Canadian imports of soyabean oil reached a record volume of 800,000 tonnes in 2025/26, making it the world’s second largest importer of the commodity, according to a US Department of Agriculture (USDA) report.
The increase was mainly due to the start of renewable diesel production in Newfoundland and facilitated by expanding trade with Argentina, the March ‘Oilseeds: World Markets and Trade’ report said.
“Before the Newfoundland renewable diesel refinery began operations, Canada’s soyabean oil imports were relatively limited and sourced primarily from the United States for food use,” the USDA said.
“The shift started in September 2023, when the first shipment of Argentine soyabean oil arrived in Newfoundland to supply a newly converted refinery.”
The low cost and certified low carbon supply chain offered by Argentine soyabean oil made it an attractive option for the Canadian operation, the report said.
Port loading data from Argentina confirming new shipments of soyabean oil were due for delivery to Canada in 2026 suggested continued operations at the renewable diesel facility compared to periods of stalled operations the previous year.
The US blenders tax credit, which expired in December 2024, had made it uneconomical to ship renewable diesel to the USA, historically the destination for most Newfoundland exports, the USDA said.
However, renewed interest from the California fuel market is currently fuelling operations, according to the report.
Meanwhile, the USDA raised its estimate for global oilseeds production in 2025/26 due to higher Argentine and Ukrainian sunflowerseed output, despite lower soyabean production in both countries.
Global oilseeds trade was slightly lower due to higher Argentine sunflowerseed exports not compensating for reduced Ukrainian soyabean production and Kazakhstan sunflowerseed exports.
Worldwide crushing estimates were up due to higher levels of sunflowerseed crushing in Argentina, Ukraine and Kazakhstan.
Global oilseeds stocks increased due to higher Australia rapeseed and Argentina sunflowerseed carryover volumes. Global protein meal trade was also up, mainly due to higher Argentine sunflowerseed meal exports.
Worldwide vegetable oil trade increased due to higher volumes of Argentine and Ukrainian sunflowerseed oil exports.
Vegetable oil stocks were also up mainly due to Russian sunflowerseed oil and European Union (EU) and Democratic Republic of Congo palm oil carryover volumes.
