Global Rapeseed Stocks to See Sharp Decline – IGC
Despite the first fall in world rapeseed consumption in nine years and adverse weather damaging the Canadian crop, the International Grains Council (IGC) has stated that global rapeseed stocks are set to fall by 26%. In its first full forecast for next season, the IGC states that world inventories will ‘tighten significantly’, falling to 4.1 million tons in the 2015/2016 season, due to global output contracting on reduced yields across all major producing countries, and smaller sown acreage.
Global output is estimated to be 67.8 million tons – down 600,000 tons from a previous estimate, and 3.6 million tons year on year.
Rapeseed consumption in the EU and China, the world top two consumers, is forecast to be down by 500,000 tons year on year to 24.8 million tons in the EU and 18.7 million tons in China, while global rapeseed use is expected to fall for the first time in nine years to 69.2 million tons on tight supplies.
On the production side, the EU, the world’s top producer, is expected to see a harvest of 21.9 million tons – a decline of 2.2 million tons year on year. While Canada, the world’s top exporting country, is expected by the IGC to see a decline in output of 700,000 tons, resulting in a harvest of 14.9 million tons after an unexpectedly low sowing by farmers.