Farmers' share of food dollar continues to shrink: APAS report

The share of the grocery dollar reaching Saskatchewan farmers continues to decline even as consumers pay more at the checkout, according to the Agricultural Producers Association of Saskatchewan's (APAS) 2026 Farmers and Food Prices Report.

Now in its fourth year, the report compares farm-level commodity prices with retail food prices across a range of common grocery items. APAS says its findings continue to show that rising grocery prices are not being driven by increases in commodity prices paid to producers.

"Our data continues to show a consistent story. Food prices are rising, but the farmer's share is actually shrinking," said APAS President Bill Prybylski.

According to the report, the producer's share of the retail food dollar declined for more than half of the products tracked during 2025, despite grocery prices remaining high.

APAS says the findings point to a growing disconnect within Canada's food system. While producers face increasing costs for fuel, fertilizer and other essential inputs, commodity prices remain subject to global markets. At the same time, consumers continue to experience elevated food prices.

Because farmers sell into international commodity markets, they have little ability to set prices or pass rising production costs along the supply chain, APAS said.

The organization is calling for greater transparency throughout the food supply chain to better understand where costs are increasing and who is benefiting from higher retail prices.

"Food inflation is a complex issue, but what's clear is that producers and consumers are not on opposite sides," Prybylski said. "Both are being impacted by a supply chain that lacks transparency."

APAS also welcomed the federal government's recently released National Food Security Strategy, saying its focus on food supply chains and market power is a positive development.

"For years, we've been calling for greater insight into what's happening between the farm gate and the consumer," Prybylski said. "The federal government's commitment to examine supply chains and pricing is a positive step toward bringing more transparency."

APAS says it hopes the annual report will contribute to a better understanding of food pricing and the challenges facing Canadian producers.

The full 2026 Farmers and Food Prices Report is available on the APAS website.