Canada

Supply/Demand Basics

  • #9 export market destination for U.S. corn, importing 1.6 MMT in MY2017/18, a nearly one million ton increase from previous year.
  • #8 export destination market for U.S. DDGS, importing 654 TMT in MY2017/18; a small decrease over the previous year.
  • #2 export destination import market for U.S. ethanol, importing 352 million gallons in MY2017/18. A slight increase from the previous year.

Country Overview

  • Population / growth: 35.6 million / 0.73 %
  • Urban % / growth: 82.2% / 1.16%
  • GDP / growth: $1.764 trillion / 3%
  • GDP per capita: $48,100
  • Canada resembles the U.S. in its market-oriented economic system, pattern of production, and high living standards.
  • Ranks 3rd in world in oil reserves and the 6th largest oil producer.

Trade and Market Share issues

  • Canada is a top market for U.S. ethanol, corn and DDGS.
  • NAFTA was a successful agreement, playing a critical role in the development of a value chain between U.S. producers of grains and co-products.
  • In 2018, the U.S., Canada and Mexico reached an agreement in the renegotiation of NAFTA called United States-Mexico-Canada Agreement (USMCA).

Policy Issues

  • The new USMCA claims to benefit American farmers, ranchers, and agribusinesses by modernizing and strengthening food and agriculture trade in North America.
  • Canada is the largest foreign supplier of energy to the U.S., including oil, gas, uranium, and electric power.
  • In 2017 Environment and Climate Change Canada announced new federal Regulatory Framework on the Clean Fuel Standard to reduce its GHG emissions through increased use of lower carbon fuels and technologies.
  • Ontario proposed to increase ethanol blend mandate from 5 to 10 percent. Changes proposed to take effect in 2020.