Hort Stat #42 is 470,000 (TFWs in Canada)
Bruce Warkentin, CPA, CA, CBV
National Leader of Horticulture and Irrigation #mnpisgrowing
As MNP's Leader for Horticulture and Irrigation, welcome to my series on important economic facts for the Canadian horticulture industry.
The horticulture industry across Canada relies heavily on Temporary Foreign Workers ("TFW"). Statistics Canada reported that there were 340,000 work permits for TFWs in 2017; 390,000 in 2018; and 470,000 in 2019. These numbers are pre-COVID but show the significant reliance of the industry on TFWs. Statistics Canada estimated that this represents almost 3% of total employment in Canada.
Regulations related to TFWs have been changing significantly during COVID which has left horticulture producers scrambling to meet them or find alternatives. Both of these have increased the cost of labor and further added to food inflation in Canada. The agricultural industry has the most significant proportion of TFWs with 27% being employed in this industry. Further facts reported by Statistics Canada showed that?TFWs accounted for 42% of the agricultural workers in Ontario, and over 30% of the agricultural workers in Quebec, British Columbia and Nova Scotia.
These factors show why the impact of changes to TFWs and their ability to live and work in Canada are significant!
In a recent example of how COVID regulations can impact the horticulture industry, the acting medical officer of health for the Windsor-Essex County Health Unit issued an order barring entry to TFWs to Essex Country until February 1, 2022. This is a very critical time for horticulture producers to access labor and would have had a significant negative impact as all industries in Canada are already stretched short on labor. It would have been doubtful that the horticultural industry in Windsor-Essex Country could have found alternative sources of labor to fulfill the need. Thankfully, the order was rescinded three days later and the horticulture industry breathed a sigh of relief.
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TFWs are a critical piece in the Canadian horticultural industry and changes to their regulations (like during COVID) can dramatically reduce the growth potential of this industry and also add to food inflation.
Don't forget to read my articles and watch for future updates on many topics related to accounting, tax, horticulture and irrigation. Follow me for information related to farming and irrigation on my social media platforms:?
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Vice President
3 年Thanks for raising this issue Bruce. Last fall our family went to a blueberry farm just outside of Victoria. I asked about the significant amount of berries still on the bush and the staff mentioned that they weren't able to bring in enough workers so the berries would all go to the birds. Even the U-Pickers couldn't make a dent in the excess. No doubt we need to open things back up for the sake of our food supply chain.