A National Farmers Union (NFU) webinar May 22 argued that overall net returns for farmers are shrinking or remaining inert.

“We conclude that Canadian farmers have not been able to pass on increasing input costs, nor have they seen any benefit from increased retail grocery prices,” said James Hannay, NFU policy analyst.

“We also argue that food price inflation and chronically low farm gate prices for farmers have a common cause: massive corporate power shifting costs to consumers and producers while extracting greater amounts of value and money from them.”

Hannay displayed a graph measuring inflation-adjusted gross farm revenue and net farm income based on Statistics Canada data ranging from 1935 to 2025.

Since 2005, farmers’ net income has remained more or less constant, with the exception of a crash around the time of the COVID-19 pandemic response. It’s projected to be less than $10 billion in 2025, said Hannay.

Meanwhile, gross farm revenue has had a precipitous climb in the last 20 years, from about $50 billion in 2005 to a projected growth of almost $100 billion in 2025.

“This shows that the margins Canadian farmers face are razor-thin,” he said. “Part of this has to do with the low prices that farmers receive, but is also due to rising input costs.”

Hannay highlighted the sources from which the NFU derived its data.

“All of our data has been gathered from Statistics Canada, historical reporting from Agriculture Canada, trade reports (and) original price reporting from places like grain and corn elevators. Our data is always presented in real Canadian dollars adjusted for inflation, with base year 2012.”

Comparing production systems

He further compared a handful of supply-managed ag sectors, such as dairy, to market-priced sectors such as grain. Supply management won in terms of producer price or price consistency.

The National Farmers Union is a noted advocate of supply management.

Another graph demonstrated the price Ontario and Quebec dairy producers receive for one litre of milk versus the retail price of that milk. Little substantial change in the producer’s price has occurred since 1995. However, being a supply-managed product, that was by design.

“Cost of production pricing ensures that farm gate prices for supply managed products cover costs for farmers, ensuring stable prices and adequate compensation for farmer labour,” Hannay said.

With bread, the gap between farm gate and retail prices has widened in recent years, with consumer costs rising and the farmer’s share staying more or less static, the union said.

Since 1965, analysts have used the general rule that a bushel of wheat equals 45 loaves of bread. In 2025, those 45 loaves are expected to retail for about $150, compared to an expected net price of less than $10 per bushel for farmers.

Bread has been the centre point of a major price fixing scandal. Major Canadian grocers and Canada Bread were found to have inflated bread prices for years between the late 2000’s and early 2010’s. The case has resulted in multimillion-dollar fines and lawsuits.

Hannay acknowledged the bread fixing scandle, but said bread “is not an outlier in the disparity between farm gate and consumer prices.”

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In his work with the NFUO,Thompson coordinated the International Projects committee and conducted farmer interviews for policy research.

Thompson’s experience is primarily academic, with degrees from the University of Victoria, Queen’s and the University of Ottawa, covering Canadian history and social and political thought. His work has focused on the history of labour and activism.

Thompson will inherit the role from previous Executive Director Mara Shaw, who has served in the role since January of 2020.

In a March 31 news release, NFU President Jen Pfenning called Thompson “the kind of deeply knowledgeable leader who brings everyone along while staying firmly committed to the mission and values of the NFU.”

“We look forward to working with Dave to continue to advance the issues that NFU farmer and farm worker members democratically determine.”

Thompson will officially begin the role April 7.

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“The NFU wants to see farmers thrive in Canada. Enhancing farmers’ opportunities to build skills for their long-term success benefits us all,” NFU president Jennifer Pfenning said in a news release in late August.

THE EXCHANGE is a national program that aims to “maximize the long-term success of equity-deserving farmers in Canadian agriculture, the NFU said. It will support two cohorts of 20 farmers and farm workers to access training, grants, mentorship and networking.

The federal government pledged $287,487 over two years to fund the program.

“Agriculture is a vital part of our economy and we need folks from all walks of life to be part of it,” said federal Agriculture Minister Lawrence MacAulay in the news release. “This program will help the participants develop and grow the skills they need to succeed as the next generation of producers.”

Applications close on September 27. Visit the NFU’s website for more information.

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Those gains were partially offset by increasing emissions from diesel fuel, nitrogen fertilizer and land-use changes.

In a report released this week, the National Farmers Union (NFU) quantified agricultural emissions from New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador.

