Canola farmers are growing concerned as the harvest season ramps up, with tariffs from China threatening to significantly impact the price of canola.
The escalating trade dispute, which began with Canada’s 100 per cent tariff on Chinese Electric Vehicle imports last August, resulted in 75.8 per cent retaliatory tariffs on Canadian canola seed, in addition to a 100 per cent tariff on canola oil and meal imposed in March.
This trade war is causing concern among producers, who fear there could be a drastic drop in prices for their crops.
Jon Strem, a farmer in the Briercrest area, is taking a wait-and-see approach when it comes to canola prices.
“We have to kind of play it by ear and see. The prices haven’t changed a whole lot, I don’t think, since where they were in the summer, but it could be quite bad for us,” he said.
How the tariffs affect individuals could vary, says another Briercrest-area farmer, Brian Whitfield. He believes the impact will largely depend on the size of the crop
“I think the bigger crop size is more of a downside than if we do get a big crop with the tariffs. They’re going to buy canola one way or another,” he said.
With millions of dollars on the line, farmers and agricultural groups have been calling on the federal government to find a quick end to the dispute.
Recently, Saskatchewan Premier Scott Moe said he will be travelling to China next month to lobby for Saskatchewan canola producers.