Canadian farmers see rising risk and weaker finances heading into 2026: Sentiment Index

"Three-quarters of respondents said they perceive more risk heading into 2026 than last year, continuing a multi-year trend driven by agronomic, financial, and geopolitical pressures. While risk perceptions remain elevated, some sentiment indicators showed modest improvement compared to late 2025. Current farm financial performance remains below neutral, though it rebounded slightly from October. The index rose to 78, up from a low of 64, suggesting conditions are still challenging but less negative than earlier in the year."

"A more concerning signal emerged when farmers assessed their financial position today: only 37 per cent rated their situation as good or excellent, down sharply from 60 per cent last spring. This decline is largely driven by crop producers facing softer commodity prices and persistently high input costs, while livestock operations report stronger financial health. Despite financial pressure, access to capital remains relatively stable. Eighty-two per cent of respondents said they are unlikely to face major challenges securing financing for the upcoming season,"

More than 570 producers responded in January, marking the 16th iteration of the survey since 2022. Three-quarters of respondents perceive more risk heading into 2026 than last year, driven by agronomic, financial and geopolitical pressures. Overall financial performance remains below neutral but improved from October, with the index rising to 78 from a low of 64. One-year financial expectations improved marginally yet stayed pessimistic. Only 37 per cent rated their current financial position as good or excellent, down from 60 per cent. Crop producers face softer commodity prices and high input costs, while livestock operations report stronger financial health. Eighty-two per cent expect stable access to financing.

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