The research compiles many data sources, including national inventory reports (NIRs), and Environment and Climate Change Canada data.

Without accounting for carbon sequestration or desequestration, the report estimates that emissions from agriculture fell to 1.5 million tonnes in 2021 from 1.8 million tonnes in 1990–a 17 per cent reduction.

The largest source of emissions continues to be cattle. Enteric methane from beef and dairy cattle, along with manure management, accounted for 0.52 million tonnes of carbon dioxide equivalent in 2021. This total has steadily decreased since 1990 as the cattle numbers declined. Efficiency gains have also decreased emissions, the report noted.

The NFU added that it’s difficult to draw a boundary line between emission that are and are not from livestock, as significant emissions come from production of feed grains.

Emissions from farm fuels decreased slightly to 0.21 million tonnes of carbon dioxide equivalent in 2021 from 0.29 million tonnes in 1990. This includes diesel and gasoline use, fuel oil, natural gas, propane, and emissions from fossil-fuel-fired electricity generation.

Between 1990 and 2021, the composition of fuel use changed significantly. Fuel oil accounted for about three-quarters of farm fuel emissions in 1990. In 2021, they made up under a third of emissions. Meanwhile, emissions from diesel fuel went from about a quarter of fuel emissions to about two-thirds.

Emissions from nitrogen fertilizer, including fertilizer production, also increased by almost 60 per cent in from 1990 to 2021.

The report also examined carbon sequestration since 1990. This included changes in woody biomass (e.g. removal of trees, shelterbelts), land conversion to cropland, crop residue carbon input, and others.

It concluded that each year since 1990, Atlantic agricultural soils have experienced a net loss of soil carbon. Desequestration seems to be increasing, the NFU noted, with the most significant factor being conversion of land–mainly forest–to cropland. Smaller areas of perennial crops are also behind the change.

Meanwhile, manure application has been the most steady source of carbon addition to soils, the report said. As livestock numbers waned, so did sequestration from manure.

The NFU acknowledged that work needs to be done to reduce uncertainty in emissions numbers. However, it said there is enough data to move forward of agriculture emissions reduction.

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Chorney’s term was extended to April 30, 2024, a CGC spokesperson said in an email.  

“This extension will provide the Government of Canada the time to complete the open, transparent, and merit-based selection process that was launched earlier in 2023 to fill the position,” the spokesperson said.  

Chorney, who farms near East Selkirk, Manitoba, was appointed to the role at the end of December, 2020, for a three-year term. At the time he’d been acting chief since June 2020 as the former chief commissioner had retired. 

Chorney was appointed assistant chief commissioner in February of 2017. 

In a statement today, the National Farmers Union (NFU) called on Chorney to “steadfastly uphold the CGC’s mandate,” which is to “in the interests of the grain producers, establish and maintain standards of quality for Canadian grain and regulate grain handling in Canada, to ensure a dependable commodity for domestic and export markets.” 

“The CGC’s effective use of its regulatory authority and mandate is the solid foundation upon which the Canadian grain sector’s enviable reputation and excellent trade position has been built,” the NFU added. 

—Geralyn Wichers is associate digital editor of AGCanada.com. She writes from southeastern Manitoba.

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The demonstration was organized by the NFU Youth Caucus and Farm Workers’ Working Group. The goal was to demand protection of food sovereignty and help farmers, especially young ones, gain more access to farmland.

Why it matters: Investor ownership represents a major barrier for Canadians to enter a shrinking agriculture industry.

NFU Youth president Jessie MacInnis said young farmers in particular have been feeling the strain of a lack of access to affordable farmland.

“As young people, this is a really critical issue,” MacInnis said. “There are already so many barriers for young people to get into agriculture, and the fact that land prices have risen so much due to the speculative nature of farmland now… that’s a barrier that’s hard for all of us to overcome.”

The demonstration was part of the NFU’s “Lobby Day” ahead of its annual convention, running Nov. 23-25 in Ottawa.

“We’re here today, as one of our lobby asks, to ask the federal government to have discussions with provincial lawmakers to talk about ways that we can actually ban all farmland investment,” she said.

“Essentially, we just want to keep the farmland in the hands of farmers and keep it accessible for young people.”

Ontario farmer Rav Singh said she has had trouble finding land since she began farming two years ago.

“I cannot afford to buy my own land because, again, land prices are increasing.

