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The value of Canadian farmland continued its steady rise in 2025, reinforcing the strength of the country’s agricultural sector—even as economic pressures persist.

According to the latest report from Farm Credit Canada (FCC), the average value of farmland increased by 9.3 per cent nationwide over the past year. Much of that growth was driven by the Prairie provinces, with Manitoba leading the way at 12.2 per cent, followed by Alberta at 11.4 per cent and Saskatchewan at 9.4 per cent.

Atlantic Canada also saw notable gains, particularly in New Brunswick and Prince Edward Island, while growth in Ontario and Quebec slowed compared to previous years. British Columbia was the only province to record a decline, dropping 1.7 per cent, though it still maintains the highest average farmland values in the country.

Despite broader economic uncertainty—including trade tensions, high input costs, and fluctuating commodity prices—the farmland market has remained resilient. Demand continues to be supported by strong livestock prices, lower borrowing costs, and a limited supply of land available for sale.

“Demand for farmland remained robust, supported by long-term confidence in Canadian agriculture,” said J.P. Gervais, executive vice-president of ag production at FCC. “The ongoing uncertainties related to trade and tariffs… did not deter buyers’ interest in farmland.”

The steady rise in land values reflects more than just market activity—it underscores continued confidence in agriculture as a long-term investment. Farmers are expanding operations and making strategic land purchases, contributing to sustained price growth across cultivated, irrigated, and pastureland.

However, the upward trend also presents challenges. For new and younger farmers, higher land prices can create significant barriers to entry, making it increasingly difficult to establish a foothold in the industry.

Programs such as FCC’s Transition Loan aim to address this issue by helping new entrants access financing and navigate the costs of getting started in agriculture.

As farmland values continue to climb, the outlook for Canadian agriculture remains strong—but the balance between growth and accessibility will be key to the sector’s long-term sustainability.

For more information and insights, visit www.fcc-fac.ca/en/knowledge/economics.

Information for this article was sourced from Farm Credit Canada.