Canola futures posted losses on Thursday, as a new Chinese anti-dumping duty officially took effect.
China announced Tuesday it had slapped a provisional anti-dumping duty of nearly 76% on imports of Canadian canola. The announcement sent canola to immediate sharp losses but the market rebounded on Wednesday before falling again today as the levy came into force. Industry officials say the current duty, if left unchanged, will choke off all remaining canola trade between the two countries.
Losses in the Chicago soy complex added to the downside in canola. Palm oil was also weaker but European rapeseed gained.
Today’s Saskatchewan crop report estimated the overall harvest in the province at 2% complete as of Monday, up just 1 point from a week earlier due to rain delays. An estimated 1% of the canola crop was in the bin.
November canola dropped $5.30 to $654.50, and January was down $5.80 at $667.
