Saskatchewan producers welcome Canada-China deal easing canola tariffs

Canada and China reached a trade agreement that will cut Chinese tariffs on Canadian canola seed to about 15% from roughly 84% by March 1, and Saskatchewan producers said the move provides greater predictability for planting and sales.

Canada announced a trade agreement with China that lowers several tariffs on Canadian agricultural products and follows reciprocal duties imposed in recent years. Beijing will reduce tariffs on Canadian canola seed to a combined rate near 15 per cent from roughly 84 per cent by March 1. The agreement also covers canola meal, lobsters, crabs and peas, which Canada expects will no longer face Chinese "anti-discrimination" tariffs from March through at least the end of the year. The trade measures come after Canada imposed duties on Chinese electric vehicles and metals and after China imposed levies on canola oil, peas, pork and seafood last year. Key details: - Canola seed tariffs will be lowered to approximately 15% from about 84% by March 1. - Canola meal, lobsters, crabs and peas are expected to be exempt from certain Chinese "anti-discrimination" tariffs from March through at least the end of the year. - Canola oil remains subject to a 100% tariff in China, and Canadian pork was not included and faces a 25% duty. - Saskatchewan producers and industry groups said the deal gives predictability for planting decisions and raises confidence among growers. - Premier Scott Moe attended the talks and described them as positive and collaborative. Summary: The agreement is expected to restore some market access and provide farmers with greater predictability for planting and sales. It does not address canola oil or pork tariffs, and producers say they will continue to monitor the deal and work toward further tariff relief. Undetermined at this time.