Farmers’ Share of Food Dollar Still Shrinking: APAS Study

Canadian farmers are receiving a smaller share of the money consumers spend on food even as grocery prices remain elevated, according to a new report from the Agricultural Producers Association of Saskatchewan (APAS). 

Released Tuesday, the organization’s 2026 Farmers and Food Prices Report examines the relationship between farm-level commodity values and retail prices for a range of common food products. Now in its fourth year, the study found that movements in commodity prices are not directly responsible for rising grocery bills. 

“Our data continues to show a consistent story — food prices are rising, but the farmer’s share is actually shrinking,” APAS President Bill Prybylski said in a release. 

For more than half of the products examined, the portion of the retail food dollar returned to producers declined during 2025, even as consumers continued to face high prices at grocery stores. 

APAS said the findings point to a growing disconnect between prices paid at the checkout and the returns received at the farm gate. 

“Food inflation is a complex issue, but what’s clear is that producers and consumers are not on opposite sides,” Prybylski said. “Both are being impacted by a supply chain that lacks transparency.” 

Farmers continue to face higher costs for fuel, fertilizer, and other essential inputs. At the same time, the prices they receive for commodities remain volatile and are largely determined by global markets, the release said. 

Unlike some other participants in the food supply chain, producers generally cannot set their own prices or automatically pass rising costs on to customers, APAS said. 

The organization is calling for greater transparency to identify where costs are accumulating between farms and grocery stores, as well as which parts of the supply chain are benefiting. 

APAS welcomed the federal government’s recently released National Food Security Strategy, particularly its focus on supply chains and market power. 

“For years, we’ve been calling for greater insight into what’s happening between the farm gate and the consumer,” Prybylski added. “The federal government’s commitment to examine supply chains and pricing is a positive step toward bringing more transparency.”