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Future of agriculture in Alberta faces many challenges

Green Hearts by Green Hearts
May 12, 2022
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Agriculture has a long-term future drawback because the trade works to fulfill a rising world demand for meals

Publishing date:

May 11, 2022  •  39 minutes in the past  •  5 minute learn  •  Join the dialog

A mix chews via canola because the solar units close to Brant, Ab., on Monday, September 20, 2021. Mike Drew/Postmedia

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The future of agriculture is as cloudy as producers want the skies had been.

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Statistics Canada launched their five-year agriculture census on Wednesday morning, and whereas it does present some optimistic development indicators for the sector in Alberta, there are some main challenges the sector has been hit with.

As an trade constructed on planning for the instant future, agriculture has a long-term future drawback as they work to fulfill a rising world demand for meals.

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The common age of a producer in Alberta has gone up 1.4 per cent to 56.5 years previous. There are nearly twice as many producers over the age of 55 (35,515) than beneath (21,680) — in truth, there are solely 5,115 producers throughout all sectors beneath 35. It is a spot that has solely elevated in the final 5 years.

“Farming is not an easy job, you have to be wearing a lot of hats. To me it takes a special sort of person and mindset that makes a really good farmer that cares about farm stewardship and understands the business side,” stated Tara Sawyer, chairperson of the Alberta Barley Commission. “It’s a high risk for entry, the high land value, the high cost of equipment, the high cost of inputs.”

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Oftentimes these obstacles could make it prohibitive to interrupt into agriculture, particularly in tough rising seasons like what has rolled throughout the Prairies over the past a number of years the place climate wreaks havoc on the best-run established operations.

She stated these tough years have been a educating level on her household farm close to Acme for her three youngsters about sustainable practices, each financially and in the sphere.

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There are some optimistic factors for the longer term the trade is drawing on, nevertheless. Despite farmland dropping by 2.2 per cent in Alberta in addition to the quantity of producers from 57,605 to 57,200, the quantity of farms has really elevated over the past 5 years from 40,648 to 41,505.

Furthermore, there was a spike in succession planning, led by Alberta producers because the pandemic has pressured many to consider what’s subsequent with 14 per cent of farms with a plan in place, the second-highest price in Canada to Saskatchewan.

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There has additionally been a rise in ladies getting into agriculture, going from 17,760 in 2016 to 18,525 in 2021. Sawyer stated this can be a pure evolution of the workforce and has been supported by efforts to make sure extra ladies are on commissions and in main roles throughout the trade.

According to the census, Alberta continues to guide the remainder of Canada in the manufacturing of spring wheat, canola and barley, which proceed to pattern upwards via May 2021.

Barley waits to be harvested in a field near Hussar, Alberta.
Barley waits to be harvested in a area close to Hussar, Alberta.  Photo by Leah Hennel/Postmedia

Erin Kumar, chief accountable for the Census of Agriculture for Statistics Canada, stated they’re additionally seeing farmers change the best way they’re promoting their produce to the general public throughout the pandemic. Many are leaning in direction of direct-to-consumer gross sales at farmers’ markets, on-line or roadside stands.

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“We have seen farmers increasing in the way they sell to consumers,” she stated. “We can’t say it’s a direct impact of the pandemic, but with pandemic-related measures seeing the increase of direct-to-consumer sales was not surprising to us.”

There are some essential short-term points the sector is coping with as effectively.

At the forefront is the price of inputs, which is hitting throughout the board.

According to the census, oilseed and grain farmers had the very best ratio in the sector at 0.76 — they’d 76 cents’ value of bills for each greenback earned. For livestock, these margins had been quite a bit tighter, with beef producers and feedlots at a ratio of 0.94. This was for the 2020 rising season. Since then there was a devastating drought and geopolitical points which have had some essential impacts. Commodity costs have soared, which was nice if they’d a crop, however enter prices have additionally soared, which has hit everybody regardless of success in 2021.

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Sawyer estimates their enter prices for his or her 4,600-acre farm have tripled for this 12 months alone.

The beef trade has been hit significantly exhausting, with many ranchers and feedlot operators placing their cattle on corn feed and different dietary supplements as early as final fall as a result of lack of pasture or different feed accessible.

This has additionally brought about their inputs to undergo the roof, although Brad Dubeau, basic supervisor of Alberta Beef Producers, was unable to say how a lot as a result of many variables every producer offers with.

Cattleland Feedyard near Strathmore on Wednesday, January 26, 2022.
Cattleland Feedyard close to Strathmore on Wednesday, January 26, 2022. Photo by Darren Makowichuk/Postmedia

Due to the time-frame of the census, it’s not probably the most correct image of the present state of affairs for the meat trade. The census reveals Alberta with a 5.6 per cent improve to the provincial herd; Saskatchewan is the one different province to indicate a rise. Dubeau says there has now been a discount to that whole because of many producers having to cut back their herds to make it via the winter, although he was unable to say precisely by how a lot.

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“We anticipate a continued reduction in the cow herd over time, mostly due to drought in Canada and the United States and significantly increased production costs,” stated Dubeau, who ranches close to Medicine Hat together with his brother.

Despite these challenges, the information present a rise in the quantity of beef cattle ranching and farming operations, together with feedlots, in Alberta going from 12,282 in 2016 to 14,601 in 2021.

“It shows the resiliency of beef producers in this province and the desire to continue to produce high-quality beef in Alberta,” stated Dubeau.

He stated beef producers had been being cautious in regards to the potential for this 12 months. Different components of the province are in higher form than others, like in the north the place moisture ranges are good as in comparison with the south the place they’re staring down one other 12 months of drought.

Many choices about what they do that 12 months can be made in the following couple of weeks and largely hinges on rain.

Dubeau stated Alberta Beef is advocating for mechanisms to enhance entry to feed and to decrease manufacturing prices.

“This industry is resilient but there is a breaking point and producers at every level of the production cycle must be able to have some profitability in what they’re doing and remain sustainable,” he stated.

jaldrich@postmedia.com

Twitter: @JoshAldrich03

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