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: 180

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

Competition Bureau looking at Canada’s food supply chain

The Competition Bureau plans to look at Canada’s food supply chain through three lenses.

Ag in the House: June 8 – 12

A Bloc MP had questions related to Bill C-30 and crop protection

U.S. Spring Wheat Condition Rises; Winter Wheat Harvest Accelerates

The condition of the 2026 U.S. spring wheat crop improved over the past week, while the winter wheat harvest advanced rapidly and crop ratings remained far below last year. Monday’s USDA crop progress report rated 55% of the national spring wheat crop in good to excellent condition as of Sunday, up 3 percentage points from the previous week but 2 points below the 57% rated good to excellent a year ago. In North Dakota, the largest spring wheat-producing state, the crop remained at 61% good to excellent. Minnesota improved 4 points to a strong 90%, while South Dakota slipped 2 points to 50%. Montana recorded the largest improvement, with its spring wheat rating climbing 9 points to 19% good to excellent. However, 70% of the state’s crop was still rated only fair and another 11% was poor. Spring wheat emergence reached 95%, up from 87% the previous week and ahead of both 88% last year and the five-year average of 89%. Six per cent of the crop was headed, compared with 4% last yea

Alberta Crops Catch Up After Widespread Rains, But Seeding Delays Persist in Northern Regions

Provincial seeding reaches 97%, soil moisture improves across Alberta, and crop emergence continues despite cooler conditions Frequent, soaking rains across Alberta over the past week have delivered a welcome boost to soil moisture reserves and crop emergence, although the moisture has also slowed the final push to complete seeding in some northern areas. According to Alberta Agriculture and Irrigation’s latest Crop Report, provincial seeding progress for major crops has reached 97%, putting growers within striking distance of the five-year average of 100%. The South and Central regions have completed seeding, while producers in the North East, North West and Peace regions continue working around wet field conditions. Moisture Improves Across Most of Alberta The widespread rainfall has significantly improved soil moisture conditions across much of the province. Surface soil moisture ratings are now well above normal in many areas, helping support crop emergence and early-season dev

EMILI explores how AI-powered agtech increases sustainability, efficiency

AI is a powerful, multi-purpose technology that has the potential to hyperoptimize on-farm activities to a more precise level than ever to help farmers reduce costs, manage data, and increase productivity. Of the 30+ equipment and technologies being demonstrated and tested on EMILI’s Innovation Farms powered by AgExpert in 2026, a third involve AI.  By deploying technology in a fully-operational Manitoba farm setting, EMILI is able to validate what works and provide innovators with feedback on areas of improvement.  “Ground truthing the technology is critically important to ensure it is solving a problem for farmers and providing accurate data insights,” said Koroscil. “AI models don’t always get it right. Our team spends hours in the field counting weed populations, checking soil moisture levels, evaluating environmental conditions, and collecting agronomic measurements to provide boots-on-the-ground validation of what works and what doesn’t.” Evaluating AI-powered technology in p

© 2026   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service