The wide variety of sectors is an underlying strength of Canadian agriculture as far as trade is concerned. When markets decline in one sector, demand and output may increase in other sectors.
Identifying and taking advantage of different market opportunities can lift the output of multiple sectors and allows Canadian agriculture to maintain its competitive position as a reliable supplier of safe, high-quality food.
Canada was the world’s fifth-largest agriculture exporter in 2015, behind the U.S., China, the Netherlands and Brazil, according to the report.
The U.S. was by far the world’s largest single-country agricultural exporter in 2015, with almost 15 percent of global exports worth US$118.7 billion.
The U.S. also continues to be Canada’s single largest agriculture export market, taking in 35.4 percent of Canada’s total agriculture exports worth US$9.3 billion.
Canada was the world’s largest exporter of wheat, canola, lentils and canary seed in 2015. Canada also ranked among the top 10 exporters of 13 different agriculture commodities.
Only France shipped more cattle in 2015, while Canada ranked among the top five exporters in no less than six other commodity categories: oilseeds, cereals, soybeans, barley, edible vegetables and hogs.
The global demand for food, feed and non-food uses of agricultural commodities is growing. However, Canada and the rest of the major exporting countries cannot increase their agricultural output simply by putting more land into production, according to the report.
All major exporters, except Brazil, Mexico, India and China, lost agricultural land as a proportion of their total land base between 1961 and 2013.
This means innovation and technology are key to increasing production to meet growing world demand and maintaining Canada’s competitive export position.
Through innovation and technological advances, Canadian agriculture produced as much food in 2006 as in 1961 using half of the inputs, the report notes, citing Agriculture and Agri-Food Canada data.
The global landscape of agriculture is evolving. Amidst trade agreements, a slowing global economy and weather disruptions, Canadian producers can remain competitive by focusing on efficiencies and having a risk management plan to protect against unforeseen circumstances is also a good idea.
Higher productivity and the ability to produce more by using fewer inputs holds the most promise for long-term success.
As one of the world’s largest agriculture and agri-food-producing countries, Canada is already well positioned to capture this growth. 
Visit FCC Ag Economics to join the discussion on the Canadian Agriculture’s Productivity and Trade report.
PHOTO: As the world’s fifth-largest agriculture exporter in 2015, Canada maintains its competitive edge in the global marketplace. Photo provided by FCC.
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Jean-Philippe Gervais
- Chief Agricultural Economist
- Farm Credit Canada
