SASKATOON—The Canadian canola industry is on track to expand markets to reach its 2015 goal of 15 million metric tonnes of production, thanks in part to funding from Agriculture and Agri-Food Canada’s AgriMarketing Program. At a canola promotion event in Saskatoon today, Agriculture Minister Gerry Ritz announced more than $1.5 million for the Canola Council of Canada’s (CCC’s) “Growing Great 2015” strategy to increase international demand for canola products. Canola growers and the industry will provide $1.5 million in matching funding.
“Over the next five years, the canola industry intends to increase sales of canola seed, oil and meal,” said CCC President JoAnne Buth. “With Canada’s innovative farmers, efficient supply chain and the generous support of our government, we are confident of meeting our 2015 goal.”
Focusing on the five key markets below, the CCC will aim for its production target by:
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Increasing canola oil sales to the United States and boosting the value of canola meal focusing on U.S. dairy cattle feed.
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Raising awareness of the benefits of canola oil and meal in Mexico.
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Creating demand for canola oil in India.
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Gaining acceptance of canola juncea in Japan.
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Promoting the value of canola oil and meal in China.
Returns on investment from CCC market development work to date are already evident: Every $1 invested in U.S. market development has resulted in $1,000 of additional canola oil sales to the U.S., the number one customer of Canadian canola oil. In 2009 alone, Americans increased their consumption of canola oil by 12 percent. The vast majority (85 percent) of Canadian canola products are exported.
“Beyond boosting sales of canola products,” Buth noted, “the industry will strive to enhance product value and quality, improve market access, increase sustainable production of canola to meet demand and improve public understanding of the canola industry and CCC.”
Canola is one of Canada's most valuable crops, contributing about $14 billion to the economy and $5 billion in cash receipts to Canadian producers annually. Canada has 15 canola processing plants and roughly 50,000 canola growers.
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