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Find Opportunites > Canada Trends > Canadian farms increasing investment in purchasing
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Canadian farms increasing investment in purchasing agricultural machinery
Release time:2024-01-26
:108

The Toronto Star recently reported that a research report from a local business school shows that the number of large farms in Canada is constantly increasing, and the farmers of these large farms are increasingly willing to invest or purchase more farming machinery, agricultural equipment, farm land and other assets to expand their farm scale.


 
According to the report, Tusha Global learned that the proportion of investment in agricultural machinery and equipment, farm land, and other assets in large farms is higher than that in small farms.
 
A study found that in 2009, 75% of farms with revenue between $500000 and $2.5 million invested in agricultural machinery, equipment, and land assets; 84% of farms with revenue exceeding $2.5 million invested in the aforementioned assets; Only 67% of farms with revenue between $250000 and $500000 will invest in these assets; Only 56% of farms with a turnover of $100000 to $250000 will invest in these assets.
 
In 2009, during the international financial crisis and a year of economic recession in Canada, the country's total farm investment exceeded $11.4 billion, and net operating income increased by 3.3 times. Although the data for this study is only from 2009, the researchers revealed in an interview that during the financial crisis, Canada's agriculture was not significantly impacted and its investment trend grew significantly.
 
Tushe Global understands that Canada, like China, is a major agricultural country. The basic unit of agricultural production in Canada is farms. Currently, the total number of farms in the country is about 254000, with an average farm size of over 300 hectares.
 
In recent years, there has been a gradual expansion trend in the scale of Canadian farms. In terms of conservation tillage equipment system, due to the large scale of farm land operation, the farming equipment is mainly large, and the power machinery is mostly 220.59-367.65 kW tractors. Generally, each farm is equipped with a large harvester, a no tillage planter, and a spray. The operating width of the no till planter is mostly between 15-18 meters, and the operating efficiency reaches 25 hm/h. The price of each no till planter is about 250000 US dollars, and the investment in agricultural machinery for one farm is about 1 million US dollars or more.
 

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