Why Trade, Innovation and Risk Management Are at the Core of AAFC’s 2025–26 Plan

Your 2025–26 Departmental Plan highlights trade, innovation, and risk management as your three core priorities. Why were these areas chosen and how do they make a difference for farmers? 

The AAFC 2025-26 Departmental Plan highlights trade, innovation, and risk management as three main priorities because these areas address the most immediate pressures and long-term opportunities facing Canadian agriculture.   

Expanding and diversifying markets helps farmers stay competitive and resilient in a global environment where trade relationships are shifting and evolving. Investing in science research and innovation supports producers with the tools they need to adapt to climate change, improve productivity, and adopt sustainable practices. Strengthening sector risk management programs ensures farmers can better navigate income volatility, extreme weather, and supply chain disruptions—challenges that have grown more pronounced in recent years.   

Together, these priorities reflect the need to support the sector’s economic growth while building resilience. What truly matters for farmers is being equipped to capitalize on new opportunities, helping secure the long-term viability of Canada’s agriculture and agri-food sector in Canada and around the world. 

What new research or practical farm practices is your ministry supporting to help producers increase productivity, adopt modern techniques, and adapt to a changing climate? 

AAFC supports producers through applied research and innovation. Our scientists are involved in over 600 projects, more than three-quarters in partnership with industry, focused on delivering practical, science-based solutions that improve productivity, profitability, and sustainability.   

This work spans many areas including developing new crop varieties that can thrive in current and predicted environmental conditions, developing new techniques to manage pests, advancing disease resistance through genomic research and field trials, and creating digital tools to help producers optimize inputs and reduce costs. These solutions aim to help farmers increase profitability through improved yields, reduced input costs, and access to innovative technologies, while also supporting practices that enhance climate resilience, protect soil and water resources, and strengthen the long-term stability of Canada’s agricultural economy.  

Beyond in-house science, AAFC funds programs that accelerate adoption of climate-smart practices. The Agricultural Clean Technology Program supports clean energy, precision agriculture, and bioeconomy solutions, while the On-Farm Climate Action Fund (OFCAF) promotes nitrogen management, cover cropping, and rotational grazing. Since 2022, OFCAF has supported over 7,500 farmers managing 2.4 million hectares and trained 3,000 agrologists and 27,000 producers. These efforts advance Canada’s goal of reducing emissions 45–50% below 2005 levels by 2035.  

Farmers face many uncertainties, from fluctuating markets to unpredictable weather. What programs or tools is your ministry providing to help them manage these risks and stay resilient?

Producers have access to a suite of Business Risk Management (BRM) programs to help them manage significant risks that threaten the viability of their farms and are beyond their capacity to manage. The suite includes the core programs of AgriInsurance, AgriStability and AgriInvest.  

The BRM suite also includes the AgriRecovery framework which allows federal, provincial and territorial governments to evaluate the impacts of natural disasters on producers and implement initiatives when needed.   

AgriStability protects Canadian producers against large declines in farming income for reasons such as production loss, increased costs and market conditions. Budget 2025 announced $109.2 million in 2025-26 to increase the compensation rate from 80% to 90%, and the maximum payment limit has been increased from $3 million to $6 million. These changes are meant to help producers manage the risks they face and cope with large declines in farming income due to increased costs, adverse market conditions, and other challenges.     

You recently completed your first mission to China and your government announced a $75 million increase in AgriMarketing funding. How do these efforts help Canadian producers, including smaller operations, reach new markets?

The Government of Canada is working to expand opportunities for Canadian producers by investing in key programs and deepening engagement with trading partners. We’re investing an additional $75 million in the AgriMarketing Program over 5 years, starting in 2026-27, to increase the capacity of agricultural and seafood producers to identify and seize market development opportunities across Canada and around the world. The additional support will help sectors expand into high-growth areas such as Africa, the Middle East, and the Indo-Pacific, shifting the focus of the program beyond traditional trade partners. This expansion aims to support both national industry groups and small-to-medium sized enterprises, particularly in those sectors most affected by trade barriers, like canola, to seek and be competitive in new markets, but all sectors are eligible for funding.  

Canada’s relationship with China is long-standing and China remains an important commercial market for Canadian businesses. My first visit there as Minister of Agriculture and Agri-Food was both productive and vital to the strengthening of our countries’ partnership. While there, I met with Sun Meijun, the Minister of the General Administration of Customs of the People’s Republic of China (GACC), and we agreed to renew the Memorandum of Understanding between the Canadian Food Inspection Agency (CFIA) and the GACC and to strengthen technical collaboration. I also highlighted the importance of restoring market access for Canadian agricultural products in China.   

In Qingdao, I visited the Canada Pavilion at the China Fisheries and Seafood Expo (CFSE), where 36 Canadian exhibitors showcased 50 different fish and seafood products under the Canada Brand. Exhibitors reported $40.8 million in on-site sales and an additional $100.6 million in anticipated sales over the next 12 months as a direct result of their participation at the event. The Canada Brand helps Canadian exporters differentiate their products in a saturated global marketplace by leveraging unified branding and consistent messaging at various promotional events around the world. In addition, Canada Brand members have free access to a suite of marketing tools, helping businesses showcase their Canadian identity and strengthen their international marketing efforts  

These efforts, among others, will help Canadian exporters of all sizes secure more opportunities globally and succeed long-term.    

Looking ahead, how are you balancing trade growth with sustainability and what programs or projects are you focusing on to shape the future of Canada’s agriculture and agri-food sector? 

Canada is committed to growing trade while advancing sustainability. Managed effectively, trade boosts agricultural resiliency by improving global productivity and resource use. Trade-facilitative approaches help meet climate goals, address food security, and maintain the competitiveness of farmers and food manufacturers. Canada also fosters innovation through research, development, adoption, and trade of new products and practices. Combined with on-farm measures that improve soil health, sustainable water management, and biodiversity, these efforts strengthen productivity and sustainability.  

The $3.5 billion federal-provincial-territorial Sustainable Canadian Agricultural Partnership, supports innovation, clean technology, and climate-smart practices to strengthen competitiveness and resiliency.   

Programs such as AgriScience fund pre-commercial science activities and research, while AgriInnovate supports the targeted commercialization, demonstration, and adoption of commercial-ready innovative technologies and processes. AgriMarketing helps Canadian producers access new markets and showcases our high standards for quality and sustainability.  

Federal on-farm climate action initiatives, such as Agriculture Climate Solutions On-Farm Climate Action Fund (OFCAF), promote practices like cover cropping, rotational grazing, and nitrogen management, and the Agricultural Clean Technology Program (ACT) helps reduce emissions and improve energy efficiency by supporting the development and adoption of clean technologies. Together, these mark an ambitious path forward and positions Canada’s agriculture and agri-food sector for continued success in advancing economically, environmentally, and socially sustainable agriculture.