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Canadians Sure Like Farmers

Canadians are feeling pretty good about farmers these days.
 
Grassroots public affairs just put out its third annual survey. It shows a whopping 91 percent of respondents are very or somewhat confident in the safety of food grown or produced in this country. Nearly that same amount, 86 percent endorse increased government support for the ag sector.
 
Senior consultant, Peter Seemann said overall support dropped a bit from last year's report but he has a theory about that. "When COVID first started impacting Canadians, we saw something none of us probably have seen in our lifetime and that was periodic shortages of certain items in stores.  A lot of concern around food security and whether or not stores were going to remain fully stocked, that is something Canadian hadn't faced in generations.  As a result there was a lot of talk and conversation around the agriculture industry, a lot of talk around workers and the inability for farmers and processors to have the necessary help to produce the food that they do.  There was a lot more awareness a year ago. To the credit of the industry and maybe in some cases governments collaborating and assisting, where possible, those concerns have largely been dealt with respects to Canadians concerns day to day."
 
In the same survey Canadians are not as likely as last year to recommend people enter the ag industry.  Seemann shares that seeing 70 per cent of people in Canada have never been on a farm and the industry has not shown the diversity of careers in agriculture, he is not surprised.  He also shares that the industry must do a better job at highlighting the many different careers available.
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U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again

Video: U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again


The market was hoping for a US-China trade deal, but we got a trade “truce” for now from the keenly awaited Trump-Xi meeting at the APEC Summit.
China commits to minimum purchase commitments of 12 MMT of U.S. soybeans during the “current season” and a minimum of 25 MMT annually through 2028.
U.S. Treasury Sec Bessent said other Asian countries have agreed to buy additional 19 MMT of US soybean.
Soybean futures trading above $11 now- they normally tend to rally to $12.
As expected, US Fed cuts interest rates by -0.25% again in October to 3.75%–4.00%. No further cuts promised for this year but trade looking out to the Dec FOMC.
The Bank of Canada cut interest rates to 2.25% but raised concern over trade war damage.
Soy meal futures, remarkably, have had 14 consecutive higher close sessions. A bull market in soybeans is a bull market in soy meal!
Cattle futures lower as funds unwind out of cattle for now due to Trump headlines and objective to lower beef prices.
All major stock indices climb to new record highs. It was Mag 7 reporting week, which had mixed results. But we now have the first $5 trillion company in Nvidia!