybean processors at the Chicago Board of Trade last week. During the visit the Chinese delegation signed a letter of intent with U.S. soybean exporters at the Chicago Board of Trade April 6 to demonstrates the commitment of the Chinese industry to continue purchasing U.S. soybeans.
Leading the delegation of 13 Chinese companies is Cao Xumin, President China Chamber of Commerce for Import/Export of Foodstuffs, Native Produce and Animal By-Products. Others on hand for the agreement-signing will be Illinois Lieutenant Governor Pat Quinn; Curt Raasch, United Soybean Board president; Rick Ostile, first vice president of American Soybean Association; and Phil Laney, American Soybean Association, country director-China.
Leading the delegation of 13 Chinese companies is Cao Xumin, President China Chamber of Commerce for Import/Export of Foodstuffs, Native Produce and Animal By-Products. Others on hand for the agreement-signing will be Illinois Lieutenant Governor Pat Quinn; Curt Raasch, United Soybean Board president; Rick Ostile, first vice president of American Soybean Association; and Phil Laney, American Soybean Association, country director-China.
Mar 28/06: Ag Canada Sees More Grains, Less Oilseeds
Agriculture Canada expects Canadian exports of grains and oilseeds to increase 18% in 2005-06 to 27.9 million metric tons (MT).
However, grains and oilseeds carry-out stocks are forecast to increase by 10% to a record 18.0 million MT, largely due to burdensome stocks of durum and canola.
Prices are expected to decline from 2004-05 for wheat and oilseeds, increase for oats, and be similar for barley and corn.
However, grains and oilseeds carry-out stocks are forecast to increase by 10% to a record 18.0 million MT, largely due to burdensome stocks of durum and canola.
Prices are expected to decline from 2004-05 for wheat and oilseeds, increase for oats, and be similar for barley and corn.
Agriculture Canada expects Canadian exports, domestic use and carry-out stocks of pulse and special crops to increase across the 2005-06 season due to higher supply.
Average prices, over all types, grades and markets are forecast to increase for chickpeas and buckwheat, but decrease for dry peas, lentils, dry beans, mustard seed, canary seed and sunflower seed.
Average prices, over all types, grades and markets are forecast to increase for chickpeas and buckwheat, but decrease for dry peas, lentils, dry beans, mustard seed, canary seed and sunflower seed.
Mar 09/06: Manitoba Won't Tax BioDiesel
The Manitoba government has eliminated all provincial taxes on Manitoba-produced pure biodiesel in an effort to spur development of this alternative energy sector.
Effective immediately the province will cease to collect both the road tax and provincial sales tax on pure biodiesel that meets the American Society for Testing and Materials (ASTM) fuel-quality standard. The incentive will remain in place for five years to give the industry time to grow.
Effective immediately the province will cease to collect both the road tax and provincial sales tax on pure biodiesel that meets the American Society for Testing and Materials (ASTM) fuel-quality standard. The incentive will remain in place for five years to give the industry time to grow.
Mar 07/06: WCE Dual Market Ready
The Winnipeg Commodity Exchange (WCE) is ready for the possibility the new Conservative government will be able to overcome opposition from the NDP and possibly the Liberals to create a dual market for export wheat and barley in Canada.
In case the Canadian Wheat Board is stripped of exclusive export authority, it has approved "in principle" three new futures and options contracts to be listed when changes occur to the marketing system for wheat and barley in Canada.
"The new Federal Conservative Government has promised to move toward the implementation of a dual marketing system in Canada for the export of Canadian wheat and barley. WCE will have risk management products in place when the changes occur", said Lorne DeJaeger, Chairman.
The new contracts for spring and durum wheat and the revised contract for barley are modeled on the WCE flagship canola contract, with all three contracts having corresponding options contracts.
"The major features of the contracts have been designed and the details will be finalized in the next few weeks", said Will Hill, Sr. Vice President of the Exchange.
