| |
Agri-Food Statistics Update - Issue No: FI17-3
Collected from a variety of sources, the Statistics and Data Development Section monitors statistical indicators of agri-food activity for Alberta. The Agri-Food Statistics Update is designed to provide users with commentary on current issues, trends and new developments related to agriculture and the food and beverage processing industries. Up-to-date statistics are supplemented with informative charts and diagrams. To gauge Alberta’s performance, comparative data and information are often available for Canada and the provinces.
Following are definitions of terms used in this update:
Farm Cash Receipts measure the gross revenue of farm businesses, in current dollars. Revenues are generated either from sales of crops, livestock and livestock products (except inter-farm sales), or from direct program payments. Receipts are recorded when the money is paid to producers, and before producers pay any operating expenses.
Farm Operating Expenses represent business costs incurred by farm businesses for goods and services used in the production of agricultural commodities.
Net Cash Income (NCI) is defined as farm cash receipts minus farm operating expenses. It represents the amount of cash generated by the farm business that is available for debt repayment, investment or withdrawal by the owner.
Realized Net Income (RNI) is defined as the net cash income minus depreciation plus income-inkind. It represents the financial flows, both cash and non-cash, attributable to the farm business. RNI does not account for changes in stocks (i.e. value of inventory change for crops and livestock).
Total Net Income (TNI) measures the financial flows and stock changes of farm businesses (i.e. net cash income minus depreciation plus income-in-kind and value of inventory change). It represents the return to owner’s equity, unpaid labour, management and risk.
Note to Users: The contents of this document may not be used or reproduced without properly accrediting Alberta Agriculture and Forestry, Economics and Competitiveness Branch, Statistics and Data Development Section.
On November 24, 2017, Statistics Canada released its 2017 third quarter (January to September) farm cash receipts (FCR) estimates, as well as finalized 2016 farm income estimates for Canada and the provinces.
Key Messages
Farm Cash Receipts - January to September 2017
- In the third quarter (January to September) of 2017, Alberta’s total FCR was $10.9 billion, up 6.1 per cent from the first nine months of 2016. These receipts are also the highest third quarter FCR on record for the province.
- The increase in FCR was due to higher crop and livestock market receipts, and program payments to producers.
- Crop market receipts were up 8.8 per cent to $5.5 billion, driven mainly by increased marketings for some major crops.
- Livestock market receipts grew 3.3 per cent to $4.8 billion, the result of higher marketings.
- Program payments were up 4.8 per cent to $566.3 million, largely due to higher payments under AgriStability and compensation for animal losses.
Farm Income - January to December 2016
- Alberta’s total FCR in 2016 was $13.5 billion, down a marginal 0.7 per cent from 2015, and second highest on record.
- The province’s total farm operating expenses fell 3.0 per cent to $10.1 billion.
- Alberta’s net cash income (difference between total FCR and total expenses) was a record $3.4 billion ($3.2 billion in 2015). Adjusted for depreciation (a non-cash cost of $1.7 billion), the resulting realized net income (RNI) reached a new high of $1.7 billion ($1.5 billion in 2015). Total net income (RNI adjusted for inventory change) also jumped significantly to $2.3 billion ($1.2 billion in 2014), second highest on record.
For a complete copy of this update, please download the attached pdf. |
|