Market News & Headlines >> Canadian Crops Lowered

Dry weather this spring and summer appears to have had a bigger impact on Canada’s wheat production than was previously thought as Statistics Canada on Friday pegged production at the low end of trade expectations.

The agency estimated Canadian all-wheat production at 24.63 million metric tons, down 16% from last year and below the average trade estimate of 25.60 million tons.

The smaller Canadian crop combined with a bumper U.S. spring wheat crop may limit U.S. imports from Canada and should also be supportive for U.S. export sales to the Western Hemisphere.

Canola production is also expected to be down from earlier estimates. StatsCan pegged the canola crop at 13.34 million metric tons, down from an earlier estimate of 14.3 million and slightly below the average trade forecast of 13.6 million tons.