Australian Oilseeds Federation said it expected an average or above-average area of canola to be sown in the coming weeks. AOF executive officer Nick Goddard said while world soybean prices were low, the canola price had held up well.
“There is strong demand for Australian canola in Europe,” he said.
“It is still the number one market for us and farmers have retained a fair bit of canola seed from last harvest to sow this year.”
The AOF executive said last season¬’s canola production would go close to breaking the record set in 2012-13 of 4.2 million tonnes.
“The planted area last year was lower than the previous season and floods in New South Wales destroyed some crops but the AOF expected production to be between 4-4.2 million tonnes,” Goddard said.
The Grain Industry Association of Western Australia said in its April crop that canola plantings could rise by about 20% in some regions of that state this year, depending on rainfall.
Large areas of the WA grain belt have received 120mm to 200mm from January to March, according to the Bureau¬ of Meteorology. Most of the grain growing regions north and east of Perth also have exceptional subsoil moisture.
GIWA is forecasting WA canola plantings to be 5.1% higher this season than last year.