Top 3 disruptors of 2020 and their impact on Canada’s ag and food sectors

Climate change, protectionism and automation are three forces Bloomberg identifies as major disruptors to the global economic outlook. They’re also among the biggest trends for Canadian agri-food supply chains to watch in 2020. With the potential to both promote and inhibit growth, these forces will shift the profitability of Canadian businesses. 

 

Climate change and protectionism shift ag production and profitability

 

According to a recent climate change report, Canada is warming at twice the rate as the rest of the world. That’s the long-term forecast. But while forecasts for Canada in 2020 vary, partly due to the challenge of forecasting precipitation, it’s safe to say that both weather and trade disruptions have recently increased volatility of Canadian ag production. Canada's 2019 production of canola, corn and soy fell year-over-year, as a result of either challenged growing conditions or protectionism (or both) that resulted in fewer seeded acres. 

 

In 2020, these are the production and trade risks that will still be present for Canadian agri-food businesses. They’re significant because they’re global. 

Major global co-occurring heat events are becoming more likely. These hold the potential to re-charge global food insecurity and boost import-dependent countries’ efforts to stockpile ag and food commodities. We may see more intense bidding for available crops. Uneven global growing conditions can raise input costs for Canada’s food processors who import ag commodities or semi-processed food products. 

Video: Evolution of Beef Cattle Farming

The Clear Conversations podcast took to the road for a special episode recorded in Nashville during CattleCon, bringing listeners straight into the heart of the cattle industry. Host Tracy Sellers welcomed rancher Steve Wooten of Beatty Canyon Ranch in Colorado for a wide-ranging discussion that blended family history and sustainability, particularly as it relates to the future of beef production.

Sustainability emerged as a central theme of the conversation, a word that Wooten acknowledges can mean very different things depending on who you ask. For him, sustainability starts with the soil. Healthy soil produces healthy grass, which supports efficient cattle capable of producing year after year with minimal external inputs. It’s an approach that equally considers vegetation, animal efficiency, and long-term profitability.

That philosophy aligned naturally with Wooten’s involvement in the U.S. Roundtable for Sustainable Beef, where he served as a representative for the Colorado Cattlemen’s Association. The roundtable brings together the entire beef supply chain—from producers to retailers—along with universities, NGOs, and allied industries. Its goal is not regulation, Wooten emphasized, but collaboration, shared learning, and continuous improvement.