Grain Growers of Canada (GGC) responded to targeted wins for grain farmers in Budget 2025, including the permanent reversal of the capital gains tax increase, but cautioned that other measures could undermine farm competitiveness.
“Budget 2025 acknowledged the impact that the capital gains tax increase would have had on family-run grain farms across Canada by permanently reversing it,” began Kyle Larkin, Executive Director of GGC. “This will ensure that family farms can continue their succession planning with certainty and that the next generation of farmers does not pay millions of dollars more in taxes.”
The budget also allocated significant sums towards trade diversification, including in response to the challenges that growers are currently facing due to Chinese tariffs on canola and peas. This includes the creation of a Strategic Exports Office and funds for the Canadian Food Inspection Agency to modernize trade tools and secure market access.
“I’m seeing first-hand how trade uncertainty is impacting grain farmers across the country,” said Scott Hepworth, Chair of Grain Growers of Canada and a grain farmer from Saskatchewan. “With challenges in the U.S. and tariffs in China, producers are under real pressure. The new investments in digital export tools and market diversification are positive steps. We need every tool available to keep grain moving, find new customers, and protect our bottom line in an unpredictable global environment.”
Infrastructure also features prominently in Budget 2025, with $213 million for the Major Projects Office to coordinate public and private investment and a new $5 billion Trade Diversification Fund to strengthen Canada’s export corridors. With nearly 70% of Canadian grain exported, efficient port infrastructure remains vital to keeping products moving to global markets on time and competitively.
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