Farmland in Chilliwack sells for approximately $80,000 an acre. For the entire south coast region the average in 2017 was $89,314, up 13.9 per cent, something UFV ag prof Tom Baumann says is ‘ruinous’ for agriculture. (Paul Henderson/ The Progress)

Sky-high farmland prices ‘ruinous’ for B.C. agriculture: UFV prof

Fraser Valley-based Tom Baumann says $80K-per-acre in area threatens food security

The staggeringly high price of farmland in the Fraser Valley is putting pressure on farmers and is “ruinous” to agriculture.

That’s according to Chilliwack farmer and University of the Fraser Valley (UFV) associate professor Tom Baumann.

“Agriculture land is vanishing in the Fraser Valley at an alarming rate,” Baumann said, responding to questions about the annual report on farmland values published by Farm Credit Canada (FCC) this week.

“Roads, buildings, industrial areas, all good for the economy, are swallowing large tracts, and so do pipelines ([because of] restrictions on use on top and beside), with berries, greenhouses, including cannabis, animal husbandry taking more and more land.”

The FCC report noted that overall in British Columbia farmland values went up 2.7 per cent in 2017 compared to 8.4 per cent in Canada.

• READ MORE: B.C. farmland values grew at slower rate in 2017: report

But on the south coast, the area including the Fraser Valley encapsulating all of the Lower Mainland up to Whistler, the average price per acre in 2017 was $89,314, up 13.9 per cent over 2016.

That’s more than five times more expensive than the average price in the costliest region in any province outside of B.C.

In Chilliwack, Baumann says where you once could get a deal for $50,000 an acre now it’s a minimum of $80,000. In Abbotsford prices are even higher, often over $100,000.

As for even closer to Metro Vancouver?

“Langley, Delta, Richmond, we don’t even talk about it anymore.”

The FCC report noted there were a fairly low number of farmland sales due, of course, to very few coming to market. And what there is for sale gets snapped up by already large operators looking to expand or investors looking to buy and sit on land.

All this means that young farmers have little chance to get into the business, without taking over a family operation.

“There is no ‘open’ farmland,” Baumann says, “so you can’t go to the MLS listings and just pick yourself a nice tract of land and expand your business. Every time someone expands, someone else gets squeezed out. Small holdings such a hobby farms take another small portion that is not available for producers. All this conspires for young people and new farmers of all ages being priced out of the market.”

Fraser Valley agriculture land is in short supply and, as prices go up, so too do lease prices in the tight market.

To compare across Canada, the highest priced land in Ontario is in the south-west at $16,819 per acre. Quebec’s Montérégie is $15,098. Southern Alberta is at $5,461 per acre close to the Annapolis Valley in Nova Scotia at $5,419. Manitoba’s Central Plains-Pembina Valley is $4,770, but the cheapest goes to West Central Saskatchewan at $1,728 per acre, the costliest in that province.

Only one region in Canada is higher than B.C.’s south coast and that’s the Okanagan at $91,978 per acre, up 5.7 per cent.

All this is good news for those sitting on land or selling land, but Baumann says sometimes “progress” is not progress.

“From agriculture perspective it is ruinous. For food security, we are all losing,” he said.

• RELATED: Final week for ALR input – Public consultation process closes April 30

• RELATED: Chilliwack city councillor named to provincial ALR ‘revitalization’ committee


@PeeJayAitch
paul.henderson@theprogress.com

Like us on Facebook and follow us on Twitter.

 

Farmland in Chilliwack sells for approximately $80,000 an acre. For the entire south coast region the average in 2017 was $89,314, up 13.9 per cent, something UFV ag prof Tom Baumann says is ‘ruinous’ for agriculture. (Paul Henderson/ The Progress)

Just Posted

‘Speed dating’ all-candidates meeting in Surrey zeroes in on homelessness and housing

Candidates mingle with residents at tables with various topics, in 10-minute intervals

Partial lane closures for Port Mann Tuesday, Wednesday nights

Drivers can expect delays during maintenance work: Mainroad

Surrey man drops one-kilo brick of cocaine as cops arrest him outside his house

Amanpreet Singh Gill serving two years less a day for possessing cocaine for purpose of trafficking

North Delta library featuring local artist in new exhibit

Internationally-renowned artist Jarnail Singh will have his art on display until Nov. 22

South Surrey pet blessing event to be held Sunday

All animals welcome to be blessed by Peninsula United Church

VIDEO: More cameras, police coming after Marissa Shen killed in Burnaby park

B.C. privacy watchdog worries that the cameras are a ‘slow creep’ to a surveillance state

Arborist killed by fallen tree at Maple Ridge Golf Course

Was working near the 9th tee box of the golf course.

Rattie scores 3 as Oilers blank Canucks 6-0

Vancouver slips to 1-5 in exhibition play

Veterans Affairs ordered to take second look before supporting vets’ relatives

Liberal government ordered officials to adopt a more critical eye

Dead B.C. motorcyclist was member of group that raced down mountain road

Some group members record their rides on Strathcona Parkway and post times to page

Indigenous athletes in spotlight at BC Sports Hall of Fame

New gallery to feature Carey Price, Kaila Mussel and Richard Peter

B.C. couple who went missing on flight from Edmonton named by family

Family released a statement Wednesday saying they’re still intent on finding the two-seater plane

Abbotsford raccoon dies from injuries suffered in a trap

Wildlife protection group offering $1,000 reward for information about incident

VIDEO: A close look at what you were breathing during the B.C. wildfire season

Electron microscope images show soot and tar particles generated by worst B.C. fire season

Most Read