2024–25 Departmental Plan

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From the Minister

Canada's agriculture and food sector is an essential part of our economy and plays a vital in strengthening food security here at home, and around the world. The decisions we make today will have a direct impact on the sector's future, especially when it comes to the environment. As Minister of Agriculture and Agri-Food, and as a former dairy and seed potato farmer, I want to make sure we're investing in programs and research that will help farmers make their operations more sustainable and keep them on the cutting edge with new technologies. The future of the sector depends on us creating the conditions today that will lead to the long-term profitability, sustainability, and adaptability of the hardworking folks who put food on our tables each and every day.

Fueled by our five-year $3.5-billion federal-provincial-territorial Sustainable Canadian Agricultural Partnership, in 2024–25, we will support key priorities to help our farmers and food processors keep their businesses and our economy strong — from sustainability, to innovation, to trade, to risk management.

We know that farmers are among the first to feel the impacts of climate change. In 2024–25, we will continue to work with the sector to reach Canada's climate goals, while delivering the sustainable food that consumers are demanding.

For example, our nationwide network of 14 Living Labs, through the Agricultural Climate Solutions Program, will continue to bring farmers, scientists, and other partners together in the field, to innovate through the development, testing, and evaluation of beneficial management practices on working farms across Canada.

Our On-Farm Climate Action Fund will be extended to 2028, helping thousands more Canadian farmers reduce emissions through the adoption of nitrogen management, cover cropping, and rotational grazing practices.

Launched in fall 2023, our first-ever Agricultural Methane Reduction Challenge will inspire Canada's best and brightest to brainstorm solutions to reduce the methane footprint of Canadian agriculture. And our federal-provincial-territorial Resilient Agricultural Landscape Program will continue to recognize the value of farm practices, such as restoring grasslands and wildlife habitat.

To keep us on course, we are preparing the launch of the Sustainable Agriculture Strategy. This Strategy will build on existing producer efforts, to take increased environmental action and improve environmental performance in the sector, while supporting farmers' livelihoods.

International trade is vitally important to farmers' livelihoods, and in 2024–25, we will continue to help the entire agriculture and agri-food sector strengthen its resilience in the face of global and domestic environmental and economic challenges, reach new markets, drive economic growth and competitiveness, and maintain our reputation as a reliable supplier of world-class products.

We will continue to work toward our target of reaching $95 billion in agriculture and agri-food exports by 2028, including by establishing new markets for Canadian agriculture and food in the Indo-Pacific region, with the support of Canada's new Indo-Pacific Agriculture and Agri-Food Office, located in the Philippines.

I will always stand up for Canada's supply management system and the farmers, processors, and communities it supports. In 2024–25, we will continue delivering on our commitment to help domestic producers and processors under supply-management to adapt to the market changes resulting from recent trade agreements, backed by a total compensation package of $4.8 billion.

To keep the sector competitive, resilient, and sustainable, we will continue our strong support of agricultural science and innovation, guided by our Strategic Plan for Science. The focus for 2024–25 will be helping farmers adapt to and participate in the fight against climate change, developing value-added opportunities, and accelerating the digital transformation of the sector.

Finally, with more frequent and extreme weather, global events, and market challenges, the need for risk management on the farm is greater than ever. Under the Sustainable Canadian Agricultural Partnership, our business risk management programs will continue to help farmers protect their operations against income and production losses. We will continue to improve how our programs support better risk management for farmers — for example, by making the AgriStability program more timely, simple, and predictable.

I will keep working with the sector, and across government, to build a stronger, more resilient, and more diverse agricultural sector that drives our economy and feeds Canadians and the world, for generations to come.

The Honourable Lawrence MacAulay, P.C., M.P.
Minister of Agriculture and Agri-Food

Plans to deliver on core responsibilities and internal services

Core responsibilities and internal services:

Domestic and International Markets

Description - Domestic and International Markets

Agriculture and Agri-Food Canada (AAFC) provides programs and services and works in collaboration with the sector to support its competitiveness at home and abroad. AAFC also works to increase opportunities for the sector to export its products by maintaining and expanding market access and advancing agricultural interests internationally.

