Canola and a thriving economy
The spirit of innovation and pioneering of Canadian scientists that led to the first canola variety being released in the 1970s lives on.
The continued investment in innovative varieties and management techniques have accelerated the growth of canola to become our country’s most valuable crop.
Canola drives Canada’s economic engine, creating revenue, employment and investments that ripple through the economy as canola is developed, grown, processed and marketed to customers around the world.
Total impact on the Canadian economy
Annual averages for the period 2020/21-2022/23, including direct, indirect and induced impacts
Sustainable jobs and growth for Canadians
Stable, good-paying jobs
Canola provides strong, stable and sustainable jobs for Canadians.
Many Canadians may not be aware that part of their livelihood is linked to agriculture, but canola is stimulating the growth of jobs and opportunities for thousands across the country.
The business of growing canola is much bigger than the farmers who plant, nurture and harvest the crop. Canola growers are supported by the leading-edge researchers and companies that provide seed genetics, equipment, fertilizers, crop protection products, accounting services, business management advice and marketing services.
And as wages from these jobs are spent, the effects stimulate an even wider variety of industries and sectors from real estate to manufacturing to arts and entertainment. This creates opportunity for all Canadians, including those who are far away from the farm or the Prairies.
In total, the canola sector supports employment for 206,000 Canadians across the country – that’s nearly the entire population of St. John’s, Newfoundland – in a wide range of jobs including research, farming, transport, grain elevation, processing and refining, and ports for overseas export.
The canola industry doesn’t just employ a lot of Canadians – it pays them well. These jobs create an average of $16.3 billion in wages for Canadian each year. Over the past 10 years, the total wage impact of the canola sector has increased by more than 80%.
Creating economic impact at every stage
Billions of dollars injected into the Canadian economy
Canola contributes an average of $43.7 billion to the Canadian economy per year1. Over the last decade, canola’s contribution has more than doubled, representing $30.5 billion more injected into the Canadian economy.
Continued commitment to innovation & productivity
Two of the biggest reasons why the canola sector has been able to steadily increase its contribution to the Canadian economy are innovation and a focus on increasing productivity, and these commitments continue to drive our industry today.
More gains in yield
Canola seed innovation, including herbicide tolerance and hybrid canola, has a strong history in providing significant yield potential to canola growers and the value chain.
Our 2025 strategic plan’s target to increase canola yields will come from capturing the full potential of continued genetic advances with the right agronomy.
Based on yield trends in canola variety registration trials, we expect to see more gains in the canola seed’s yield potential – an increase of eight bushels per acre from genetics alone.
Investing in R&D
Innovation has been so important to improving both the science and economics of canola production that growers, industry and the federal government have partnered on serious investments in research programs that will help canola continue to advance.
More than $17 million will be invested through the Canola AgriScience Cluster research program from 2023 to 2028, funded by Agriculture and Agri-Food Canada, provincial grower groups and industry.
Life science companies also re-invest approximately 10% of gross sales into research and development to provide canola growers with innovative products that will contribute to further advancements in yield, and help keep the canola sector healthy and viable for years to come.
Number one source of farm crop revenue
Accounting for about one quarter of all crop revenue in Canada, canola is the number-one source of farm revenue for crops—and over the past 20 years, that revenue has been on the rise.
Canola’s crop revenue has risen from roughly $3 billion in the year 2000 to more than $13 billion in 2023.
Farm cash receipts
Strength in value added processing
The Canadian canola processing industry consists of 14 primary processing facilities owned by six companies, with a combined annual processing capacity of approximately 11 million tonnes of canola seed.
This is set to grow by another 6.7 million tonnes with five new canola processing investments announced in Canada since 2021. Combined, these investments are estimated at more than $2 billion.
According to the analysis mentioned above by GlobalData Plc, canola processing and refining alone contributes $8.2 billion to the Canadian economy annually, with a total employment impact of 8,700 jobs.
Once a processing plant is built, the surrounding community knows it will be a steady source of employment for many years to come. And farmers know that it will be a source of a steady demand for the canola they grow.
In addition to providing jobs and revenue to Canada’s economy, canola processors make a further impact on economic sustainability by investing their earnings back into their businesses, strengthening the industry for years to come.
Bolstering Canada’s ports to deliver to global markets
As one of Canada’s largest exporters with more than 90% of canola destined for global markets, the canola sector knows how vital it is for the country to have safe, modern, efficient and effective transportation infrastructure.
That’s why, over the past several years, Canadian grain companies (including G3, P&H and Viterra) have invested $1 billion in terminal facilities and upgrades at the Port of Vancouver, a substantial infrastructure investment that will help Canada bring all of its products to international markets.
