Posts Tagged ‘Canola’

'World's biggest factory' seeks Alberta's investment in its future

Fertile Ground

Author: Alberta Venture

Rising global demand for biofuels and plastics made from canola and other crops is sowing the seeds for a new variety of Alberta agri-business

by Mary MacArthur

As part of a promotional campaign by an American corn association, Calgary-based agricultural reporter Barbara Duckworth received a white plastic travel mug made from corn. It was lightweight, didn’t make her coffee taste funny and looked good.

But when she took it out of the dishwasher after using it the first time, it had curled and twisted and sagged into something from a Salvador Dali painting.
“Clearly it was not dishwasher safe,” says Duckworth, who has since repurposed the cup as a grandchild’s toy.

There are plenty of ideas, enthusiasm and research backing the pursuit of bio-based plastic and fuel from agricultural products like corn, canola, hemp and straw. Though the ambition is being challenged by those who question the ethics of diverting food sources away from the problem of world hunger, it’s still proving an innovative and even trendy way to reduce the world’s dependence on fossil fuels. And to farmers here in Alberta, that means access to a rapidly growing market that could mean higher prices for crops.

Just as this past season has demonstrated, farming is not an easy occupation. Apart from the localized effect weather can have on a farmer’s profits, a bumper crop of palm oil in Asia, for example, can push the price of canola, its Canadian competitor, below the break-even point. With that kind of uncertainty, the idea of growing crops that can feed the world’s growing appetite for plastic or fuel is an enticing concept.

But just as the melting of that cup suggests, the technology associated with the market for emerging bioproducts remains in its infancy. It will be years before dishwasher-safe mugs made of corn will replace those of plastic from petroleum. But that isn’t to say that, when demand rises to the point of generating reliable profit, Alberta will be left behind. Creating fuel and other non-food products from corn, canola, wheat, straw, flax and hemp is set to play an important role in the future of local agriculture, says Ward Toma, general manager of the Alberta Canola Producers Commission.

“There’s a lot of research and a lot of potential,” he says. The province isn’t just waiting for the new market to develop to the point of improving the agriculture industry. It’s leading its own efforts at diversification – creating, not awaiting demand. According to Toma, that’s where the benefit for Alberta’s farmers lies, mitigating a little of the uncertainty inherent in the current job description.

Nonetheless, the movement isn’t without its local skeptics. Northern Alberta farmer Charles Turcotte, of Donnelly, says he has followed the growing interest in turning crops into fuel, plastics and fibre for manufacturing, but is concerned about how much crop could be diverted from traditional markets.

“I believe agriculture is always going to be about food,” he says. “It’s the first and best use for agricultural products.”

Where Turcotte sees a benefit to agriculture from the emerging bio-industries is in limiting the volatility of commodity grain prices. Instead of biofuels and bioplastics increasing the price of canola from $10 to $20 a bushel, he sees the new technology stopping prices from sliding down to $5 a bushel. With 2,500 acres seeded to canola this year on his farm, keeping the bottom price at $10 a bushel instead of $5 would mean a potential difference of $500,000 just on his canola crop.

“That’s where bioplastics and biofuels and alternate uses for agricultural products will really help, to stabilize our commodity markets.”

David Bressler, a researcher at the University of Alberta’s department of agriculture, food and nutritional studies, says the bio-markets don’t have to be as black and white as Turcotte’s perspective might suggest. They needn’t be designated for one use or another. It won’t take all the barley, wheat or canola away from food, nor will traditional petrochemical products always be the main source of energy or plastic. “It’s more likely going to be various shades of grey,” says Bressler.