P.E.I.'s 2024 farm income hike bucked national trend, but federation says all is not rosy

For Soleil Hutchinson, 2024 was quite a successful season.

The co-owner of Soleil's Farm in the central P.E.I. community of Bonshaw said the warm spring allowed the mixed vegetable farm to start planting earlier than usual. The weather stayed favourable throughout the summer, and there were no major storms to disrupt the season.

On top of that, she said demand was strong for the produce the farm supplies to retail stores, restaurants and directly to Island consumers.

With a strong harvest and high demand, the farm earned more money in 2024 than the year before, Hutchinson said.

"2024 was a much better year than 2023 for Soleil's Farm," she told CBC News.

New preliminary data from Statistics Canada suggests Hutchinson's experience is not unique on P.E.I.

Realized net income for Canadian farmers — the difference between a farmer's cash receipts and operating expenses, minus depreciation, plus income in kind — dropped by $3.3 billion nationwide to $9.4 billion in 2024, a decline of more than 25 per cent. This was the largest percentage decrease in realized net income since 2018.

However, realized net income actually increased in P.E.I. and Nova Scotia. On the Island, it rose to $105.9 million, up 1.7 per cent from the previous year.

But while the latest Statistics Canada numbers may appear positive, the P.E.I. Federation of Agriculture says they don't tell the whole story. The reality is that many P.E.I. farmers struggled with significant challenges over the past year, according to executive director Donald Killorn.

Killorn said P.E.I. bucked the national trend when it comes to farm incomes partly because the Island has a strong agricultural sector and continues to invest in it.

"Generally, we're moving in the right direction," he said. "Prince Edward Island has made solid investments in agriculture, and we have a solid industry, and we're insulated somewhat from that."

The province's agriculture industry is relatively small, but Killorn said it remains highly effective and has a lot to be proud of, from its strong potato sector and the Island-owned dairy processor ADL to Atlantic Beef Products — Atlantic Canada's only federally inspected beef processing plant.

However, Killorn said P.E.I. farmers still face growing pressures, particularly when it comes to the rising cost of fertilizer, fuel and other essential supplies.

"Access to these inputs is becoming difficult to assure, so with supply and demand — I mean, it just continues to rise," he said.