Last week, the USDA released its grain report which provided an insight into the 2019-20 EU oilseed rape crop.

The report states that the area planted to oilseed rape for 2019-20 across the EU is down by nearly 18% when compared with 2018-19. This equates to a reduction of 435,000ha to nearly 5.8m ha.

The USDA’s figures are somewhat lower than the most recent European Commission forecast and the lowest area since 2006-07.

Romania

According to the AHDB, Romania is an area of particular concern this year and it is reported that that almost 50% of the area planted with the crop has now been replanted with another crop.

Many other EU crops also got off to a poor start as a result of last year's prolonged drought.

A potential for reduced average yields, as well as a significant reduction in area, could result in an overall drop in production of oilseed rape.

UK crop

The AHDB released the first of its crop condition reports last week. It stated that the condition of the UK oilseed rape crop varies greatly depending on the impact of cabbage stem flea beetle (CSFB) and pigeon damage.

Around 17% of the crop area is rated as poor or very poor, 25% as fair and 45% of the crop was scored as good.

Over winter, in the region of 5% to 8% of crops were lost due to a combination of poor establishment, CSFB damage and pigeon grazing.

France

Meanwhile, French farmers have destroyed some 18,000ha of oilseed rape crops following the discovery of a non-authorised genetically modified organism in seeds.

Reuters reports that farmers in France and Germany were destroying thousands of hectares of oilseed rape crops after traces of a GMO variety grown in Canada were detected in batches of seed sold in Europe.

Ukraine crop

If domestic EU demand remains steady or increases from current levels, imports of oilseed rape might need to increase in order to fill the gap.

However, the oilseed rape cropping area in the Ukraine is forecast to expand by 29% in 2019-20, which has the potential to fulfil some of the shortfall in EU supplies.

Markets have so far failed to rally on the back of the news of EU oilseed difficulties.

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