Canada Regenerative Agriculture Market, By Practice (Holistic Planned Grazing, Agroforestry, Pasture Cropping, Silvopasture, Agroecology, Aquaculture, Others), By Application (Biodiversity, Nutrient Cycling, Carbon Sequestration, Others), By Region, Competition, Opportunity, and Forecast, 2018-2028

Canada Regenerative Agriculture market is anticipated to grow significantly through 2028, due to The demand for quality food and food products is on the rise, while the need to reduce carbon emissions and enhance soil health and water cycles is on the rise. Government support for regenerative agricultural practices is also on the rise, as is the incidence of soil erosion and increased consumer awareness of the advantages of regenerative agriculture.

In 2018, the total value of the crops exported to the United States by Canada was estimated to be USD 34 billion, which is 35% of overall agricultural export.

In budget 2021, the government announced the “On-Farm Climate Action Fund”, an initiative to help farmers tackle climate change by providing them incentives and subsidies.

Growing Consumer Awareness About the Benefits of Regenerative Agriculture is Driving the Canada Regenerative Agriculture Market Growth

General Mills Inc. is planning to reduce greenhouse gas emissions by 30% across their overall value chain and increase their regenerative agriculture farmland to 1 million acres, by 2030.

The growing consumer awareness about the benefits of regenerative agriculture allows farmers to command premium prices for their products. Consumers are often willing to pay a higher price for agricultural products that are produced sustainably, support soil health, and contribute to climate change mitigation. This premium pricing incentivizes farmers to adopt regenerative practices, contributing to the growth of the market. Consumer awareness about regenerative agriculture can influence supply chains, including retailers, restaurants, and food companies. These businesses respond to consumer demands by sourcing regeneratively produced ingredients or products and incorporating them into their offerings. This cascading effect amplifies the growth of the regenerative agriculture market as more players in the supply chain recognize the importance of meeting consumer preferences.

Programs like The Knowledge and Technology Transfer Program (KTTP) are providing funding up to USD 16,500, to help increase innovation and resiliency as they compete with the international market.

Increasing Incidences of Soil Erosion are a Driving Force Behind the Expansion of Canada Regenerative Agriculture Market

Soil erosion is often a result of unsustainable land management practices, such as intensive tillage, monocropping, and inadequate soil cover. Regenerative agriculture emphasizes sustainable land management techniques like conservation tillage, cover cropping, and diverse crop rotations. These practices help protect the soil from erosion, enhancing its resilience and long-term productivity. Increasing incidences of soil erosion drive the need for sustainable land management, thereby expanding the Canada regenerative agriculture market.

In Canada, almost 193,500 farms are operating and 2/3 of farms are located in Ontario, Alberta, and Saskatchewan

Soil erosion exacerbates the effects of climate change by reducing the soil's ability to retain water and sequester carbon. Regenerative agricultural practices improve the water-holding capacity of soil, increase the rate of soil infiltration, and increase the organic matter content, thereby contributing to the resilience to climate change.. As the frequency and intensity of extreme weather events, such as heavy rainfall and drought, increase due to climate change, the importance of mitigating soil erosion through regenerative practices become more evident. This factor drives the expansion of Canada regenerative agriculture market in the forecasted period.

Ministry of Agriculture and Agri-Food announced that the federal government is funding up to USD 182.7 million for 12 recipient organizations such as ALUS Canada, B.C. Investment Agriculture Foundation, Canadian Forage and Grassland Association, Canola Council of Canada, ECOCERT Canada, to deliver the On-Farm Climate Action Fund across Canada and support farmers in their efforts to tackle climate change

Increasing consumer awareness about the environmental impacts of conventional agriculture, including soil erosion, drives market demand for sustainably produced food. Consumers are actively seeking products grown using regenerative practices that prioritize soil health and conservation. This demand motivates farmers to adopt regenerative agriculture and cater to the growing market, further fueling the expansion of the regenerative agriculture market. Hence, increasing incidences of soil erosion create a sense of urgency to address soil degradation and promote sustainable land management practices such as regenerative agriculture.

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