Morning, Grower.

Here’s what we got for you today:

• 📜 Ontario Leads the Way with New Agritourism Act Supporting Farmers and Rural Growth

• 🌾 Grain Markets: Record Yields, Global Uncertainty, and 2025 Insights

• 🥛 Modernized LPI Formula: What Dairy Farmers Need to Know

💰 Funding

Growing Future Opportunities Initiative — Growers can receive 75% of eligible costs of up to $50,000 to replace existing wine grape vines with approved varieties. Funding for wine grapes is 91% allocated! For more info and to apply — click here

Ontario Leads the Way with New Agritourism Act Supporting Farmers and Rural Growth

The Growing Agritourism Act, 2024, is legislation designed to support and protect agritourism operators across the province. Matthew Rae, MPP for Perth-Wellington, championed the bill, which passed its third and final reading and officially became law in December.

The Act requires agritourism operators to display signs or contracts explaining the inherent risks of visiting a working farm, establishing sector-wide consistency and reducing legal uncertainties. By addressing liability concerns, the Act protects farmers against frivolous claims, giving them the confidence to expand their operations.

According to Matthew Rae’s release, agritourism is a growing sector in Ontario, with over 40% of farmers expressing interest in offering related experiences. The new law aims to unlock the economic potential of rural Ontario, while also fostering stronger connections between urban and rural communities. See Release.

The Act applies to agritourism activities that are carried out as part of a farming business that has an annual gross income of $7,000 or more. Agritourism activities are defined as agriculture-related educational, entertainment, historical, cultural, limited accommodations or recreational activities, including you-pick operations or farm markets, conducted on a farm that allows or invites members of the general public to observe, participate in or enjoy that activity. See Bill 186.

Grain Markets: Record Yields, Global Uncertainty, and 2025 Insights

With the end of 2024 here, record harvests across the U.S. and South America have resulted in abundant crop supplies. The December USDA WASDE report underscored this surplus but included unexpected developments, such as a 200-million-bushel reduction in U.S. corn ending stocks, which briefly pushed prices higher. In contrast, projections for soybeans and wheat remained relatively steady, keeping market attention on critical factors like South American weather patterns and shifting global trade dynamics as the industry looks toward 2025.

In Ontario, harvest wrapped up early thanks to stellar weather. A weaker Canadian dollar and a Bank of Canada rate cut have supported strong basis levels for corn, soybeans, and wheat. However, rising U.S. tariffs and record South American crop supplies are emerging as potential headwinds for Canadian farmers for 2025.

Key Numbers (December 2024)

• Corn: $4.42/bu (March futures), supported by strong ethanol and export demand, despite large global supplies.

• Soybeans: $9.88/bu (January futures), pressured by record-high Brazilian production and sluggish Chinese demand.

• Wheat: $5.52/bu (March futures), tight global stocks stabilizing prices for now.

• Canadian Dollar: $0.70 USD, benefiting local crop prices but posing challenges for machinery imports.

The Bottom Line

Looking ahead, weather markets in South America, January USDA updates, and shifting trade policies will shape 2025 pricing opportunities. For Ontario farmers, the focus must remain on risk management strategies to navigate shifting trade policies and unpredictable market forces. The next WASDE Report will be released at 12pm ET on January 10th.

Link to Dec. USDA report: World Agricultural Supply and Demand Estimates

Modernized LPI Formula: What Dairy Farmers Need to Know

After over a year of industry-wide consultation, Lactanet Canada is set to launch its modernized Lifetime Performance Index (LPI) formula in April 2025—big news for dairy producers and breeders across Ontario and Canada focused on selection and breeding. The news came out in December. First introduced in 1991, the LPI formula has long been a cornerstone of dairy genetic selection. The new version takes this to the next level with six specialized subindexes designed to deliver actionable insights and sharper focus for breeding strategies. Here are the six categories:

• Production (PI) — Maximize fat and protein yields

• Longevity & Type (LTI) — Enhance herd longevity favouring functional conformation

• Health & Welfare (HWI) — Improve traits related to disease resistance and animal welfare

• Reproduction (RI) — Achieve genetic gain for female fertility and calving performance

• Milkability (MI) — Optimize milking efficiency in any production system

• Environmental Impact (EI)— Reduce the environmental footprint of your dairy herd

Each breed’s formula has been fine-tuned with input from its breed association, ensuring relevance and impact. The Milkability Index, to optimize milking efficiency in any production system, is a brand-new feature for all breeds. The Holsteins breed also get the Environmental Impact Index, spotlighting sustainability.

Why It Matters

The modernized LPI will drive smarter breeding decisions, aligning genetic selection with modern dairy farming priorities like efficiency, health, and sustainability. The 98.5% correlation with the current LPI means most rankings will stay stable, but some reshuffling of top-performing bulls, cows, and heifers is expected.

🌱 Seedling Reports

OFA's Stellar Year: Strong Finances, Stronger Advocacy — The Ontario Federation of Agriculture (OFA) celebrated another fiscally stellar year, with revenues of over $12 million and profits of $1.52 million.

EVENT Midwest Ag Conference — Explore the future of field crop farming in RIM Park, Waterloo on January 17, 2025 in London, Ontario. The conference will focus on understanding when, where and how precision agronomy brings value, from starting to validating the results for on-farm improvements. This year’s theme is Beyond the Hype: Making Sense of Precision Ag. Registration closes on January 12, 2025.

EVENT Grey Bruce Farmers’ Week — In its 59th year of running, the event has been a pillar for the agricultural industry in Grey County. Both in-person and live stream attendance is available. The trade show has the following schedule:

• Beef Day: Wednesday, Jan 8th

• Dairy Day: Thursday, Jan 9th

• Goat Day: Friday, Jan 10th

• Sheep Day: Saturday, Jan 11th

• Horse Day: Sunday, Jan 12th

• Crops Day: Monday, Jan 13th

• Ecological Day: Tuesday, Jan 14th

Micro-Laughs

We’d love your input! If you have a content suggestion or question, reply to this email or email us at [email protected]