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Canola Quick Bytes
A supplement to U.S. Canola Digest
Happy New Year!
The U.S. Canola Association wishes you a wonderful 2025 …
Capitol Hill
After a rollercoaster ride in Congress, the year-end package to extend the Continuing Resolution for government funding and farm bill as well as to provide disaster relief and $10 billion in economic assistance for growers was signed into law on Dec. 21. The measure passed in the House 366-34 with the support of 196 Democrats and 170 Republicans and passed in the Senate by a vote of 85-11. The bill requires the U.S. Department of Agriculture (USDA) to make one-time payments for economic assistance “not later than 90 days after enactment” so growers will receive them by the end of March. Assistance will be provided for commodities covered under the Farm Bill Title I, including canola under other oilseeds. The amount for each commodity will be determined by either: 1) cost of production and revenue with a 26 percent payment factor or 2) a “minimum payment” calculation that uses 8 percent of the Reference Price multiplied by yield. For canola, the latter calculation will likely be higher and therefore used. Economic assistance will be subject to payment limits of $125,000 or $250,000 if less or more than 75 percent of the average gross income for the 2020, 2021 and 2022 tax years is derived from farming, ranching or silviculture activities, respectively.
Minnesota Representative Angie Craig (photo courtesy of Craig.house.gov) was elected to serve as the top Democrat on the House Agriculture Committee, where she will lead her party on farm policy during the next Congress. She defeated California Rep. Jim Costa and takes over from Georgia Rep. David Scott, who dropped out. On the Republican majority side, Rep. Glenn “GT” Thompson will remain chair and five-term Rep. David Newhouse of Washington will join the committee along with GOP Reps.-Elect Tony Wied (WI), Rob Bresnahan (PA), Mark Harris (NC), Mark Messmer (IN) and David Taylor (OH).
H-2A wage rates are slated to rise 4.47 percent nationally to an average of $17.74 per hour, according to the U.S. Department of Labor. These Adverse Effect Wage Rates (AEWR) for the employment of temporary or seasonal non-immigrant foreign workers vary per state. For the primary canola-growing states, the rates will range from $16.83/hour in Idaho and Montana to $19.21/hour in North Dakota. However, litigation over program rules has resulted in an injunction of AEWR enforcement in several states, including Idaho, Kansas, Montana, North Dakota, Oklahoma, Tennessee, Texas and Virginia. The effective date of the new rates in these states was Dec. 30.
The U.S. Fish and Wildlife Service (FWS) has proposed that the monarch butterfly be classified with a critical habitat under the Endangered Species Act. This habitat would be made up of seven counties in California. A 90-day comment period from the date of publication in the Federal Register will request information on several factors, including whether an exemption from the use of pesticides should be included in the final ruling. Pesticides were cited as contributing to the loss of monarch butterflies largely due to harming milkweed, the primary food source for the species. The FWS has requested comments on how to approach pesticide use under the 4(d) rule, asking which pesticides and/or application methods result in an adverse effect and which mitigation measures should be considered. Similarly, the FWS is proposing critical habitats for the endangered Rusty Patched Bumblebee, including 33 counties across Illinois, Iowa, Minnesota, Virginia, West Virginia and Wisconsin. The FWS will accept comments on this proposal until Jan. 27.
On Dec. 3, the USDA Economic Research Service released a report entitled “The Farm Sector Income & Finances: Highlights from the Farm Income Forecast.” Net farm income is forecast at $140.7 billion in 2024, a decrease of $9.5 billion (6.3 percent) relative to 2023 after adjusting for inflation. Despite this expected decline, net farm income in 2024 would be 15.9 percent above its 20-year average (2004–23) of $121.4 billion. Net cash farm income is forecast at $158.8 billion in 2024.
On Dec. 19, USDA’s Animal Plant Health Inspection Service issued updates resulting from a Dec. 2 ruling by the U.S. District Court that overturned a previous rule on genetically modified organisms. The court struck down a 2020 rule that exempted some genetic modifications from regulation and allowed developers to decide whether their products qualify. Non-profit and public interest groups inspired this action. Any regulatory status review and confirmation request responses as well as active permits issued prior to Dec. 2 will remain valid.
Agronomy
The Northern Canola Growers Association (NCGA) held its 18th annual Canola Research Conference in Dec. Progress reports were given on projects funded by the NCGA and topics addressed production practices, pest and disease management, the use of canola meal in animal feed, improving winter survival and freezing tolerance, optimizing fertilizer use and herbicide resistance. The meeting also explored potential new varieties and management strategies to enhance canola production and livestock nutrition. Recordings of presentations are available at NorthernCanola.com and NCGA Executive Director Barry Coleman tells more on the Red River Farm Network.
Nutrition
Canola oil is eligible for a “healthy” product label per the U.S. Food and Drug Administration, which issued a final rule on Dec. 27 in the Federal Register on this implied nutrient content claim. It aims to make the definition for “healthy” consistent with current nutrition science and federal dietary guidance, especially the Dietary Guidelines for Americans. This updated definition will curb misuse of the term and promote legitimately healthy food choices among consumers. Vegetable oils containing less than 20% saturated fat are able to carry this label. This final rule is effective as of Feb. 28, 2025 and all companies must be in compliance as of Feb. 25, 2028.
