The Business of Farming

Introduction Agriculture contributes more than $11 billion to the economy About 1 job in 5 is related to agricultural sector of the economy Agriculture is important because it is a result of the export of grains and vegetable oil products from the Prairies

Introduction In the 1850’s, Canadians spent about 25% of their income on food; today they spend only about 11% on food, including meals eaten outside the home

Land: The Basic Resource Land is a renewable resource, in the sense that, if properly used, it can support new crops year after year Land can also be classified as a non-renewable resource because, there is a limted amount of it available - especially land that is suitable for farming

Land: The Basic Resource In the 60’s and 70’s the government surveyed most of the land of southern Canada and divided it into seven classes

Class 1: deep soils, no climatic or land limitations - excellent for farming (0.5%) Class 2: good farmland - no serious climatic or land limitations (1.8%) Class 3: good farmland, but some climatic or land limitations that make some farming activities impossible (2.7%) Class 4: land is at the “break-even” point for commercial agriculture because of a short growing season, poor soil conditions, or other significant limitations (2.7%) Class 5: serious limitations for agriculture - short growing season, hilly, thin soil, poor drainage - land may be used for grazing, hay (3.7%) Class 6: similar to class 5, but limitations are more severe. Can be used for grazing; crops cannot grow successfully (1.8%) Class 7: no capability for farming or was not classified (86.8%)

Land: The Basic Resource Canada has a total land area of approximately 921 500 000 ha - huge amount of land, but only 13% of this area is suitable for any form of agriculture Canada is the second largest country in the world, but much of the land has been used up or is threatened by urban development

Types of Farming The type of farming that takes place in a particular region is determined by natural and economic factors

Types of Farming Natural Factors Soil The amount of precipitation Length of the growing season

Types of Farming Economic Factors Cost of land - if farmland is expensive, high value agricultural goods will need to be produced Transportation Costs - if close to its markets - vegetables and milk can be produced - if a farm is far from its markets, less perishable crops such as grain or cheese Competition - if there is an oversupply of products, prices will drop and reduce farm incomes

Types of Farming Two types of farming: Intensive Farming Extensive Farming

Types of Farming Intensive Farming Common to densely populated areas (Ontario and Quebec) Farms tend to be small, but require large investments in labour and machinery to produce high profits Commonly used for producing fruits, vegetable, dairy, poultry, and hogs Many of the products are perishable and need to be processed or transported to markets quickly

Types of Farming Extensive Farming Usually done in areas where population density is low Land is plentiful and less expensive Farms tend to be large Highly mechanized and requires few workers Common in the Prairie provinces and parts located away from major cities Cattle farming and ranching, grain and oil seed growing Products are usually less perishable or processed quickly

Agricultural Issues Today In the 1880’s, 80% of the Canadian families farmed the land Today with the increase of modern equipment and mechanization, the size of farms declined in numbers Why the decline?

Agricultural Issues Today Why the Decline? Irregular hours Children of farmers seek other opportunities Once retired, who will buy their farms Few young people can afford the capital cost of buying a farm Start up costs are very high Annual costs are high - veterinary, pesticides, equipment, vehicle repairs, seeds etc. Debt or bankruptcy may result if prices of arm products do not increase faster than their cost of production Damage of land

Damaging the Land Damage to the land occurs in three ways: Poor farming Erosion Contamination

Damaging the Land Poor Farming Damage occurs because of heavy leaching - soil loses nutrients because of excessive irigation Repeated use of heavy equipment - compacts the soil and loses its ability to absort water Unplowed land - chemicals used to control weeds

Damaging the Land Erosion Heavy wind and water action erodes the soil away - blows the topsoil away Contamination The use of fertilizers, herbicides and pesticides Herbicides can be harmful to wildlife and humans Pesticides will kill insects that destroy fruit, vegetables and grains etc. but also kill many successful species of insects

Sustainable Agriculture Sustainable agriculture - refers to agricultural production that can be maintained without harming the environment

Sustainable Agriculture The following solutions can be sought in maintaining and sustaining agriculture: Lightweight tires that do not damage wet soil A variety of farming methods that are use natural fertilizers Proper cultivation practices