The Domestic and International Markets core responsibility is focused on advancing the following departmental results:

• The Canadian agriculture and agri-food sector contributes to growing the economy.
• Access to international markets is increased by resolving or mitigating market barriers and advancing trade positions.

Quality of life impacts - Domestic and International Markets

Through the activities outlined in the core responsibility description, Domestic and International Markets contributes to the "Prosperity" domain of the Quality of Life Framework for Canada and, more specifically, the "GDP per capita" indicator.

Results and targets - Domestic and International Markets

The following tables show, for each departmental result related to Domestic and International Markets, the indicators, the results from the three most recently reported fiscal years, the targets, and target dates approved in 2024–25.

Table 1: Indicators, results, and targets for departmental result "The Canadian agriculture and agri-food sector contributes to growing the economy"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Percentage change in the economic performance of the agriculture and agri-food sector	1.7% (previously reported as 3.6%)Table 1 note 1	0.5%	1.8%	At least 2.5%Table 1 note 2	December 2025
Percentage change in agri-food products sold	3.4% (previously reported as 3.3%)Table 1 note 1	6.0%	6.9%	At least 4.5%	December 2025
Value of agriculture and agri-food exports	$73.9 billion	$82.3 billion	$92.8 billion	At least $75 billion by 2025Table 1 note 3	December 2025
Notes: Actual results are reported for the fiscal year that data becomes available. Table 1 note [1] Following revisions to the Statistics Canada dataset in 2022, results were recalculated and are therefore different from what was reported in previous reports. Return to table 1 note [1] referrer Table 1 note [2] This aspirational target was established in 2019 based on provisional gross domestic product data. The Department is reviewing this target and expects to revise it for future reporting. Return to table 1 note [2] referrer Table 1 note [3] The Department is reviewing this target and expects to revise it for future reporting. Return to table 1 note [3] referrer

Table 2: Indicators, results, and targets for departmental result "Access to international markets is increased by resolving or mitigating market barriers and advancing trade positions"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Degree to which AAFC advances the resolution or the mitigation of market access barriers, World Trade Organization (WTO) disputes, and technical trade issues	85%	80%	84%	At least 80%Table 2 note 1	March 2025
Degree to which AAFC advances trade policy through negotiations, agreements and discussions	90%	90%	90%	At least 80%Table 2 note 1	March 2025
Notes: Actual results are reported for the fiscal year that data becomes available. Table 2 note [1] Performance against this indicator and target is self-assessed based on a scale of 0% to 100%. Additional information on the scale and methodology used is available on GC InfoBase. Return to table 2 note [1] referrer

The financial, human resources, and performance information for AAFC's program inventory is available on GC InfoBase.

Plans to achieve results - Domestic and International Markets

AAFC will continue working to enhance competitiveness and improve market access conditions, ultimately supporting the economic growth of the sector both domestically and internationally, while placing a greater emphasis on sustainability. Departmental efforts under the Domestic and International Markets core responsibility in 2024–25 will support broader Government of Canada trade diversification goals, as well as the Minister of Agriculture and Agri-Food's mandate letter commitments related to supply management and supply chains.

Under the Sustainable Canadian Agricultural Partnership (Sustainable CAP), market development and trade, and building sector capacity, growth, and competitiveness, were identified as two of the priority areas. As part of this framework, AAFC will refocus efforts to see agriculture and agri-food exports reach $95 billion and increase sector revenues to $250 billion by 2028. Results in these areas will be delivered through trade policy and market access initiatives; market development services; industry engagement; as well as through the ongoing work of the Agriculture and Food Trade Commissioner Service; and departmental programs such as AgriMarketing and AgriCompetitiveness.

Result 1: The Canadian agriculture and agri-food sector contributes to growing the economy

The demand for Canadian agriculture and agri-food products is strong, and AAFC plays an important role in supporting the sector to capitalize on opportunities and respond to challenges such as changing market conditions. Departmental performance is measured, in part, by the contributions of the Canadian agriculture and agri-food sector to the growth of the broader economy, including through agriculture and agri-food exports. Canada's agriculture and agri-food exports, including fish and seafood products, reached almost $93 billion in 2022, exceeding the previous target to grow exports to at least $75 billion by 2025.

