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Cooking-Oil Binge Has World’s Biggest Canola Reserves Plunging

  • Stockpiles in Canada dwindled to a four-year low in July
  • Falling stocks signal oilseed prices may remain elevated
Views At A Supermarket Ahead Of UN Monthly Food Price Index Data

Photographer: Daniel Acker/Bloomberg

Stockpiles of canola in the world’s biggest producer plunged as a drought in Canada combines with global surge in demand for cooking oil made from the seed.

Inventories of the oilseed tumbled by 49% to 1.8 million metric tons on July 31, the lowest level since 2017, Statistics Canada data showed Wednesday. More restaurants are opening up even as the Covid-19 pandemic drags on, using up vegetable oil. China is also purchasing more of the seed, with exports rising about a third from the prior year.