09/27/2013 04:42 EDT | Updated 11/27/2013 05:12 EST

Agriculture Canada spends $3.7 million on research to develop new oilseed types

SASKATOON - The federal government is spending $3.7 million on research to develop new oilseed varieties.

The research will focus on camelina sativa — a type of oilseed plant that can survive with little water and fertilizer on marginal land.

Agriculture Canada says such properties make this type of oilseed plant attractive to farmers as a rotation crop.

The residual meal can also be used to feed livestock.

The project will involve two companies — Linnaeus Plant Sciences and Soy 20/20.

Canadian-grown canola contributed $8.2 billion to the economy in farm cash receipts last year and was the largest agricultural export sector.