In 2024–25, AAFC will continue to work in partnership with other federal departments, the provinces and territories, and industry stakeholders to identify and pursue opportunities at home and abroad, and support the agriculture and agri-food sector in contributing to economic growth through: market development and trade advocacy; export diversification efforts; support for Canada's supply-managed sectors; and ongoing regional and national engagement on critical issues. These efforts are an essential support system for industry, enhancing the sector's ability to remain competitive and resilient, and to predictably trade and take advantage of global opportunities. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• AAFC will continue to deliver and strengthen a comprehensive range of market development and industry services, including the refreshed Canada Brand Program, and the Agriculture and Food Trade Commissioner Service, working in close collaboration with the Canadian Food Inspection Agency, Global Affairs Canada, and provincial, territorial and industry partners. In 2024–25, the Department will showcase Canada through campaigns in Japan and Vietnam, and will continue to invest in promoting Canadian agri-food products abroad through traditional and online retail and foodservice channels.
• Through the AgriMarketing Program, the Department will continue to support a wide range of activities while prioritizing applications that advance market diversification to help ensure more stabilized trade opportunities in the face of potential market disruptions. For example, the program will: offer a higher cost-share ratio to incentivize and support eligible activities in fifteen high-growth markets in the Indo-Pacific region; support sustainability by marketing "green" Canadian products (that is, products linked to environmental certification and assurance systems); and encourage digital promotional activities and virtual engagement to lower the events' carbon footprint and reduce potential waste.
• Under the Food Policy for Canada, the grand prize winners of the Food Waste Reduction Challenge business model stream are being announced in winter 2024. The Department will explore additional food waste programming models in 2024–25, along with new initiatives designed to advance healthier, more sustainable, and more equitable food systems.
• The various Sector Engagement Tables, including the recently launched Food Manufacturing and Seafood tables, will continue to enable government-industry collaboration to enhance the growth and competitive position of the sector. In 2024–25, the tables will advance efforts related to identified priority areas, such as: sustainability, consumer demands/trends, regulations, skills development, supply chain resiliency, labour, and research and innovation.
• AAFC will continue delivering on the Government priority of supporting supply-managed sectors in adapting to the market changes resulting from recent trade agreements, including the Canada-United States-Mexico Agreement. Over $4.8 billion has been committed for Canada's dairy, poultry, and egg producers and processors, and all associated programming has now been launched. This includes an investment of up to $333 million over the next ten years under the new Dairy Innovation and Investment Fund, launched in fall 2023, to help the Canadian dairy sector increase its competitiveness and adapt to new market realities.
• AAFC will work with the dairy and egg sectors to modernize two federal-provincial-territorial agreements — the Federal-Provincial-Territorial Agreement for the Marketing of Eggs in Canada, and the Federal-Provincial Agreement on the Sharing of Milk Revenues and Costs — with an aim to reflect current policies and practices.
• In 2024–25, the Department will continue working in collaboration with provinces and territories to improve supply chain relationships, including by monitoring the progress on an industry-led Grocery Code of Conduct stemming from the key findings of a joint federal, provincial, and territorial working group on retail fees.
• AAFC will focus on enhancing industry-government dialogue to improve the regulatory environment so that it becomes more responsive to the needs of the agriculture and agri-food sector, and will assist in the adaption to new policies and technical requirements. Through working groups with industry, regulatory agencies, and federal, provincial, and territorial governments, the Department will collaboratively identify challenges and provide advice related to sector priorities — for example, on African Swine Fever business continuity, and crop logistics. These efforts enable the sector to remain competitive, and contribute to economic growth.

Result 2: Access to international markets is increased by resolving or mitigating market barriers and advancing trade positions

AAFC works to enhance access to global markets to support the sustained growth and profitability of Canada's agriculture and agri-food sector. The Department's efforts enable reliable trade, including by maintaining and advancing agricultural trade interests and science-based trade rules, and supporting market diversification. These efforts, taken in collaboration with federal, provincial, territorial, and international partners, align with the Government of Canada agenda to increase and diversify trade and investment. Canada's ability to resolve or mitigate market access barriers and advance positions in trade negotiations are measures of success towards departmental results.

