Agriculture and Agri-Food Canada has dropped its canola price forecast for the current crop year. This has ramifications for what the canola price will be for the crop insurance program.
Every month, the Market Analysis Group of Agriculture and Agri-Food Canada releases an Outlook for Principal Field Crops.
In the December 19 report, a number of price projections for the current crop year have improved as compared to the November report. Barley is up by $5 a tonne, the chickpea price projection is up by $15, peas are up $20 and lentils are up $35 a tonne as compared to last month’s report. The one crop moving down is canola. The average price for the current crop year is down $45 a tonne as compared to the projection made in November.
Saskatchewan Crop Insurance uses December price estimates from Ag Canada when setting its insured price levels for the upcoming growing season. For 2024, the Sask Crop Insurance price for canola was $15.08 a bushel.
When the 2025 program details are announced in a couple months, expect the insured price for canola to be significantly lower.