“We are the next generation of farmers and we are facing a lot of land speculation, the cost of land is rising, which means it is harder for us to start our farms and operate and have job security,” Singh said.

“It’s really important for me to support causes like this, because I would like to continue growing food for as long as I can.”

Singh did not come from a farming background, and lived in the city her whole life before she began farming.

“Up until recently, a lot of people who were farmers were intergenerational farmers. But now, it’s a new wave of people coming in.”

Singh said she thought the wave of young people getting into farming was a way of taking action to build a better future amid concerns about climate change.

Regional board member and Fraser Valley, B.C. organic vegetable farmer Ari Westhaver
said the Agricultural Land Reserve, a provincial designation in B.C. which designates agriculture as the primary use of 4.6 million hectares of land has not done enough to prevent the loss of farmland.

“It’s not preventing investors from buying up farmland,” Westhaver said. “So, while physically it protects farmland from being lost, it does not prevent loss of farmland from farmers into the hands of investors.

“The reason I’m here today as a young farmer is that we’re currently in the midst of a transition crisis, we’re seeing a generational shift where 40 per cent of farmers in … Canada are planning to retire in the next few years, but nobody has a transition plan,” he said.

“The only plan that they have, as deeply indebted farmers is to sell their land for a profit, and the reason they’re able to do so is farmland has been kind of divorced from its productive value, and it’s now something people speculate on.”

The NFU published an open letter ahead of the demonstration outlining its concerns.

“Farmers have the right to determine how their food is produced and need equitable access to productive resources,” the letter read. “Young farmers are up for the challenge. But land speculators and multinational investors are snatching up Canada’s farmland, and with it, our future.”

— Jonah Grignon reports for Glacier FarmMedia from Ottawa.

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On Friday morning, the Canadian Grain Commission repealed upcoming grading changes in response to complaints from producer groups.

In a news release, the CGC simply stated it was repealing the alignment of primary and export tolerances for test weight and total foreign materials for Canada Western Red Spring, Canada Western Hard White Spring, Canada Western Extra Strong, Canada Western Soft White Spring and Canada Northern Hard Red.

It also repealed the alignment of total foreign material tolerances for Canada Western Amber Durum.

The changes were to take effect on August 1.

On Thursday, traditional sparring partners the Wheat Growers Association (WGA) and National Farmers’ Union (NFU) issued a joint statement decrying the announced changes. They joined Sask Wheat and the Agricultural Producers Association of Saskatchewan (APAS), who issued a statement on July 17 calling for a halt to the grading changes, calling them “ill-considered and finalized hastily” as well as alleging it was done without proper producer consultation.

Historically there have been primary and export standards for wheat, and the primary standard was applied at country elevators where farmers deliver their grain.

Under current rules, wheat must weigh a minimum of 60.1 pounds a bushel, or it will be downgraded to no. 2 wheat. Under the proposed changes, which were to come into force August 1, they’d need to weigh at least 63.3 pounds per bushel to avoid downgrading.

This would take money from farmers’ pockets, the groups said.

The CGC announced the changes early June following discussions within the Western Standards Committee. In a June 8 letter to wheat industry stakeholders, CGC Chief Commissioner Doug Chorney said committee members were welcome to present additional information and analysis by Feb. 1, 2024. .

However, in the NFU’s July 28 statement, Glenn Tait, NFU member and CGC Western Standards Committee member alleged that the CGC had “acted against the opposition of virtually all of the farmer members on the Standards Committee—seeming to align with grain companies against farmers.”

The Western Grain Elevator Association (WGEA), which  lobbied for standard harmonization according to CGC records, told the Manitoba Co-operator the grading change would mean farmers were fairly compensated for the quality of grain they grew.

–Geralyn Wichers reports for the Glacier Farmmedia network from Steinbach, Man.

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The floods inundated stretches of the two farm states along the Missouri River, the longest in waterway in North America. Nearly half of Iowa’s counties have been declared disaster areas.

The floods followed a powerful winter hurricane that slammed into the U.S. Farm Belt last week, killing untold numbers of livestock, destroying grains and soybeans in storage, and cutting off access to farms due to road and rail damage.

“It’s really too early to know for sure how bad this is going to get. But one thing we do know: It’s catastrophic for farmers,” said Matt Perdue, government relations director for the U.S. National Farmers Union trade group.

