Understanding regional farmland prices across Ontario

Apr 09, 2018

Median land values reached as high as $50k per acre in 2017

By Kaitlynn Anderson
Staff Writer
Farms.com

Farmers and prospective land owners have raised some concerns about the increasing values of Canada’s agricultural land.

So, in an effort to provide Ontario’s agricultural industry with current farmland prices and rental rates, the Ontario Federation of Agriculture (OFA) conducted an online survey earlier this year.

A total of 2,367 individuals – including farmers, farmland owners, tenants, landlords and farm managers – provided data on their acreage and price perceptions. The OFA and University of Guelph published this information in the 2017 Farmland Value and Rental Value Survey report last month.

Participants had differing thoughts on the future of land prices.

For example, 7.5 per cent of the respondents expect farmland prices to decrease in their region. Another 31.2 per cent of the individuals foresee an increase in their region’s land prices. Nearly half of survey participants believe the price of their local farmland will remain unchanged.

The surveyors also asked respondents about the prices of average quality cropland in their regions. The results revealed a notable contrast in prices across the province. (The report only included regions with more than 10 responses.)

Median land values

Producers also work land under a variety of ownership structures.

On average, farmers reported owning 272.23 acres. In addition, 1,133 respondents either rented, leased, crop-shared or custom-farmed an average of 285.41 acres.

The OFA published the report shortly before the Senate committee on agriculture and forestry released A Growing Concern: How to Keep Farmland in the Hands of Canadian Farmers.

Farms.com has reached out to a report contact for further comment.

Tianika / iStock / Getty Images Plus photo

Video: A chain harrow is a game changer

Utilizing a rotational grazing method on our farmstead with our sheep helps to let the pasture/paddocks rest. We also just invested in a chain harrow to allow us to drag the paddocks our sheep just left to break up and spread their manure around, dethatch thicker grass areas, and to rough up bare dirt areas to all for a better seed to soil contact if we overseed that paddock. This was our first time really using the chain harrow besides initially testing it out. We are very impressed with the work it did and how and area that was majority dirt, could be roughed up before reseeding.

Did you know we also operate a small business on the homestead. We make homemade, handcrafted soaps, shampoo bars, hair and beard products in addition to offering our pasture raised pork, lamb, and 100% raw honey. You can find out more about our products and ingredients by visiting our website at www.mimiandpoppysplace.com. There you can shop our products and sign up for our monthly newsletter that highlights a soap or ingredient, gives monthly updates about the homestead, and also lists the markets, festivals, and events we’ll be attending that month.