Canada woes send Paris rapeseed to 19-month high

Rapeseed rose nearly 3% to E334.00 a tonne for August delivery, a contract high, and the best price for a near-term lot for 19 months. The better-traded November lot notched up similar records by touching E338.75 a tonne. The rises reflected the impact of Canada's sodden spring - which the Canadian Wheat Board estimates will leave up to 12.5m acres of cropland in the west of the country unsown on hopes for production of canola, the rapeseed variant. Furthermore, the harvest in Ukraine, a key exporter to the European Union, has been dented by winterkill. "There are problems in Canada, there are problems in Ukraine, and prices of these are higher once you have got them into the EU," David Sheppard at UK grain merchant Gleadell said. "Therefore, our market probably has to go up a bit." Crushers' needs At Macquarie Securities, the investment bank, commodities analyst Alex Bos said that the rise in Paris rapeseed prices was "definitely a spillover from Canada's canola situation", which looked...
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