Understanding Canadian farmland rental rates: FCC analysis

Apr 25, 2023

Farm Credit Canada (FCC) has released an analysis of the rent-to-price ratio for cultivated farmland in Canada. The rent-to-price ratio is obtained by crossing cash rental rates and the Farmland Values Report data. A ratio trending lower suggests that cash rental rates are appreciating at a slower pace than land values. Conversely, an increase in the ratio indicates that rental rates are increasing faster than land values. This information can help producers make decisions around buying versus renting land.

The national rent-to-price ratio in 2022 was 2.55 per cent, compared to 2.5 per cent in 2021. In Saskatchewan and Alberta, there were slight year-over-year increases. The RP ratio increased to 3.1 per cent and 2.6 per cent respectively, while all other provinces saw decreases.

“There are several economic conditions that impact the cost of renting land in Canada. Land values, the availability of land and its quality can all drive the price to rent,” explains J.P. Gervais, FCC’s chief economist.

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Video: Understanding Nitrogen Loss Through Denitrification

Denitrification is one of the three main pathways for nitrogen loss, but what is it really, and how much nitrogen do we stand to lose?

In this episode, Lyle Cowell is joined by Dr. Erin Daly from the University of Guelph to break down denitrification and the conditions that drive nitrogen loss in the soil. They explore how nitrogen can be lost as nitrous oxide and nitrogen gas, what conditions drive losses and when they are most likely to occur.

Erin also shares how CanN2ONet, a national research network, is helping us better understand nitrous oxide emissions across Canada. From field towers that measure emissions to research into regionally tailored best management practices, discover how the network is working to help growers improve nitrogen use efficiency and help reduce nitrogen losses across the country.