Canada, China deal off,,,

[boarderbloke]

By Rod Nickel

WINNIPEG, Manitoba (Reuters) - Talks between Canadian and Chinese officials ended in Beijing without China backing down from plans to toughen its inspection standard for canola, threatening C$2 billion ($1.54 billion) in Canadian exports of the oilseed ahead of a visit by Canada's prime minister.

Discussions will continue between the two governments, and resolving the issue is a priority for Ottawa, Guy Gallant, spokesman for Canadian Agriculture Minister Lawrence MacAulay, said on Friday.

Canadian Prime Minister Justin Trudeau is expected to visit China before September Group of 20 meetings there. Trudeau, elected last year, pledged to expand trade with China, although relations between the countries have been testy at times.

China's quarantine authority AQSIQ told Ottawa in February that it would impose a stricter inspection standard for canola shipments starting April 1, over concerns about the crop disease blackleg. It later postponed the move to Sept. 1.

Canada is the world's biggest exporter of canola, used mainly to produce vegetable oil.

Exporters including Richardson International, Viterra Inc [VILC.UL] and Cargill Ltd [CARGIL.UL] stand to lose sales to Canada's biggest canola export market, and the dispute may also hurt China's push for a free trade deal with Canada.

"China and Canada have been seeking to find a solution to this issue through consultations," said Yang Yundong, spokesman for the Chinese Embassy in Canada, referring other questions to the Canadian government.

[boarderbloke]

Trump's right, China is a dirty trade partner.

[sk_wheatking]

Trump's right, China is a dirty trade partner.

Clinton will win the election and history will prove trump to be right about alot more than China.

[sumdumguy]

They are tough customers but someone deals with them because they buy a lot of commodities.

[grassfarmer]

Clinton will win the election and history will prove trump to be right about alot more than China.

Yeah, but the alternative is a risk the world can't afford to take.

[tubs]

the problem eludes me most canola we bring in to the elevator is about 1.5% dockage we pay for cleaning and then they want to ship it with 2.5 % dockage what gives. the chinees want 1% dockage whats the problem

[ajl]

China is too broke to buy canola so needs it too be a lot cheaper. Predicted this was going to happen a long time ago. Yeah Trump is right on China.

[MBgrower]

Dont the vancouver port terminals have cleaners? What the hell is the big deal? 50 under basis can pay for a lot of cleaning???

[farmaholic]

I feel I am a little too far from the Crushers in NE Sask to haul there. But there is the odd guy around here who does (mostly specialty canola). And there is "talk" of how low the dockage is assessed at the Crushers.....so you're right, what gives at the Inland and Port Terminals? Who here hauls direct to Crushers and how much is your dockage compared to the terminals? But then why would you haul to terminals unless you net.out better. I assume sometimes prices at terminals can beat the Crushers.

"Tookage" taken from the sellers and "givage" given to the buyers.....sounds like the best of both worlds. Making money handling, spreading, taking AND giving!

[farmaholic]

.....and the uncomfortable truth at the moment, for we as Producers, is we appear to be paying for the result of someone else's action, again...

And people have the nerve to wonder why Grain Producers appear to be a disgruntled bunch.

If China got what we delivered (in most cases) would we be facing this excuse for extra pressure on the canola market.

Bucket...where's your tinfoil? Is this a legitimate concern for China or is it a result of export practices. Either way...we feel it.

[BreadWinner]

Seems like a the grain companies better get there cleaners tuned up if they want to stay in the game. We deliver most of our canola with less than 2% dockage. It would not take much more than a scalping to pull out 1%. They are not worried about small canola just pods and stocks. Seems like our customer has a standard and we should be jumping to maintain that market. Some other country will be glad to fill our share if we do not. We have allot more to loose than China.

[farming101]

Commercially clean. What a joke. It is commercially clean when the farmer sells it and then the grain companies make a mess of it. Who is this costing again?

A 2 billion dollar customer..hard to believe. Thank you Mr. grain company.

[farmaholic]

Careful 101!, You will get listed and delisted if you keep sending out them negative waves.....

[farming101]

Routinely receive dockage results of 1-2% at crusher. Elevator bids have to be significantly higher to get our canola business.

[Quadtrack]

Been hauling to crushers for years-either Lloyd or Clavet. Rare to have dockage over 2% and have had less than 1%. Terminals are not competive and I honestly don't know how they buy any canola.
Obviously this is add-back done by the grain cos, and the canola council president saying 1% can't be done...it's almost that off the combine! Tell the grain cos to do the cleaning we pay for, ship our customer clean canola and it's all good. Canola council runs on farmer money-it's about time they acted like it.