Rescuers could be seen in boats pulling pets from flooded homes. Some roadways crumbled to rubble, while sections of others were submerged. In Hamburg, Iowa, floodwaters covered buildings.

Nebraska officials estimate more than $1 billion in flood damage for the state’s agricultural sector so far, according to Craig Head, vice-president of issue management at the Nebraska Farm Bureau (all figures US$). But Head said the number is expected to grow as floodwaters recede.

“We’re hoping it’s only $1 billion, but that’s only a hope,” Perdue said.

Nebraska officials estimate the floods have caused an estimated $553 million in damage to public infrastructure and other assets, as well as $89 million in privately owned assets, according to the state’s Emergency Management Agency on Tuesday.

The water also covered about a third of Offutt Air Force Base near Omaha, home to the U.S. Strategic Command, whose responsibilities include defending against and responding to nuclear attacks.

In Niobrara, Neb., south of the Missouri River near the border with South Dakota, Mayor Jody Stark said flooding that began on Thursday had devastated his community of 350 people, with businesses being the hardest hit.

“Our road system is shot pretty much in every direction coming into town,” Stark said.

“It’s one day at a time. We will do what we can to get back on our feet,” Stark said. “It’s just so heartbreaking. It’s going to be tough, but hopefully we can all get through it.”

Southwest Iowa Renewable Energy, which runs a 450-million-litre a year ethanol production plant at Council Bluffs on the Iowa-Nebraska border, had to cut production because some corn farmers who supply the plant have determined some of their crops are unusable, said company CEO Mike Jerke.

About 74 Nebraska cities had declared states of emergency by Monday evening, according to the Nebraska Emergency Management Agency. More than 600 residents were evacuated and taken to American Red Cross-operated shelters.

U.S. Vice-President Mike Pence was scheduled to survey the damage with Nebraska Governor Pete Ricketts and Iowa Governor Kim Reynolds.

“Heading to Nebraska today to survey the devastating flood damage. To the people of Nebraska, Iowa, South Dakota, Kansas + all regions impacted: we are with you,!” Pence said in a post on Twitter early Tuesday.

The floodwaters were the result of snowmelt following heavy rains last week and warm weather, said Bob Oravec, a meteorologist with the National Weather Service’s Weather Prediction Center.

The weather service’s website shows some locales along the Missouri River in Nebraska, Kansas and Missouri are expected to continue to see waters rise for several more days.

The four reported deaths included one person in Iowa who was rescued from floodwaters but later succumbed to injuries, the Fremont County Sheriff’s Office said in a news release.

Roads leading to the Nebraska Public Power District’s Cooper nuclear plant near Brownville were engulfed by floodwaters from the Missouri, but the facility was still operating safely at full power on Tuesday morning.

The plant operator was flying staff members and supplies to the plant with helicopters, said power district spokesman Mark Becker.

— Reporting for Reuters by Karen Dillon; additional reporting by Gina Cherelus in New York, Rich McKay in Atlanta, Jarrett Renshaw in Philadelphia and P.J. Huffstutter and Mark Weinraub in Chicago.

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We have ongoing issues about hiring qualified managers and workers; with WCB compliance and enforcement; OH&S adherence; WHMIS (Workplace Hazardous Materials Information System) education of our employees; an obsolete farm taxation model utilizing 25-year-old land assessments which have resulted in municipal head taxes that pits one municipality against another; an ever-growing burden on our employees from increasing income taxes; carbon taxes — in general, our farms’ ability to compete.

On top of this, keeping an open border with the U.S. and access to other markets is an issue that keeps me up at night.

I’m sure everyone in the beef industry shares these concerns. But I’m concerned they are not being properly communicated to government. In my opinion, the beef industry does a poor job of this — not for lack of intelligence or enthusiasm, but there is a lack of unanimity on these issues.

Here is the current structure of our industry and the agendas they promote:

Alberta Beef Producers (ABP) — claims to be the voice of the Alberta beef industry and to represent all aspects of production. Formed in 1969.

Alberta Cattle Feeders Association (ACFA) — voice of the cattle feeding industry, although ABP has a cattle feeder council that it claims represents the sector. Formed in 1973.

Western Stock Growers Association (WSGA) — formed in the early 1900s and has long claimed to represent the cow-calf sector. Has a strong political agenda and believes government should not be involved in its business. A very credible organization.

