By Alice McFarlane

GGC says U.S. tariffs threaten family-run grain farms

Mar 4, 2025 | 11:07 AM

An organization that represents cereal growers said tariffs threaten the viability of family-run grain farms and drives up food costs for American consumers.

Grain Growers of Canada (GGC) said the United States has imposed 25 per cent tariffs on Canadian grain and grain products.

GGC Executive Director Kyle Larkin said tariffs of this magnitude will put family-run grain farms at risk by introducing widespread market uncertainty.

“The U.S. is by far our largest trading partner, with over $17 billion CAD of Canadian grain and grain products exported to every year. These unjustified tariffs threaten that trade relationship—and farmers’ livelihoods,” Larkin said.

Canada exports over 70 per cent of the grain it produces to over 150 countries around the world. The prices Canadian farmers receive for crops such as wheat, canola, oats, barley, and pulses are tied to international markets. Disruptions to trade networks drive down farmgate prices, making it harder for growers to stay afloat.

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Larkin said margins are already razor-thin for farmers and an added financial burden could put the future of many family farms in jeopardy.

“Canadian family-run grain farms are already facing death by a thousand cuts through increased input costs, regulatory burdens, and taxation,” d Larkin said. “Uncertainty with our largest trading partner for grain and grain products, on top of ongoing instability with our second-largest trading partner, China, could push many family farms to the brink.”

The importation of $17 billion CAD worth of Canadian grain and grain products supports the United States in being able to meet their own domestic food security needs, while also supporting their agri-food sector in exporting products internationally for the best price possible.

Larkin said the tariff is in effect a 25 per cent tax on American consumers who purchase groceries every day.

“From bread and pasta to beer, oatmeal, and canola oil, dozens of products could see price increases amid an affordability crisis for both American and Canadian consumers,” he said.

GGC is calling on the Canadian government to take action to eliminate these recently imposed tariffs. Without their elimination, farmers will face vast uncertainty, and consumers will see a spike in their grocery costs.

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alice.mcfarlane@pattisonmedia.com

On X: @farmnewsNOW