MarketsFarm — Rapeseed production in the European Union (EU) is expected to see a small decrease in the 2023-24 marketing year, according to the U.S. Department of Agriculture’s (USDA) European Union attaché in Vienna.
In a Global Agricultural Information Network (GAIN) report released Wednesday, the EU’s 2023-24 rapeseed crop is expected to total 19.3 million tonnes, a 0.8 per cent decline from the previous year. Yields are expected to be lower in many countries, but especially in France which has been dealing with drought conditions. This year’s harvest will be adversely affected in case of either a cool spring or dry, hot conditions in Western Europe.
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Despite lower production, the seeded area for rapeseed last fall increased by two per cent to 5.98 million hectares, largely due to additional acres in Romania, Germany and the Czech Republic. Higher prices made rapeseed a more attractive crop to grow, according to the report, but newly implemented bans on neonicotinoids in Hungary and Bulgaria caused rapeseed area to decrease.
The rapeseed crush for 2023-24 is estimated to be 23.5 million tonnes, 600,000 lower than the previous year due to competition from soybeans and sunflower seed. Exports will increase by 25,000 tonnes to 550,000 despite uncertainty over the availability of supplies from Ukraine. Ending stocks for 2023-24 are projected to be 1.308 million tonnes, 100,000 more than in 2022-23.
The report also showed EU soybean production to increase by 300,000 tonnes to 2.8 million, a record high, with harvested area up by 100,000 hectares to 1.2 million in 2023-24. The crush is set to expand by 400,000 tonnes to 15.5 million. Ending stocks will be 20,000 tonnes higher at 521,000. Soybean production in the EU has grown over the past few years due to higher market prices as well as higher prices and limited access to fertilizer.
Sunflower seed production in the EU will jump by 1.2 million tonnes to 10.5 million in 2023-24, despite only a 20,000 hectare increase in harvested area to 5.2 million. The crop is expected to recover from drought conditions last summer, while seeded area will increase due to high market prices, less need for fertilizer and high crush demand. The crush is expected to grow by 150,000 tonnes to 10 million, while exports increase by 100,000 to 600,000. Ending stocks will decline by 15,000 tonnes to 612,000.
