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Government of Canada investing in research to promote more diverse farm crop rotations

Government of Canada investing in research to promote more diverse farm crop rotations

The research aims to reduce business risk for farmers with climate change-resilient crops to provide better profit.

By Andrew Joseph, Editor; Photo by Waldemar on Unsplash

On May 13, 2024, the Canadian federal government announced up to $5,733,852 to the Canadian Field Crop Research Alliance (CFCRA) through the AgriScience program—Clusters Component, an initiative under the Sustainable Canadian Agricultural Partnership, to promote more diverse crop rotations on farms.

The hope is that the Cropping Systems Cluster, led by CFCRA, will develop the characteristics and practices to encourage diverse crop rotations for soybeans, corn, and oats.

Crop rotation is the practice of planting crops with diverse characteristics in sequence on the same field over time. It improves the ability of producers to manage the soil in a manner that optimizes soil health and nutrient use, prevents soil erosion, reduces pest infestations, and increases yields.

“With climate change having a direct impact on producers, crop diversity is vitally important to keeping our agriculture sector healthy, productive, and competitive. This funding will help researchers explore the benefits of crop rotations and encourage producers to integrate soybean, corn, and oat crops into their farms,” stated the Honourable Lawrence MacAulay, Canadian federal Minister of Agriculture and Agri-Food.

The research aims to reduce business risk for farmers by developing crops that are resilient to climate change and weather stresses, protect against losses caused by diseases and insects, and are profitable for producers overall.

This will be achieved by developing oat varieties with improved traits for eastern and western Canada, as well as improving soybean varieties for short-season production environments in Canada.

Research activities will also explore how diverse crop rotations can play a central role in reducing greenhouse gas emissions and how better genetics, land management, and fertilizer use can improve nitrogen use efficiency to protect the environment.

Soybean production generated $3.9 billion in farm cash receipts in 2023, making it the third-most valuable field crop in Canada.

Canadian corn production has risen incrementally since 2010, increasing export revenue to a record of $941 million in 2021–22.

In 2021–22, Canadian oat exports were valued at $558 million, with 93 percent of exports going to the US.


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Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?

Video: Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?


Historically, the USDA December crop report is a non-event or another dud report as the USDA reserves any final supply changes to the final report in January of the following year in this case 2026. But after the longest U.S. government shutdown in history at 43 days and no October crop report will they provide more data/surprise and make an exception?
Our China U.S. soybean purchase tracker is now at 26.6% or a total of 3.2 mmt but for traders it’s taking too long to unfold.
The final Stats Canada production report was bearish canola and wheat projection a record crop in both (it adds to the global glut of supplies) and bullish local corn and soybean prices in Ontario/Quebec thanks to a drought. It will not help the fund flow short-term, the USDA may need to offset it?
A U.S. Fed interest rate cut of another 25-basis point next Wednesday (probability 87.1%) could help fund flow and sentiment in stock and ag commodities into year end.
More inflows into Bitcoin this past week saw prices rebound back above 90,000 with support at 82,000 and resistance at 96,000.
A V-shaped bottom in cattle suggest the lows are in after Mexico reported another new world screwworm case. Lower weights, seasonal demand and higher U.S. beef select/choice values with a continued closure of the Mexican border to cattle will result in a resumption of higher cattle futures into yearend.
Australia is expected to produce its 3rd largest wheat crop ever at 36 mmt adding to the global glut of supplies.
Reports of ASF in hogs in Spain the largest pork exporter in Europe could see the U.S. win more pork export business long-term.
If the rains verify into next week of 3-5 inches for Brazil it would go a long way to fixing the dry regions from the last 2-months, but the European weather model has been wrong for the past 2-months!
Natural gas futures are surging to the 3rd price count as frigid hold temps set in.
CDN $ is also surging to end the week on a very resilient economy and better employment numbers suggesting no interest rate cuts next week.
Finally, the CFTC report showed funds were net buyers of soybeans but sellers of corn, canola and wheat. In real time the funds have gone back to selling as they take some profits.