overview of canada’s oilseed processing sector · china 23%, thailand 1% and mexico 1% 0.0000...
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Overview of Canada’s Oilseed Processing Sector
October 2018
Hamilton
Altona
Nipawin
Fort Saskatchewan Lloydminster
Windsor
Camrose
YorktonLethbridge
Becancour
Clavet
Canadian Oilseed Processors Association
● ADM (2)● BUNGE (5)● CARGILL (2)● LDC● RICHARDSON (2)● VITERRA (2)
There are 14 crush facilities owned by 6 companies in Canada; the western plants crush canola and the eastern plants crush canola and soybeans
Harrowby
St. Agathe
COPA is a federally incorporated non-profit industry association that represents the oilseed processors in Canada.
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Our Value Chain
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Size and Growth of the Oilseed Processing Industry
• Over the 10 year period 2008 to 2017, canola production grew by nearly 70% and soybean production more than doubled
• Canola crushings rose by 119%, while soybean crushings rose by 38%• In 2017, 43% of Canada’s canola crop and 23% of soybeans were processed
domestically
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Canola Soybeans Canola Soybeans
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Canola & Soybeans Production & Crush
Crop production Crush
Domestic Canola Oil Consumption & Exports
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In 2017, 23% or 940 thousand tonnes of canola oil were used domestically and 77% or 3.1 million tonnes were exported; US accounted for 63% of total exports, China 22%, South Korea 4%, Chile 3%, and Malaysia and Mexico 2% each
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United States China South Korea Chile Mexico Malaysia Hong Kong Other Domestic use
Domestic Canola Meal Consumption & Exports
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In 2017, 11% or 559 thousand tonnes of canola meal were used domestically and 89% or 4.6 million tonnes were exported; US accounted for 75% of total exports, China 23%, Thailand 1% and Mexico 1%
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United States China Thailand Mexico Vietnam Ireland Other Domestic use
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Domestic Soybean Oil Consumption & Exports
In 2017, 58% or 198 thousand tonnes of soy oil were used domestically and 42% or 143 thousand tonnes were exported; US accounted for 94% of total exports, and South Korea 4%
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United States South Korea Other Domestic use
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Domestic Soybean Meal Consumption & Exports
In 2017, 85% or 1.4 million tonnes of soy meal were used domestically and 15% or 206 thousand tonnes were exported; US accounted for 79% of total exports, Ireland 16%, and UK 4%
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United States Ireland United Kingdom Denmark Other Domestic use
• It is estimated that processing canola and soybeans in Canada is now responsible for $7.8 billion in economic activity every year, a threefold increase from a decade ago.
• About 10,000 Canadian jobs are directly and indirectly attributed to the crushing, refining, and delivery of canola meal and oil.
• Consistent with the significant growth of oilseed production in recent years, the processing sector has invested substantially to increase Canadian processing capacity.
• Over the last decade, approximately $2 billion have been invested in plant construction; crush capacity has more than doubled, reaching a new high of 10.7 million tonnes for canola and 3.2 million tonnes for soybeans in 2016.
Value-added of the Industry
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Growth and Strategic Plan
Since 2005 crush capacity and crush volumes have nearly tripled.
This is indicative of the industry’s commitment to add value in Canada.
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Canola Crush & Crush Capacities: Historical and Forecast
Canola Crush Capacity Crush Projected Capacity Projected Crush
Canada’s Canola Processing IndustryThe Future
“Keep it Coming”Target
2006
Target
2013
Actual
2017
Projected
2025*
Production 9.1 18.0 21.3 26.0
Seed Exported 5.2 8.5 11.6 12.0
Processing (domestic crush) 3.7 7.5 9.2 14.0
Canola Oil Production 1.55 3.3 4.0 6.3
Canola Meal Production 2.15 4.2 5.1 7.7
Values expressed in million tonnes
*Canola Strategic Plan 2025 – Canola Council of Canada
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Canada’s Soybean Processing IndustryThe Future
Actual
2007
Actual
2017
Projected
2027*
Production 2.69 7.72 13.0
Seed Exported 1.88 4.66 10.5
Processing (domestic crush) 1.46 1.83 2.5
Soybean Oil 0.27 0.34 0.5
Soybean Meal 1.14 1.41 1.9
Values expressed in million tonnes
*Source: Soy Canada
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