Significant drop in farm income, 2024

Realized net income for Canadian farmers fell by $3.3 billion (-26.0%) to $9.4 billion in 2024. This was the largest percentage decrease in realized net income since 2018. Lower farm cash receipts and slightly higher operating expenses led to the decrease in 2024. Excluding cannabis, realized net income was down 23.1% to $9.7 billion.

Realized net income is the difference between a farmer's cash receipts and operating expenses, minus depreciation, plus income in kind.

Realized net income fell in every province but Newfoundland and Labrador and Nova Scotia in 2024. Saskatchewan posted the largest decline (-$1.3 billion) among the provinces, mainly due to lower crop revenues and slightly higher total farm operating expenses (+0.6%).

Farm cash receipts decline for the first time since 2010
Farm cash receipts fell $1.4 billion to $98.1 billion in 2024, led by Saskatchewan (-$1.2 billion) and Manitoba (-$426.4 million).

Lower crop prices pull crop receipts down
Total crop receipts declined 6.1% to $52.2 billion in 2024, mainly on lower prices for most major grains and oilseeds. This was the largest percentage drop in crop receipts since 2003.

Prices for most major crops began to decline in 2023, following two consecutive years of strong growth, as domestic production recovered and supplies improved. Ample domestic and international supplies continued to put downward pressure on the price of grains and oilseeds in 2024, leading to lower receipts, despite higher marketings.

Crop receipts fell in six provinces in 2024, with Saskatchewan (-$1.7 billion), Alberta (-$1.1 billion) and Manitoba (-$652.5 million) reporting the largest declines.