Programs and services under the Sustainable CAP will continue to enable Canadian export activities and advance competitiveness. Departmental efforts will focus on supporting the sector to seize new trade opportunities, take advantage of existing ones, and respond to pressures in the international trading environment. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• Working closely with the Canadian Food Inspection Agency and Global Affairs Canada, the Department will continue to facilitate regular bilateral and multilateral engagement with key international partners to advance Canada's agricultural trade priorities and support market access, including through ministerial missions, technical missions, working groups, and audits of Canada's animal, plant, and food safety systems.
• Under the Indo-Pacific Strategy, the establishment of a new Indo-Pacific Agriculture and Agri-Food Office (IPAAO) is progressing in the Philippines. This will support Canadian agriculture and agri-food exporters in finding and pursuing new business opportunities, and help to position Canada as a preferred supplier in the region. The IPAAO will strengthen Canada's economic partnerships with the Indo-Pacific by expanding market access and promoting technical cooperation, as well as science-based, and transparent regulatory approaches in support of trade, investment, and supply chain resilience.
• The Department remains committed to advancing Government of Canada trade negotiations by promoting the rigour of Canadian systems, its best practices, as well as its policies on food safety and sustainability. Free trade agreement negotiations continue with a number of trading partners, with a particular focus on the Indo-Pacific region, helping Canada preserve and secure open rules-based trade, diversify supply chains, and provide preferential market access. Through ongoing bilateral negotiations, Canada is seeking to build on the preferential outcomes of the Canada-United Kingdom Trade (UK) Continuity Agreement, which entered into force in April 2021, aiming to achieve a free trade agreement with the UK.
• The Department will continue to strengthen Canadian agriculture and agri-food interests at multilateral fora, such as the World Trade Organization, the United Nations Food and Agriculture Organization, the G7, the G20, and the Organisation for Economic Co-operation and Development. AAFC will continue to engage on sanitary and phytosanitary measures, while addressing trade issues and technical barriers, such as new plant breeding techniques, genetically modified crops, and regulations pertaining to pesticides. AAFC will also work through these fora to highlight the intersect between sustainability and food security, and advocate that trade liberalization and environmental protection are mutually supportive.
• Along with other federal departments, AAFC will continue to engage with counterparts at the International Standard-Setting Bodies (Codex, World Organization for Animal Health, and International Plant Protection Convention) to support the development and adoption of standards, guidance, and recommendations that are based on scientific evidence and risk analysis. This includes work on animal health and welfare, electronic certification, as well as initiatives to promote and disseminate guidance to help ensure a rules-based global marketplace that benefits Canadian exporters.

Key risks - Domestic and International Markets

Market disruption and uncertainty

The success of the Canadian agriculture and agri-food sector depends heavily on its ability to export to other countries. While the sector's exports have continued to grow, maintaining market access is increasingly challenging due to uncertainty in the current trade environment, as well as inflation, climate change, supply chain disruptions, and market volatility. This may include protectionism, unfavourable changes to existing agreements, technical trade issues, non-science-based trade barriers, supply chain issues, and major plant closures. AAFC will continue to support the Canadian agricultural sector in facing the risks created by this new reality as it pursues opportunities, including through strategic efforts to diversify Canada's exports, and by engaging with international bodies and other multinational and bilateral partners to address market access irritants, advance Canada's trade policy priorities, and advocate for science-based regulations and transparent trade rules.

Labour and skills shortages

Chronic labour and skills shortages poses an ongoing challenge to agricultural supply chains that can limit economic growth, affect rural vitality, and diminish production capacity. Systemic realities, such as aging demographics and the seasonality of many jobs, will continue to have a significant impact on labour needs. In partnership with federal, provincial, and industry partners, AAFC will continue working towards a National Agricultural Labour Strategy, in line with the commitment in the Minister's mandate letter. AAFC will also continue to leverage work being led by the Canadian Agricultural Human Resource Council, in partnership with Food and Beverage Canada, and the Canadian Federation of Agriculture, to develop a National Workforce Strategic Plan. Through sustained engagement, both initiatives will remain aligned to take collaborative action and outline short-, medium-, and long-term solutions to address immediate labour shortages and systemic workforce challenges.

