Feds, canola council say Chinese ban remains in place

Contrary to earlier reports, the Government of Canada and the Canola Council of Canada said Tuesday that exports of the oilseed to China are still banned.

Earlier Tuesday, media reports suggested China had lifted the year-old restriction on Canadian canola. But in an emailed statement to 980 CJME, federal Agriculture Minister Marie-Claude Bibeau confirmed the ban remains in place — and with limits on the content of the restricted shipments.

“Following a call between technical officials, we were advised that as of April 1, China will permit the continued trade in canola seed, with shipments needing to contain less than one per cent of non-canola material,” Bibeau said in the statement.

“Canada has been shipping about 30 per cent of normal canola seed exports to China since March 2019, and we are still in discussion on a path forward to restore trade with the delisted companies. Regaining full market access for Canadian canola seed remains our priority, and we continue to engage Chinese officials.”

The canola council also said the ban — which was instituted March 1, 2019 — is still in effect.

“Canola shipments to China remain blocked as the licences of two large exporters, Richardson and Viterra, to export canola seed to China remain suspended,” the council said in a statement on its website.

“Canadian and Chinese government officials had a call to discuss the trade in canola seed on March 30. China has informed Canada that the current trade in canola seed can continue.”

On March 1 of last year, China suspended the export permit of Richardson International Ltd., blocking the Winnipeg-based company from sending canola shipments to Chinese markets.

That move — which was followed by bans against all Canadian canola exporters, including Viterra — was seen as part of the diplomatic battle between the countries that also featured Canada’s arrest of a Huawei executive on behalf of the United States.

In 2018, Canada exported $2.7 billion worth of canola to China, accounting for approximately 40 per cent of all Canadian canola exports.