Rising fuel and fertilizer costs, an uncertain future for Canada's beleaguered dairy industry and even Donald Trump could all be top of mind this week as more than 100 farmers gather for their annual spring conference in Thunder Bay.
Fuel costs — which have taken a hit during the ongoing conflict between Iran, the U.S. and Israel — figure predominantly in the price of food, since farmers depend on it for a wide range of farm equipment.
"It's already been going up, and now it looks like it's set to skyrocket," Andrew Brekveld, president of the Thunder Bay Soil & Crop Improvement Association, said on Monday.
The three-day conference organized by the association, which kicks off tonight at Fort William Historical Park, is a chance for area farmers to swap stories and hear a variety of agricultural experts expound on everything from grain and livestock to farm finances.
Brekveld, who operates a Murillo dairy farm, said the U.S. president's determination to have Canadian consumers buy more American milk will likely garner some informal discussion, even though Trump is not officially on the conference agenda.
"I wouldn't say it's doomsday just yet, but there's some very careful speculation going on," said Brekveld on what could happen to this country's dairy supply-side management system as Canada-U.S. trade talks loom.
Brekveld noted that Trump's other preoccupation — tariffs — has taken a toll on American producers. So much so, that in December, the U.S. government announced $12 billion for American farmers roiled by market uncertainty.
"There is a lot of grain inventory (in the U.S.) and a huge meat shortage," Brekveld said. By contrast, he said, "our cattle markets are strong."
Canada's supply-side management creates certainty for Canadian dairy farmers by giving them a fixed price for their milk. But it has been criticized for causing higher prices at the supermarket.
If, as a result of trade negotiations, Canada is required to import more American milk, it could be less expensive.
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