Census results underscore need for better ag policy

(OTTAWA) – Today Statistics Canada released the first findings of the 2006 Census of Agriculture. The numbers clearly show a continuation of the trends that have Canadian farmers worried about the future of their industry.

Among the highlights of the data released today the statistics show that, while the number of acres being farmed in Canada remains constant, the number of farms and farmers continues to decline. Since the 2001 census there has been a 7.1 per cent decline in farm operations and a 5.5 per cent decline in farm operators – a loss of nearly 20,000 Canadian farmers from all sectors. As well the farm population continues to age, with the number of farmers under 35 declining to 9.1 per cent, and the overall average age of Canadian farmers rose from 49 to 52.

“Urban consumers may think that, because the same amount of land is being cultivated, Canada’s agriculture sector is doing fine. But losing 20,000 people in just five years will have a huge impact on Canada’s rural economy and rural community infrastructure,” said Bob Friesen, President of the Canadian Agriculture.

On the financial front the Census noted the serious increase in the cost of production in the agriculture industry. A little more than half, 55.8 per cent of farms, are making enough gross income to cover their cost of production. Since 2001 the Farm Input Price Index, the cost of the products and tools farmers need to farm, rose 8.6 per cent since 2001. For example fuel and fertilizer prices both rose by 35 per cent since 2001, and pesticide prices rose by 19 per cent. By contrast the Farm Product Price Index, the price farmers get for their goods, rose only 1.7 per cent. As a result 48.4 per cent of Canadian farmers now need to find jobs off the farm to help pay the farm’s bills.

“Farmers should be able to earn sufficient income on their farms” said Friesen. “Farming in Canada is still heading in the same direction, but it’s not too late to chart a new course. If we get this next generation of agriculture policy right we can buck the trends and create growth in the industry. And then we can look forward to seeing better numbers in the next census in 2011. CFA looks forward to continuing to work with the government to make that happen.”

See attached fact sheet for more statistics on Canadian agriculture from the Census of Agriculture

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Founded in 1935 to provide Canada's farmers with a single voice in Ottawa, the Canadian Federation of Agriculture is the country's largest farmers' organization. Its members include provincial general farm organizations as well as national and inter-provincial commodity organizations from every province. Through its members, CFA represents over 200,000 Canadian farmers and farm families.