Trade War Leaves Canadian Canola Farmers Buried in Unsold Seed

Canadian canola farmers are facing mounting pressure as the ongoing trade dispute with China continues to choke off one of their most important export markets. With Beijing imposing tariffs of nearly 76% on Canadian canola seed, producers across the Prairies are left with overflowing storage bins and dwindling options to sell their crop.

The surplus is staggering. According to the Canadian Grain Commission, on-farm seed reserves are expected to surpass 19 million tonnes — the equivalent of more than 70 fully loaded container ships. For many of the 40,000 growers in Saskatchewan, Manitoba, and Alberta, the glut has driven prices to some of their lowest levels in years, making it difficult to cover mortgages, input costs, and operating loans.

Industry leaders warn that without renewed access to China — once Canada’s largest canola buyer — or rapid diversification into new markets, the financial strain could force some farmers out of business. Saskatchewan’s government has already begun exploring opportunities in Southeast Asia, but analysts caution that building new trade relationships takes time.

For now, farmers are caught in the middle of a geopolitical standoff, storing their harvest in the hope that Ottawa and Beijing can resolve their differences before the bins — and their patience — run out.