On Dec. 10, the 2025 Dietary Guidelines Advisory Committee (DGAC) – 20 nationally recognized nutrition and public health experts appointed by the U.S. Department of Health and Human Services (HHS) and USDA – issued its scientific report for public comment. Once finalized, it will used by the HHS and USDA to develop the Dietary Guidelines for Americans 2025-30, which will be issued this year. Among several items pertaining to canola oil, the report notes that saturated fat is a nutrient of public health concern due to overconsumption and vitamins E and K are underconsumed by many Americans. Canola oil can help address these issues as a good source of these vitamins and unsaturated fat.
The U.S. Canola Association will submit comments on the DGAC’s report, highlighting the composition and health benefits of canola oil and requesting that it be listed as a good source of unsaturated fat and vitamins E and K. More information is on the USCA Blog.
Oprah Daily debunked myths about seed oils with the help of nutrition experts Walter Willett, M.D., of Harvard University and Christopher Gardner, Ph.D., of Stanford University. “Seed oils are inherently much healthier than animal fats, which have a much higher saturated fat content,” says Willett and the benefits predominantly come from polyunsaturated fat in these oils. Case in point, a recent study in the Journal of the American Medical Association Internal Medicine tracking more than 400,000 people over a 24-year period showed that replacing just 5 percent of dietary animal fat with plant fat was associated with a 4 to 24 percent lowered overall risk of mortality. “Omega-6 fatty acids do not increase inflammation,” Willett notes. “There’s a huge amount of literature with randomized trials looking at intakes of omega-6s and inflammatory factors in the blood, and about half the studies show no effect, while the other half actually show benefits or a reduction in inflammatory factors.” The reason seed oil intake in America has gone up is due to junk food, notes Gardner, and those foods have a negative impact, not seed oils themselves.
Chef Bobby Flay cooks with canola oil “98 percent of the time,” according to TheTakeout.com. “It has a higher smoke point than olive oil and, because it’s so neutral, it’s not going to change the flavor of what I’m making,” he says. Canola oil’s smoke point (468 °F) makes it ideal for grilling and searing. It is also cost-effective, particularly if used in large quantities.
Other Country News
As Donald Trump’s inauguration approaches, Canada’s agriculture industry is anxiously awaiting the potential impact of threatened tariffs on its exports, notes The Canadian Press. The United States is Canada’s largest market for canola, with $8.6 billion in exports in 2023, primarily as oil. In response to the uncertainty, Canada’s canola sector is mitigating potential trade disruptions by expanding domestic processing capacity and diversifying exports, particularly in the Indo-Pacific region, where feed industries are growing. “But … when you’re talking about high-value markets of the size of the United States, for example, those kinds of markets don’t grow on trees,” says Chris Davison, president and CEO of the Canola Council of Canada.
Canada is also being threatened with anti-dumping duties by China, its top market for canola seed, reports The Western Producer. China is conducting an anti-dumping investigation that could result in tariffs. As a result, many Chinese buyers of Canadian canola are hesitant to finalize new contracts per Reuters. This adds pressure to the already troubled canola trade between Canada and China, which is valued at about $2 billion annually.
The 2025 Canadian Crops Convention, hosted by the Canola Council of Canada and Canada Grains Council, will be March 4-6 at the JW Marriott in Edmonton, Alberta.
Latest from Industry
Nutriterra® Total Omega-3 from Nuseed received Health Canada approval as an ingredient in dietary supplements and a license from the Natural and Non-prescription Health Products Directorate, allowing the product to be marketed and sold with the following six health claims:
- Supports heart health and cardiovascular function
- Supports normal brain function
- Source of docosahexaenoic acid (DHA) for maintaining good health
- Source of alpha-linolenic acid (ALA) for maintaining good health
- Source of an essential fatty acid for the maintenance of good health
- Source of omega-3 fatty acids for the maintenance of good health
A study published in Frontiers in Nutrition in 2022 showed that 2,000 mg/day of Nutriterra significantly improves indicators of omega-3 status, which support cardiovascular and brain health. One hectare of Nuseed Omega-3 canola produces as much DHA as 10,000 kg wild-caught fish. (Photo courtesy of Nuseed.)
Parkland’s Burnaby refinery announced that Air Canada purchased a 100,000-liter batch of its low-carbon aviation fuel made from non-food grade canola and tallow. This biofuel will be blended into 10 million liters of standard fuel. Low-carbon jet fuel can reduce carbon emissions by up to 80 percent. However, the market is in its infancy, with only 600 million liters produced globally in 2023, accounting for just 0.2 percent of total aviation fuel.
The Pacific Northwest Canola Association will hold its annual meeting on Jan. 28 and canola workshop Jan. 29. Registration for the latter will open soon via PNWcanola.org.
About the USCA
The spring 2025 board and membership meeting will be in Washington, D.C., Mon.-Wed., March 17-19, followed by a joint reception on Capitol Hill with the National Oilseed Processors Association and American Soybean Association the evening of March 19.
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