Canada’s agriculture industry has an opportunity to unlock billions of dollars in revenue from new markets and customers as it adjusts to a reimagined trading relationship with the U.S., says the head of Farm Credit Canada (FCC).
“We see an opportunity in terms of diversification of markets, and that opportunity has been quantified,” Justine Hendricks, president and CEO of FCC, told BNN Bloomberg on Thursday.
“If you take a look over and above the north-south trade, which we know and recognize is important to this industry, there is a $12 billion opportunity that overall is there for us to go and get.”
As a federal Crown corporation, FCC provides financing and advisory services to the agriculture industry, and reports to Canadians and Parliament through Canada’s Minister of Agriculture and Agri-Food.
Hendricks noted that many Canadian agriculture products can still flow into the U.S. tariff free but given the current uncertain and sometimes hostile relationship between Ottawa and Washington, the sector should be looking to diversify its customer base.
“So, there are some levers that the industry can lean on to also help navigate and frankly increase its diversification, which is an important tool as part of your risk mitigation,” she said.
Her comments came amid ongoing trade tensions between Canada and the U.S., one of a number of factors creating uncertainty for Canadian farmers.
Another is the cost of diesel fuel, which has reached historically high levels in recent months, shrinking Canadian farmers’ already-tight margins, as laid out in an FCC report released Wednesday.
“It’s not just diesel prices, right, there’s what’s going on with the U.S., climate is also a key factor, (as is) the overall cost of input,” said Hendricks.
“All of these elements have impact, and as a result of it, the environment that farmers and producers have to navigate has just become increasingly more complex.”
Industry resilience
Hendricks said the good news is that Canadian farmers, ranchers and producers are known for their agility and resilience in the face of uncertainty and change.
“And we’ve got evidence to show – from the growth of the industry, to what it continues to provide as gross domestic product (GDP) to Canada – that it is continuing to thrive despite some of this complexity,” she said.
Last year, Canada’s agriculture and agri-food industry generated $158 billion, or around seven per cent, of Canada’s total GDP, according to government figures. The sector employed approximately 2.3 million people in 2025, accounting for one in nine jobs across the country.
In addition to diversifying its market access, Canadian agriculture should be focusing on increasing investment in innovation to drive growth going forward, Hendricks argued, noting that Canada lags behind many of its peers in that area.
“That is one of the reasons why 18 months ago FCC stood up a capital division to respond directly to that gap,” she said, adding that since the division was launched, FCC has deployed over half a billion dollars towards funding innovation in Canadian food and agriculture.
“We do feel that there is capital available, and certainly FCC has a role to play there, and that is why we’ve stood up and put our money where our mouth is so to speak to be able to play an active role and we’re starting to see some results.”
