Canaryseed stalemate

Reopening the Mexican market for Canadian canaryseed is taking a lot longer than most observers expected. The problem is Mexico’s list of quarantine weed seeds which includes wild buckwheat and stinkweed. Canada and Mexico have been unable to come to terms on how to minimize these weed seeds in canaryseed shipments. Mexico is our largest customer for canaryseed and shipments have been disrupted since late June. The Board of the Canadian Special Crops Association has now declared Force Majeure on canaryseed exports destined for Mexico. This trade rule clause basically says that unusual events have precluded the execution of contracts. The Canadian Special Crops Association says it has worked with the Canadian Food Inspection Agency, canaryseed exporters, Mexican importers and the Canadian government in an attempt to resolve the issue. The backlog of canaryseed shipments at the border has been addressed, but it’s not clear how future shipments will be handled. Most market analysts believe canaryseed prices will strengthen when exports to Mexico resume. Unfortunately, a deal to bring about the resumption of trade remains elusive. I’m Kevin Hursh.

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