Cyber threats

The sector has become more digitized and connected across supply chains, leading to an increased risk of cyber threats. Cyber crimes can have significant repercussions, creating service disruptions, affecting the food security of Canadians, impacting consumer trust, and hurting business profits. AAFC will continue working to raise awareness in the sector and among other stakeholders of actions that can be taken to help address and mitigate cyber risks in Canadian agriculture and agri-food, including by facilitating engagement with federal, provincial, and territorial governments, academia, and sector organizations.

Snapshot of planned resources in 2024–25 - Domestic and International Markets

• Planned spending: $700,800,905
• Planned full-time resources: 535

Related government priorities - Domestic and International Markets

Gender-based analysis plus (GBA Plus)

Advancing diversity, equity, and inclusion in the agriculture and agri-food sector remains a priority for the Department. AAFC will continue to work with provincial and territorial jurisdictions to better support the participation of Indigenous Peoples and other underrepresented and marginalized groups in the sector, including women, youth, racialized groups, persons with disabilities, 2SLGBTQI+ communities, and official language minority communities. Some highlights of the Department's efforts in these areas are provided below.

• AAFC's Framework for Supporting Underrepresented and Marginalized Groups in the Agriculture and Agri-Food Sector will guide the Department's efforts to address barriers, create opportunities, and advance diversity, equity, inclusion, and accessibility in the sector.
• As part of the Sustainable CAP, AAFC will further enhance GBA Plus data collection in support of understanding and removing barriers to participation, and thus enhancing equitable access across all programs under the framework. Collecting additional information, such as business planning measures applicants may have in place to support diversity, equity, and inclusion, will allow for informed decision-making in program planning and design that takes diversity factors into consideration. In addition, AAFC will access data from Statistics Canada's Linkable File Environment to prepare demographic profiles, and measure progress towards increasing participation of women, youth, and Indigenous Peoples.
• The design of the AgriDiversity Program encourages greater participation of Indigenous Peoples and other underrepresented and marginalized groups by providing funding to eligible recipients to help develop leadership skills, build entrepreneurial capacity and business skills, and facilitate the sharing of best practices and knowledge. Further, the program has increased the government's share in the cost-share ratio to reduce financial barriers for program participants.
• AAFC's AgriMarketing Program will promote inclusive trade by expanding eligible recipients to include underrepresented or marginalized groups, such as Indigenous-led and women-owned groups.
• The Sector Engagement Tables will continue working to achieve gender parity in their membership, and to increase membership from underrepresented and marginalized groups to ensure significant (30%) representation.
• In 2024–25, AAFC will develop a mentoring program between select Canadian Agriculture Youth Council members and experienced sector leaders, where mentees will provide feedback on the value of their experience.
• AAFC will continue to connect Indigenous Peoples and communities with agricultural programs and services through the Indigenous Pathfinder Service, and will continue to support underrepresented and marginalized youth by delivering the Youth Employment and Skills Program to help youth facing barriers gain career-related work experiences in the agriculture sector.

Further information on the underrepresented and marginalized groups served by AAFC's programs and initiatives can be found in the GBA Plus supplementary information table.

United Nations 2030 Agenda for Sustainable Development and the UN Sustainable Development Goals

Various initiatives under the Domestic and International Markets core responsibility support Canada's efforts to address the United Nations 2030 Agenda and the Sustainable Development Goals (SDGs). For example, Canada's agricultural trade policy encourages open trade and science-based approaches to governing food systems. This helps farmers around the world to reach customers, earn better incomes, and escape poverty and hunger, ultimately contributing to SDG 2: Zero Hunger; SDG 8: Decent Work and Economic Growth; and SDG 12: Responsible Consumption and Production.

More information on AAFC's contributions to Canada's Federal Implementation Plan on the 2030 Agenda and the Federal Sustainable Development Strategy can be found in our 2023 to 2027 Departmental Sustainable Development Strategy.

Program inventory - Domestic and International Markets

Domestic and International Markets is supported by the following programs:

• Trade and Market Expansion
• Sector Engagement and Development
• Farm Products Council of Canada
• Supply Management Initiative
• Canadian Pari-Mutuel Agency
• Food Policy Initiatives
• Water Infrastructure Divestiture
• Federal, Provincial, and Territorial Cost-Shared Markets and Trade

Supporting information on planned expenditures, human resources, and results related to AAFC's program inventory is available on GC Infobase.

