Ontario Agriculture

The network for agriculture in Ontario, Canada

The CFA advocates on behalf of farmers for increased marketplace power

By Laurent Pellerin, CFA President

One of the concerns faced by Canadian farmers is the continual battle against larger influences within the agri-food value chain. Whether it is dealing with a few very large producers of fertilizers, large multinational organizations purchasing grain, or large government agencies mandating constant changes to a farmer's operating environment, primary agriculture producers are constantly facing an erosion of their profit margins. The margins frequently fall well below the cost of production. The Canadian Federation of Agriculture (CFA) strives to advocate on behalf of farmers to the federal government to create and enable policies regain their marketplace power.

The creation of co-operatives has been an organizational structure that has served farmers for many years in many different production systems. In Canada, there are 1300 agricultural co-operatives, employing 36,000 people, in businesses as varied as input supply and farm insurance to processing and marketing of bio-fuels. These co-ops generate over $19 billion per year in revenue and channel some $1.6 billion producer re-investment in the industry and rural communities. One of the main difficulties in establishing a farmer cooperative is in locating the appropriate capital necessary to fund expansions and develop products and production systems for new markets and opportunities.

The CFA has been working with the Canadian Cooperatives Association on a Cooperative Investment Plan, where a significant portion of a farmer's contribution to a cooperative could be offset with a tax deduction, thereby providing an incentive for continued funding of the institution. This would be structured as a tax-incentive for investing capital into co-operatives, and has proven to be very successful in Quebec. For a relatively low cost to the government, this program would see hundreds of millions of dollars invested into agricultural co-operatives across Canada.

One way in which government has partnered with farmers is in the legislation and support of collective marketing boards. These boards, such as those legislated for dairy and poultry products, have proven to be very resilient to global market upheavals and have consistently returned solid revenue streams to farmers. While such a model is not ideal for every commodity, the supply managed collective marketing system is a vital tool for products that might otherwise be highly volatile. One needs only look at the difficulties experienced within the dairy industry south of the border to gain an understanding of the value of such a farmer empowerment system here.

One of the greatest influences on the operating environment of a farmer, next to the weather and commodity markets, is dealing with the regulatory burden. Agriculture and Agri-food Canada, Health Canada, the Canadian Food Inspection Agency, the Canadian Grain Commission, and numerous commodity-specific, regional, and provincial regulatory bodies affect the ability for a farmer to eke out a profit from his or her operation. By banding together in a powerful farm organization, an organization such as the CFA can provide a united voice for farmers and push back against intrusive government demands on farmers. To accomplish this, farmers much empower their local or commodity-specific farm organization to meet their needs and communicate them to the national audience. The CFA will argue the position of Canadian farmers directly to the responsible departments on your behalf. Individually, regulatory authorities can walk all over the small farmer, but when faced with a united group they are forced to listen.

The use of a membership-based volume-purchasing organzations, such as the Farmers of North America, have emerged in an attempt to help mitigate some of the input cost pressures facing farmers. This model has proven successful in the consumer sector, with the prominence of large membership-based club stores, and many farmers have indicated their appreciation for such an approach applied to input purchases. The uptake of the FNA service has been significant and growing every year, with members in every province except Newfoundland, and is a testament to farmers' desire to continually reduce their operating costs and become more efficient.

While FNA has proven effective for many farmers, it is limited in its ability to address consolidation within large fertilizer producers. The recent attempted merger of Agrium and CF Industries, and discussions of the possible sale of Potash Corp to large foreign interests, is yet another example of multinational consolidation designed to extract further gains from farmers. This challenge can be met with increased use of collective purchasing bodies, such as through cooperatives and companies like FNA, and also through the use of regulation. To that end, the CFA will continue to push the Competition Bureau of Canada investigate cartel-like behaviour within the fertilizer industry and demand the government act in the interests of farmers across the country.

Finally, the domestic consumer is one of Canadian agriculture's most important markets. While competing countries have invested heavily in promoting domestically-produced food and marketing it to their own consumers, Canada has played a much more relaxed position. Even though both the CFA and Agriculture and Agri-Food Canada have released surveys showing that Canadian consumers prefer Canadian products, turning this desire into increased sales of Canadian products has been difficult. One of the reasons is that there is no cohesive marketing campaign supported by a proper labelling system for items that a grown and processed in Canada. While the 'Product of Canada' labelling guidelines had zero requirements for domestically-grown ingredients, the government's changes to a 98% requirement were simply unworkable for virtually all of the agri-food industry. However, the CFA, along with other partners, has been pushing for a change to guidelines that would see a reduction to 85%, allowing many products grown and processed in Canada would be able to proudly carry the label. Additionally, if the government sponsored a domestic branding and marketing campaign, the CFA believes many new and exciting opportunities would emerge for Canadian farmers and agri-food companies.
About the Canadian Federation of Agriculture

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, national and inter-provincial commodity organizations, and cooperatives from every province. Through its members, CFA represents over 200,000 Canadian farmers and farm families.

