Canola has been a bright spot for Canadian producers this year, as reflected in the latest Pool Return Outlooks (PROs) from G3 Canada.
G3 manager of pooling Dave Siminot says projected returns for canola haven't changed dramatically, with only a $6 per tonne increase from last month. But, he says demand has been stronger than expected.
"That's really what drives a strong price — when you get solid demand above expectations and steady demand," he says. "We've seen that on all counts in canola. The crush demand locally in Canada has been stronger than expected. The export demand has been stronger than expected. So even though the crop was bigger than we thought originally, the high levels of demand have kept prices on very stable footing."
Source : PortageOnline