In case the Canadian Wheat Board is stripped of exclusive export authority, it has approved "in principle" three new futures and options contracts to be listed when changes occur to the marketing system for wheat and barley in Canada.
"The new Federal Conservative Government has promised to move toward the implementation of a dual marketing system in Canada for the export of Canadian wheat and barley. WCE will have risk management products in place when the changes occur", said Lorne DeJaeger, Chairman.
The new contracts for spring and durum wheat and the revised contract for barley are modeled on the WCE flagship canola contract, with all three contracts having corresponding options contracts.
"The major features of the contracts have been designed and the details will be finalized in the next few weeks", said Will Hill, Sr. Vice President of the Exchange.
Mar 03/06: Europe Approcves Imports of Herculex Corn
The European Commission today authorized the placing on the market of genetically modified maize line 1507 for use as food and food ingredients. The authorization means that this maize type will now be allowed to be marketed in the EU as food, food ingredients or derived products, such as oil and starch. The approval allows corn with the Herculex I Insect Protection trait to be exported to Europe.
In line with EU labelling and traceability rules, any product containing it will have to clearly indicate its genetically modified nature. The Commission's decision follows the inability of Council on 20 December 2005 to either approve or reject the application for the authorisation of this GMO on the basis of the favourable opinion delivered by the European Food Safety Authority (EFSA) on 3 March 2005.
Genetically modified maize (Zea mays L.) line 1507 has been designed to resist to the European corn borer (Ostrinia nubilalis, a beetle which can cause severe damage to maize crops) and certain other pests ("lepidopteran" pests), and with tolerance to the herbicide glufosinate-ammonium, thus improving weed management and crop production.
This is the first authorization given under Regulation 1829/2003 on GM Food and Feed. This new legislation introduces key new elements such as improved labelling rules, a method of detection and unique identifier codes for the authorised GMOs.
In line with EU labelling and traceability rules, any product containing it will have to clearly indicate its genetically modified nature. The Commission's decision follows the inability of Council on 20 December 2005 to either approve or reject the application for the authorisation of this GMO on the basis of the favourable opinion delivered by the European Food Safety Authority (EFSA) on 3 March 2005.
Genetically modified maize (Zea mays L.) line 1507 has been designed to resist to the European corn borer (Ostrinia nubilalis, a beetle which can cause severe damage to maize crops) and certain other pests ("lepidopteran" pests), and with tolerance to the herbicide glufosinate-ammonium, thus improving weed management and crop production.
This is the first authorization given under Regulation 1829/2003 on GM Food and Feed. This new legislation introduces key new elements such as improved labelling rules, a method of detection and unique identifier codes for the authorised GMOs.
Mar 01/06: No U.S. Duty on Canadian Wheat
There are no longer any import duties on Canadian wheat imports by the United States. An order was issued February 24 by U.S. Customs headquarters in Washington, D.C. notified all American ports of entry that imports of Canadian hard red spring wheat are no longer subject to any duties.
The notification means that Canada Western Red Spring wheat can enter the U.S. without any requirement for a cash deposit or bond.
Removal of the tariffs resulted from a NAFTA appeal of the American tariff, which was imposed after the North Dakota Wheat Commission launched an anti-dumping, countervailing duty suit against Canadian wheat in 2002.
The NAFTA panel ruled that there was "no substantive evidence" to support the claims that led to the 14.2% tariff, which effectively halted Canadian exports to the United States.
The notification means that Canada Western Red Spring wheat can enter the U.S. without any requirement for a cash deposit or bond.
Removal of the tariffs resulted from a NAFTA appeal of the American tariff, which was imposed after the North Dakota Wheat Commission launched an anti-dumping, countervailing duty suit against Canadian wheat in 2002.
The NAFTA panel ruled that there was "no substantive evidence" to support the claims that led to the 14.2% tariff, which effectively halted Canadian exports to the United States.