Summary of changes to reporting framework since last year - Domestic and International Markets

• No changes.

Science and Innovation

Description - Science and Innovation

Agriculture and Agri-Food Canada (AAFC) conducts scientific research, develops new knowledge and new technologies, and transfers the results to the agriculture and agri-food sector. AAFC also works with industry and other partners to strengthen the sector's capacity to develop and adopt innovative practices, products, and processes.

The Science and Innovation core responsibility is focused on advancing the following departmental results:

• The Canadian agriculture and agri-food sector knowledge base is increased through AAFC supported scientific and innovative research.
• The Canadian agriculture and agri-food sector is effective in transforming ideas into new products, processes, or practices.

Quality of life impacts - Science and Innovation

Through the activities outlined in the core responsibility description, Science and Innovation contributes to the "Prosperity" domain of the Quality of Life Framework for Canada and, more specifically, the "Productivity" indicator. It also contributes to the "Environment" domain, and the indicators on "Air quality" and "Greenhouse gas emissions" through these efforts.

Results and targets - Science and Innovation

The following tables show, for each departmental result related to Science and Innovation, the indicators, the results from the three most recently reported fiscal years, the targets, and target dates approved in 2024–25.

Table 3: Indicators, results and targets for departmental result "The Canadian agriculture and agri-food sector knowledge base is increased through AAFC supported scientific and innovative research"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Percentage of AAFC scientific publications produced through collaboration	79%	77%	73%	At least 75% Collaboration with external collaborators rises to at least 75% of AAFC peer-reviewed scientific publications	March 2025
Number of citations as a proportion of AAFC scientific publications	17 (based on citations from 2015–20 for peer-reviewed publications published in 2015)	17 (based on citations from 2016–21 for peer-reviewed publications published in 2016)	21 (based on citations from 2017–22 for peer-reviewed publications published in 2017)	An average of at least 15 citations per AAFC peer-reviewed publication in the span of 5 years is maintained	March 2025
Note: Actual results are reported for the fiscal year that data becomes available.

Table 4: Indicators, results and targets for departmental result "The Canadian agriculture and agri-food sector is effective in transforming ideas into new products, processes, or practices"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Number of new technologies, products, practices, processes, or systems that are available for transfer to the sector	121	72	66	Average development of 100 new innovations annually with the goal of achieving 500 over the Canadian Agricultural Partnership framework (2018–2023)Table 4 note 1	March 2025
Percentage of revenues generated on farms adopting innovative practices	64% (based on data from the 2019 Farm Financial Survey for the 2017–19 period)	Not available	63% (based on data from the 2021 Farm Financial Survey for the 2019–21 period)	At least 55% of total Canadian agricultural gross revenues are generated by farms that adopt innovative products, processes, or practices between 2023 and 2025	December 2025Table 4 note 2
Percentage of processors developing and/ or introducing innovations	Not available	Not available	Not available (result available in 2025)	75% of food processors with sales of $1 million or more introducing at least one product, process, marketing or organizational innovation between 2021 and 2023Table 4 note 3	December 2025
Index of Agri-Environmental Sustainability (water, soil, air quality, biodiversity)	Not available	68 (based on the 2016 Census of Agriculture)	65Table 4 note 4 (based on the 2021 Census of Agriculture)	At least an Index of 71Table 4 note 5	March 2030
Percentage change in the productivity of the agri-food sector	0.1% (compound annual growth rate from 2016–17)	-0.2% (compound annual growth rate from 2016–18)	-0.3% (compound annual growth rate from 2016–19)	At least 0.2% Agri-food sector: Compound annual growth rate increases to at least 0.2% between 2016 and 2026	December 2026Table 4 note 6
Notes: Actual results are reported for the fiscal year that data becomes available. Results that are "not available" are due to lag times in data availability, including as noted below. Table 4 note [1] Where indicators and/or targets reflect the Canadian Agricultural Partnership (2018–23), updates to reflect Sustainable CAP are underway, and will be included in future reports. Return to table 4 note [1] referrer Table 4 note [2] Indicator has a two-year lag time; data is only available every two years based on the Farm Financial Survey. Return to table 4 note [2] referrer Table 4 note [3] The next reference period will be 2021 to 2023, with data available in 2025. Return to table 4 note [3] referrer Table 4 note [4] Indicator is dependant on Census of Agriculture data, which is collected every five years. This slight reduction from the previous result can largely be attributed to the impact of drought conditions over the survey period on overall productivity, which can increase the risk to environmental measures, thus affecting the overall Index. Return to table 4 note [4] referrer Table 4 note [5] The Agri-Environmental Sustainability Index ranges from 0-100 and is based on sub-indices for water quality, air quality, soil quality, and biodiversity. An index of 71 would indicate a rating of "good" or, that agri-environmental health is at low risk of being significantly degraded. Return to table 4 note [5] referrer Table 4 note [6] The indicator for the agri-food/processing sector has a four-year lag time; 2026 result will be available in March 2030. Return to table 4 note [6] referrer