Alberta Grazing Leaseholders Association — formed in 1997 to negotiate fair government grazing lease rates. Claims to represent leaseholders in matters of land use, property rights, and surface rights.

Feeder Associations of Alberta — provincial government guaranteed, cattle financing option but also promotes political policies outside its mandate from time to time.

Alberta Cattle Breeders Association — claims to represent seedstock producers, aims to promote excellence in breeding and achieve optimum value through benchmarking of bulls’/heifers’ performance. Involvement in semen, embryos, and live cattle internationally means it undoubtedly has government’s ear from time to time.

Alberta Riparian Habitat Management Society – Cows and Fish — seeks to enhance landscape health and productivity through improvements in grazing in riparian areas.

National Farmers Union — from time to time likes to express an opinion on the Alberta cattle industry.

Livestock Identification Services — governs brands and cattle movement from one owner or pasture to another owner or location. From time to time has a political message to government.

Livestock Markets Association — brings sellers and buyers together and facilitates the financial transaction through identification of animals and ensuring the buyer has clear title.

Then there are all the national organizations that Alberta producers support: the Canadian Cattlemen’s Association, National Cattle Feeders’ Association, Canadian Beef Cattle Check-Off Agency, Beef Cattle Research Council, and so on. All have input to the Alberta government.

I don’t mean to minimize any of these groups. I have been involved in this industry for over 40 years and helped form one of the ‘additional’ groups.

But how would governments ever know that they are making the right decisions for the Alberta industry? In my opinion, I don’t believe government can make a decision because all the above associations are sending different messages to government.

This has to stop.

As sophisticated business people, we as an industry need to create a better organization. I say this with respect to my fellow Alberta producers. But when we have at least 10 organizations representing the beef industry in Alberta, it is quite frankly a joke.

It demonstrates to me and to government that the existing organizations cannot represent our industry to government with a high degree of success.

Last year, I moved a motion at the ACFA annual general meeting that it get together with the ABP to come up with a plan for these two organizations to work together. The two groups have since discussed how to improve their relationship.

I applaud those efforts, but the discussions centred on the collection and administration of checkoff dollars. This is a positive step, but falls way short of addressing the main issue.

Again, who is representing your interests, and mine, to government?

We need to face the facts. The message the beef industry sends to government is divisive, inconsistent, and, in many cases, has little to do with the business of the industry. We should be ashamed of ourselves.

Let’s use this initiative started by ABP and ACFA to completely overhaul our representation and structure of Alberta’s beef industry. Let’s not rush to force a ‘vote’ on checkoff dollars this fall when the important issue is to consider — once and for all — how the industry should be represented and how that representation should be structured and governed.

I look at dairy farmers and how they are completely united. We can learn from their model. The dairy industry lobby is so entrenched and powerful, the federal and provincial governments are actually scared to speak against its policies.

We, as an industry, need to cross the bridge on representation in our industry. If we can’t, then we will continue to flounder and send mixed messages to governments. And when governments get conflicting messages, they will usually do nothing.

I will gladly pay a non-refundable checkoff if we have the right representation, structure, and governance in place. Now is the time. Let’s fix our industry representation, once and for all.

Rick Paskal is president of Van Raay Paskal Farms Ltd.

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The annual fee will be $225 plus HST for membership in the Ontario Federation of Agriculture, Christian Farmers Federation of Ontario or National Farmers Union-Ontario.

All registered farmers have to pay the annual fee to one of the organizations, although they can request exemption based on several criteria.

The fee is collected each year by Agricorp and remitted to one of the three accredited organizations.

“OFA thanks Minister Leal for championing this regulation change to support Ontario’s general farm organizations,” said Keith Currie, OFA president. “It’s been eight years since the last adjustment in FBR fees and the cost of doing business, working on behalf of farm members, continues to climb.”

The number of farmers also continues its long-term decline, which also decreases the revenue for farmer organizations which get fees per member, versus those which charge a checkoff per volume of farm production.

Increasing numbers of submissions to the Environmental Bill of Rights, advocacy needed on regulations like the recently proposed federal tax changes and continued need for on-the-ground support for farmers means there continues to be a significant need for the organization, Currie said.

— John Greig is a field editor for Glacier FarmMedia based at Ailsa Craig, Ont. Follow him at @jgreig on Twitter.

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