Canola farmers and business leaders in northeast B.C. are welcoming the expected relief from easing Chinese tariffs, but say the industry still faces uncertainty going into this year’s growing season.
“A deal doesn’t mean a sale,” said Les Willms, who grows between 1,300 and 1,500 acres of canola each year at his family farm in Rose Prairie, north of Fort St. John, B.C.
Like many farmers in the Peace region, Willms is watching closely to see whether a new deal announced last week between Canada and China leads to renewed demand and a rally in prices in the coming weeks.
Under the deal, China is expected to lower tariffs on some Canadian canola products by March 1. In exchange, Canada will allow up to 49,000 Chinese-made electric vehicles in the country at reduced tariffs.
It follows months of uncertainty after China imposed retaliatory tariffs last year in response to Canada’s decision to slap 100 per cent duties on Chinese EVs.
“Hopefully we'll get some cargos going into Asia,” Willms said. “But time will tell.”
Nearly all of B.C.’s canola is grown in the Peace region, making up about one-third of local crop production. About 300 producers plant up to 110,000 acres per year.
Last year, more than 1.2 million bushels of canola moved through the grain elevator in Fort St. John, putting about $17 million back into the local economy.
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