Views: 129

Reply to This

Replies to This Discussion

the story is a bit long, what I like to say is
united we stand divided we fall.
a general problem in our agriculture community is the that we work to much on our our own and lack trust of others.
I do not believe in the collective wisdom of individual ignorance.
Thomas Carlyle


But Agriculture Canada and the Minister of Finance are banking on it. If farmers don't collectively try to research and learn their rights we are doomed to form policies that will negatively impact us all.
Increased marketplace power....is a good concept for producers.

It is easy to talk about but very difficult when it comes to global commodities.

There are some examples in Ontario - Dairy, Poultry Marketing Boards....

Joe

Reply to Discussion

RSS

Agriculture Headlines from Farms.com Canada East News - click on title for full story

APG Seeks Advisors in All Zones to Grow Pulse Industry

Pulse producers who want to grow the province’s pulse industry while developing their own leadership skills are invited to let their names stand for election as an Alberta Pulse Growers (APG) Advisor at their zone meeting this fall. “Any interested pulse farmers are strongly encouraged to join the APG team,” APG Chair Shane Strydhorst said. “I began as an Advisor like most APG Directors, and the experience has been more rewarding than I imagined. Becoming an Advisor is a great way to get involved in the industry. Each of our five zones has available positions and it’s a good introduction to the organization, working on committees, and making things happen for Alberta pulse farmers.” A team of Advisors leads extension activities specific to each of APG’s five zones. Directors on APG’s provincial board often serve as Advisors first. Producers must have sold pulses and paid service charges since August 1, 2023 to be eligible as an Advisor. Anyone interested in letting their name stand

Saskatchewan Pulse Growers Launches Enhanced Pulse Variety Hub: New website delivers advanced tools and data for pulse crop producers

Saskatchewan Pulse Growers is pleased to announce the launch of the new and improved Pulse Variety Hub (https://rvt.saskpulse.com/), a comprehensive digital platform that helps pulse crop producers select the best varieties for their specific growing conditions and locations across Western Canada. The Pulse Variety Hub serves as a central resource where farmers can access detailed variety information, compare performance data across different regions, and make informed decisions about which pulse crops—including lentil, pea, chickpea, faba bean, and dry bean—will perform best in their specific geographic areas and growing environments. The enhanced platform represents a significant advancement in agricultural technology, building upon the proven foundation of the previous tool while delivering substantial improvements across all aspects of user experience and functionality. Key Features and Enhancements The new Pulse Variety Hub delivers enhanced value through several significant imp

Manitoba farmers racing to finish harvest

Rain and strong winds in Manitoba’s eastern and Interlake regions and snow in the Northwest slowed the harvest. In its weekly crop report, Manitoba Agriculture Cereal Crop Specialist Ann Kirk said roughly 93 per cent of the crop is harvested, and farmers are getting close to wrapping things up. “Over the past week, we did have fairly good harvest conditions. We did have rain and then snow which put a pause on harvest over the weekend and the beginning of this week,” Kirk said. Harvesting of spring cereals are basically complete and canola is very close to finished. The dry beans are about 96 per cent complete. Soybeans are also very close at about 90 per cent. “What’s left is about 25 per cent of the flax crop, 80 per cent of the sunflowers and about 60 per cent of the grain corn , so we have made good progress, and it’s just those remaining later season crops to come off,” Kirk added. Spring cereals had a very long harvest season, and as a result, some of the crops are of poorer

Agriculture innovation part of TIME’s list of best inventions

An agriculture innovation from a Winkler, Man. based company has been named to TIME’s list of the Best Inventions of 2025. Thunderstruck Ag was recognized for its Razors Edge Concaves. Thunderstruck Founder and CEO Jeremy Matuszewski said the concaves were designed to minimize harvest loss, maximize machine efficiency, and simplify operations across multiple crops. The system’s patented variable bar spacing tightens where impact is greatest and opens where flow matters most delivering a cleaner thresh, reduced equipment overload, and higher yields, all without cover plates or hardware swaps.

Halloween characters suitable for farmwork

Farmers can use all the help they can get these days

© 2025   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service