Chinese state-run trading firm COFCO has booked a cargo of about 50,000 metric tons of new-crop Australian canola.
That's just days after Beijing imposed temporary levies on top supplier Canada.
The purchase would mark China’s first imports from Australia since 2020 when Australia, the world’s second-largest canola exporter, was locked out of the Chinese market, largely due to phytosanitary restrictions aimed at preventing the spread of fungal plant disease.
COFCO has purchased the cargo for November-December shipment and is negotiating for more deals, according to the two sources with direct knowledge of the deal.
The sources says the purchase price is below $600 per ton, including freight.
Reuters reported in July that Canberra was close to reaching an agreement with Beijing to allow Australian suppliers to ship five trial canola cargoes to China.
