Feed millers in Vietnam are taking advantage of bargain prices with rare purchases of Canadian canola meal after China, its traditional buyer, curbed imports by imposing hefty anti-dumping duties earlier this year.
Vietnamese millers have been importing around 30,000 metric tons a month of Canadian canola meal, used mainly in animal feed, for the past few months.
The purchases show how trade frictions are disrupting global flows of goods.
Vietnam typically imports soymeal, not canola meal, for animal feed, but the drop in price since China imposed duties on Canadian shipments has made canola meal far more attractive.
Vietnamese feed makers were paying $220 USD per metric ton, including cost and freight, for Canadian canola, compared to around $300-$310 per ton paid by Chinese buyers before the duties were imposed in March.
