ICE canola underpinned by tightening supplies

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was stronger at midday Friday, hitting fresh three-month highs as tightening supplies and the need to ration demand provided support.

Statistics Canada reported canola stocks in the country as of Dec. 31 at 11.382 million tonnes, which compares with 14.087 million at the same time a year ago and marks the tightest level for this time of year since the drought year in 2021.

Weekly Canadian canola exports of 145,800 tonnes were down 29 per cent from the previous week, although year-to-date exports of 5.484 million tonnes were roughly double what moved by the same time in 2023-24.

Gains in Chicago soyoil and Malaysian palm oil provided underlying support, although soybeans and European rapeseed futures were weaker.

An estimated 33,700 canola contracts traded as of 10:11 CST.

Prices in Canadian dollars per metric tonne at 10:11 CST:

Canola            Mar   654.40    up  4.20

May   662.50    up  5.10

Jul   667.00    up  5.00

Nov   645.90    up  2.20