July 2 (Bloomberg) -- Rapeseed yields in Russia and Ukraine are coming in “steeply above” last year’s level, pressuring prices for the oilseed in the Black Sea region and the European Union, Oil World said.
The harvest is progressing seven to 10 days earlier than last year, when crops were reduced by dry weather, the Hamburg-based researcher said today in an e-mailed report. As of June 27, Ukrainian farmers had collected about 165,000 metric tons of rapeseed, while farmers in Russia had harvested 74,000 tons, according to the report.
Harvesting was “facilitated by warm and dry weather conditions of late,” Oil World said. “The yields obtained so far were steeply above the year-earlier levels, exerting notable pressure on the rapeseed prices.”
Rapeseed prices fell yesterday to the lowest since October 2010 on NYSE Liffe in Paris, with the most-active contract down 13 percent this year.
Canada’s production of canola, a variety of rapeseed, may be 14.5 million to 15 million tons, up from 13.9 million tons a year earlier, as yields increase, Oil World said. The country is the world’s biggest exporter of the oilseed. Soybean output in the North American country may be a record 5.3 million to 5.4 million tons, according to the report.
Oilseed crops are mostly “in good and partly excellent condition with ratings well above average in most of the Canadian Prairies,” Oil World said. “This is true despite the late arrival of spring conditions and delayed plantings.”
The EU, the world’s biggest rapeseed producer and consumer, may reduce imports by 300,000 tons in the 2012-13 season to 3.2 million tons, Oil World said. Soybean imports during the year, which ends Sept. 30 for the crop, may be at least 13.5 million tons, the highest in five years.
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