Agricultural sector buckling in for a period of tight margins, volatile markets and consumer opposition

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Agricultural sector buckling in for a period of tight margins, volatile markets and consumer opposition
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Toban Dyck: But amid this landscape, the spring sun rises on the 2019 growing season. And there’s optimism

The cost of producing a crop is increasing, a trajectory propelled by a punitive regulatory environment, new taxes, high seed/chemistry prices and costly technologies.

Farmers are price-takers and we’re routinely the forgotten and arguably the most-affected sector in a tug-of-war between a myriad of formidably strong food production and consumer-related lobbies. The challenge is new markets don’t necessarily form overnight. Trusting relationships take time to establish. And creating domestic value-add opportunities such as commodity processing facilities is a difficult task in an uncompetitive independent business environment.

Things change in spring. The industry becomes bifurcated, excited about spring and the promises of a new growing season while remaining attentive to what’s going on with markets, policies and government. In winter, we talk to the world. In summer, we talk to each other.

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