Saskatchewan led the way as national farmland values continued their steady climb higher in 2024.
Farm Credit Canada’s annual farmland values report on Tuesday showed the average value of cultivated Canadian farmland increased 9.3% this past year. That was down from the 11.5% average gain recorded in 2023 but remains higher than the five- and 10-year average gains of 8.6% and 9.1%, respectively. National farmland values have ticked higher every year since 1993.
On a provincial basis, average cultivated farmland values in Saskatchewan increased by 13.1% in 2024, the highest increase reported nationally. British Columbia recorded the second-largest increase at 11.3%. All other provinces posted growth in the single digits, including Alberta at 7.1%, Manitoba at 6.5%, and Ontario at 3.1%. B.C., Alberta and New Brunswick (+9%) were the only three provinces to have higher growth rates in 2024 versus 2023.
This past year’s increase in Saskatchewan farmland values follows gains of 15.7% increase in 2023 and a 14.2% in 2022. Saskatchewan is home to some of the lowest values on a per-acre basis – ranging from a low of about $1,400 to a high of $9,500/acre - and the province is also home to the largest number of cultivated acres in the country.
The most significant increases in Saskatchewan were observed in northern and central regions of the province, with the FCC report attributing some of that strength to good moisture and growing conditions this past year. The northwestern and northeastern regions of the province saw 2024 farmland value increases nearing 20% and 18%, respectively. In contrast, the southwest region experienced a much more modest 4.1% increase in cultivated land values.
“This region experienced a lack of moisture going into the winter and throughout the hot summer months, creating drought conditions that impacted land values,” the FCC report said of Saskatchewan’s southwest. “The increase seen here was primarily driven by the exchange of premium quality soil.”
The FCC report also showed the year-over-year increase in the average value of Saskatchewan irrigated and pastureland also led the country in 2024, climbing 25.8% and 8.9%.
In Alberta, the 7.1% increase in cultivated farmland values in 2024 was preceded by a 6.5% increase in 2023 and a 10% increase in 2022. The growth in northern region values was driven by large established producers expanding their operations, FCC said, while Peace values were buoyed by strong demand and few available listings. Farmland values in the province’s southern region were unchanged in 2024, with fewer sales taking place.
Farmland values in Alberta in 2024 ranged from a low of $1,400/acre in the central region to a high of $24,000 for irrigated land in the southern region.
This past year’s 6.5% increase in average farmland values in Manitoba was down from gains of 11.1% and 11.2% in 2023 and 2022.
The regions of Eastman and Parkland tied for the largest provincial growth at a rate of 9.7% in each. The increase in the Eastman region was driven by strong demand from grain, dairy and poultry operations, FCC said, while the Parkland region has historically had lower values of cultivated land “but continued to demonstrate stable to increasing prices.”
On the other end of the scale, the Central Plains-Pembina Valley region had slower growth in cultivated land values in 2024 at 3.4% versus 10.5% in 2023, although the minimum value per acre did see a bump year over year, moving from $2,800 to $3,400.
Cultivated per acre values in Manitoba ranged from a low of $1,600 in the Parkland region to $15,100 for irrigated land in the Westman and Central Plains-Pembina Valley region.
