Farm income, 2025

Released: 2026-05-27

Realized net income for Canadian farmers fell $28.1 million (-0.3%) to $8.3 billion in 2025, following a sharper decline in 2024 (-33.9%). The increase in farm operating expenses outpaced the growth in farm cash receipts, which led to the decrease observed in 2025. Excluding cannabis, realized net income increased by 9.0% to $9.6 billion.

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

Chart 1 
Expenses-to-receipts ratio, Canada, 2015 to 2025

Realized net income changes were mixed across the provinces in 2025. Saskatchewan (-$1.0 billion) reported the largest decline, due to lower crop receipts (-4.8%) and higher total farm operating expenses (+3.5%). Conversely, Quebec (+$474.4 million) reported the largest gain, mainly as a result of higher livestock receipts (+6.6%) and stable expenses (+0.4%).

Chart 2 
Rising livestock and poultry purchases drive increase in expenses, Canada, 2024 and 2025

Farm cash receipts reach $100 billion in 100 years

Farm cash receipts rose $4.5 billion to $102.2 billion in 2025, led by Ontario (+$1.8 billion) and Alberta (+$1.4 billion). In the 100th year of data collection, farm cash receipts have grossed over $100 billion for the first time since the beginning of the data series in 1926.

Strong prices push livestock receipts higher

Livestock receipts rose 13.3% to $45.3 billion in 2025, mainly on gains in prices for most livestock commodities. This was the fifth consecutive increase in livestock receipts and the largest increase since 2021. All provinces reported increases in 2025, led by Alberta (+$2.1 billion; +17.7%) and Ontario (+$1.0 billion; +10.2%).

Cattle and calves drove the increase in livestock receipts in 2025, rising 22.5% to $20.6 billion, primarily due to higher prices (+24.4%) as marketings fell (-1.5%). The number of cattle and calves slaughtered fell for the third consecutive year and to the lowest level in nearly a decade, as Canadian cattle inventories remain constrained. Over the past several decades, cattle numbers in Canada and the United States have been declining. In recent years, drought conditions exacerbated the downward trend, prompting producers to reduce herd sizes in response to rising feed and input costs. This tight supply environment has driven prices higher and contributed to falling international exports (-5.7%).

Hog receipts reported their strongest growth in four years, climbing 13.9% to $7.2 billion in 2025, following weak demand and various domestic market challenges. The increase in 2025 was mainly due to lower inventories coupled with a rebound in demand for hogs. Hog prices increased by 11.4% in 2025 while marketings edged up 2.2%, leading to increased receipts that year. Hog receipts were up in every province except New Brunswick and Prince Edward Island.

Receipts from the supply-managed sector, which accounted for just over one-third of the total livestock receipts, grew 3.3% to $15.7 billion in 2025. Higher receipts from unprocessed milk from bovine (+3.1%) and eggs in shell sold for consumption (+10.9%) accounted for more than four-fifths of the gain.

Total poultry receipts edged up 0.5% in 2025 primarily due to increased receipts from chicken for meat (+2.3%) as lower receipts from turkey for meat (-14.4%) moderated the increase. Chicken for meat receipts (+$91.3 million) posted a gain in 2025 mainly as a result of higher marketings (+2.1%) and relatively stable prices (+0.2%). The chicken sector is experiencing increased demand as consumers substitute away from beef due to high prices.

Lower crop prices moderate increased marketings

Total crop receipts rose 0.6% to $52.1 billion in 2025 on increased marketings for most major grains and oilseeds. Ongoing geopolitical tensions continued to put downward pressure on the price of grains and oilseeds in 2025.

Favourable weather conditions and precipitation throughout the 2025 growing season helped crop development and resulted in record high yields for several crops. Despite record high yields in 2025, receipts for canola (-6.4%) declined. Further, reduced canola exports (-12.5%) due to trade restrictions led to lower marketings (-6.9%) and contributed to a record level of domestic canola crushing in 2025.

Receipts for horticulture products (+$785.1 million), soybeans (+$521.6 million) and cannabis (+$432.7 million) reported the largest increases in 2025. Fruit and vegetables (including vegetables grown in greenhouses) saw a $677.7 million increase in receipts, accounting for over four-fifths of the horticulture increase in 2025.

Cannabis receipts rose 16.9% with marketings growing 38.9% in 2025, which marked the largest increase in cannabis production since 2020. Additionally, increases in the value of inventory change in 2025 suggest that producers put more cannabis into storage, limiting marketings.

Crop receipts fell in four provinces in 2025, with Saskatchewan (-$748.7 million) and Alberta (-$401.8 million) reporting the largest declines. The remaining six provinces reported gains, with Ontario (+$723.3 million), British Columbia (+$360.1 million) and Quebec (+$237.6 million) reporting the largest growth.

Lower crop insurance payments push program payments down

Total direct payments to Canadian producers fell 18.4% to $4.8 billion in 2025. This was the third consecutive double-digit decline.

Crop insurance payments, which accounted for over half of total direct payments, declined 26.9% in 2025, with Saskatchewan (-$646.9 million) and Alberta (-$242.5 million) posting the largest decreases. Better growing conditions for some principal field crops in 2025 supported record yields, further lessening the demand for crop insurance payments.

Moderating the decrease in total direct payments in 2025 were increases in AgriStability payments (+50.6% to $905.1 million), following increases to compensation rates.

Total farm operating expenses rise on higher livestock and poultry purchases

Total farm operating expenses (after rebates) rose 5.1% to $83.0 billion in 2025, increasing in every province.

Livestock and poultry purchases rose 39.4% to $6.2 billion and accounted for more than one-third of the increase in total farm operating expenses in 2025. This was the largest increase in livestock and poultry purchases since 1981. Record high prices for cattle and calves drove the increase amid slower cattle and hogs marketings.

Chart 3 
Livestock and poultry purchases as a share of total operating expenses, Canada, 1981 to 2025

Increased prices pushed fertilizer expenses up 6.9% to $9.7 billion in 2025, contributing to the increase in total operating expenses. Following two consecutive years of fertilizer expense declines, product prices began to rise amid broad trade uncertainty and export limits from major fertilizer producing countries.

Commercial feed expenses declined 2.2% to $10.5 billion in 2025. This was the third consecutive year of declines as ample supplies of grains and oilseeds continued to put downward pressure on feed prices.

Machinery fuel expenses declined 1.2% to $3.5 billion in 2025 on increased supplies. This marks the third consecutive annual decline following the significant price increases recorded in 2021 and 2022.

Total farm expenses (after rebates), which include operating expenses (+5.1%) and depreciation (+5.3%), increased 5.1% to $93.9 billion in 2025. Total farm expenses were up in every province, led by Alberta (+$1.7 billion).

Total net income increases

Total net income increased by $4.3 billion compared with 2024 to $12.7 billion in 2025.

Total net income is realized net income adjusted for changes in farmer-owned inventories of crops and livestock. Total net income represents the return to owner's equity, unpaid farm labour, management and risk.

Excluding cannabis, total net income increased by $4.9 billion to $13.8 billion in 2025.

Products

The interactive data visualization tool "Net farm income, by province," is available on the Statistics Canada website.

The Agriculture and food statistics portal, accessible from the Subjects module of the Statistics Canada website, provides users a single point of access to a wide variety of information related to agriculture and food.

Contact information

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