StatsCan Confirms Fall in 2024 Realized Net Farm Income

Rising livestock receipts – especially for cattle – were not enough to turn the tide as Canadian farm income saw its sharpest decline in six years in 2024 amid lower crop prices and higher expenses. 

A Statistics Canada farm income report on Wednesday pegged national 2024 realized net farm income at $9.4 billion, down $3.3 billion or 26% from a year earlier and the largest percentage fall since 2018. Stripping out cannabis makes things appear slightly better, with net farm income down a more modest 23% to $9.7 billion. 

In 2023, realized net income for Canadian farmers rose 13.7% to $13.6 billion, as growth in receipts more than offset an increase in expenses. Realized net income is the difference between a farmer's cash receipts and operating expenses, minus depreciation, plus income in kind. 

Today’s report basically confirms StatsCan’s preliminary 2024 headline farm income numbers that were released back in May. 

Realized net income fell in every province but Newfoundland and Labrador and Nova Scotia in 2024 compared to a year earlier. Saskatchewan posted the largest decline among the provinces, down $1.3 billion or more than 24% to $4.02 billion, mainly due to lower crop revenues and slightly higher total farm operating expenses. At $2.44 billion, Alberta realized net farm income was down 22%, while Manitoba was down 22% as well to $1.22 billion. Ontario realized net farm income fell 19% to $1.85 billion. 

Nationally, total farm cash receipts – which include crop and livestock returns as well as producer payments - dropped $1.4 billion to $98.1 billion in 2024, the first decline since 2010.