GFM Network News

“When we ask people to pay market value, they are only going to do that if they believe in their own ability to grow that operation.” – Tom Deans.

Don’t give away the farm, says transition expert

Encourage children who want to farm to start buying in early, said Tom Deans

Don’t gift the farm to your children, but make them buy it at full market value, says one intergenerational wealth expert. “When we take shortcuts with the valuation and offer discounts to the family, we damage the confidence of the next generation. We actually undermine their authenticity,” said Tom Deans. Deans, an author and business

High prices can skew cost of production, and if inflation returns in earnest, so could higher rates.

Price spikes can bring input cost risks

History highlights what can happen if market events suddenly make the current debt-to-income ratio untenable

Commodity prices have been strong for the past eight months. It’s been a boon for growers, though prolonged periods of decent returns can skew the cost of production. Canadian growers could be open to significant financial hardship if they see sustained price reductions or major production challenges like those experienced in the 1970s and 1980s,

If inflation returns in earnest, so could higher rates.

Interest rates biggest farm finance risk

Farm Credit Canada says the pace of debt growth has slowed but farmers need to have an interest rate risk management plan

The expansion of Canada’s farm debt continued, but at its lowest pace in six years. Meanwhile Farm Credit Canada’s chief economist says that the potential for higher interest rates is the “darkest cloud” in that otherwise optimistic picture. Statistics Canada data showed outstanding Canadian farm debt increased by 5.9 per cent to $121.9 billion as

FCC’s Marty Seymour reflects on the impacts of COVID-19 on the agricultural industry.

Agriculture learned its COVID lessons — and quickly

Now is the time to start positioning the sector for the coming recovery

The agriculture industry was hit hard by the pandemic. Early on, it became apparent that the sector needed to make changes in order to address the situation. But a year later, by many accounts, the Canadian agriculture sector has adapted effectively — spectacularly, even. This past winter at the Farm Forum conference, Marty Seymour from

(Dave Bedard photo)

Farmland appreciation continues through pandemic year

FCC report puts Canada's average land value increase at 5.4 per cent

Economic churn across Canada from the global COVID-19 pandemic didn’t faze the country’s real estate market — nor its farmland market in particular — in 2020, according to the latest review from the federal farm lending agency. Farm Credit Canada on Monday released its 2020 Farmland Values report, showing an average increase of 5.4 per


Manitoba farmland values higher again in 2020

FCC says, on average, this province's land prices rose 3.6 per cent versus 5.4 per cent nationally

Average Manitoba farmland prices were up 3.6 per cent in 2020, slightly below the Canadian average increase of 5.4 per cent Farm Credit Canada (FCC) announced in a news release Monday. A combination of low interest rates, which cut the cost of borrowing money to buy land, and higher farm cash receipts, especially for crops,

Farm Credit Canada’s chief economist says the agriculture sector is well positioned for the future.

Agriculture after the pandemic

It’s a whole alphabet of recovery options, FCC’s chief economist says

With COVID-19 vaccines rolling out for worldwide distribution and immunization on the horizon, now hopes turn to putting the virus in the rear-view mirror and rebuilding a battered global economy. That’s almost certainly going to mean enduring a sharp recession, says J.P. Gervais, chief economist for Farm Credit Canada. Speaking at the virtual Manitoba Agronomist

Farm lender delivers ebullient view of Manitoba ag

Farm lender delivers ebullient view of Manitoba ag

Farm Credit Canada’s Darren Howden says agriculture is faring much better than many other industries

Manitoba’s agriculture industry is generally financially fit, a senior executive with Farm Credit Canada (FCC) told the Keystone Agricultural Producers’ (KAP) online annual meeting Jan. 26. “Grains and oilseeds are doing really well,” Darren Howden, FCC’s senior vice-president of Prairie operations,” told KAP members. “That’s the sector we have the most business in, in Manitoba. There was a really

Still hard for young to start farming

Still hard for young to start farming

The same problems that have held back young farmers for decades are still there

Darren Howden often hears how hard it is for young people to get into farming. But Farm Credit Canada’s senior vice-president of Prairie operations, heard the same lament in the 1980s when he was young farmer just starting out. “And it was the same answer,” he told the Keystone Agricultural Producers’ online annual meeting Jan.

FCC identifies export, market diversification opportunities for Canadian food

FCC identifies export, market diversification opportunities for Canadian food

The ag lender’s latest report highlights canola oil, pork, potato products, crab meat

Canada is already a major exporter of agricultural goods, food and beverages — but increasing food and beverage exports is still one of Canada’s biggest trade opportunities, says Farm Credit Canada (FCC). And by diversifying exports farmers will become less dependent on current major markets reducing their financial risk. “When borders close for any number of reasons due to trade tensions or shock caused by disease