The financial, human resources, and performance information for AAFC's program inventory is available on GC InfoBase.

Plans to achieve results - Science and Innovation

As part of the Science and Innovation core responsibility, AAFC will continue to fund research and development activities to accelerate the pace of innovation, further enhancing the economic growth, productivity, competitiveness, adaptability, and sustainability of the Canadian agri-food and agri-based products sector. AAFC's Strategic Plan for Science, introduced in 2023–24, will continue to guide the Department's science and research activities over the next decade. In 2024–25, the focus will be on mitigating and adapting to climate change, increasing resiliency of agro-ecosystems, advancing the circular economy by developing value-added opportunities, and accelerating the digital transformation of agriculture and agri-food.

Sustainability is a key driver of innovation in the face of mounting environmental challenges. Results will be delivered through departmental programming under the Sustainable Canadian Agricultural Partnership (Sustainable CAP) policy framework, such as the Foundational Science and Research initiative, and the AgriScience and AgriInnovate programs. Departmental actions under the Science and Innovation core responsibility also align with government-wide priorities and the Minister's mandate letter commitments that prioritize clean growth and climate resiliency.

Result 1: The Canadian agriculture and agri-food sector knowledge base is increased through AAFC supported scientific and innovative research

Scientific and innovative research is necessary to maintain the longer-term sustainability and competitiveness of Canada's agriculture and agri-food sector. The Department is home to a network of research centres across Canada with world-class scientific expertise, whose efforts serve to strengthen the sector's productivity and competitive advantage, mitigate risks, and tackle challenges related to environmental performance.

Departmental results related to knowledge creation from scientific and innovative research are assessed against indicators that measure the level of collaboration involved in departmental scientific publications. Working with industry, academia, smart farms where new technologies are tested and demonstrated, and other partners, AAFC will continue to create opportunities for the sector through agricultural research and innovation. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• Under the Foundational Science and Research Program, AAFC will continue working to increase the sector's knowledge base through scientific research — including in the areas of primary agriculture, Indigenous food systems, processing, and value-added food and industrial products. Research priorities identified for 2024–25 encourage transdisciplinary research to support achievement of the outcomes identified in the Strategic Plan for Science, and align with cross-cutting Indigenous priorities.
• Through the AgriScience Program, the Department will continue mobilizing partnerships between industry, government, and academia, while supporting pre-commercial science activities and research in the three priority areas of: climate change and environment; economic growth and development; and sector resilience and societal challenges. In 2024–25, the program will be more inclusive and supportive of Indigenous-led science by establishing a notional $5 million carve-out for project proposals from Indigenous applicants, and by adapting application and reporting requirements.
• AAFC will continue to focus on increasing the capacity of its science programming to analyze the results of past research and link data with results from provincial, territorial, and industry-led initiatives, in order to inform and continuously improve program design.
• The Department will work in partnership with the Social Sciences and Humanities Research Council (SSHRC) and the Natural Sciences and Engineering Research Council on a sustainable agriculture research initiative to advance efforts contributing to a net-zero agriculture and agri-food economy. Additionally, AAFC will collaborate with SSHRC to establish a research network on sustainable agriculture in a net-zero economy to strengthen collective capabilities across universities, communities, as well as private, public, and non-profit sectors. Research partnerships such as these fill knowledge gaps, expand the discourse for effective decision making in sustainable agriculture, and support efforts towards meeting Government of Canada's climate targets.

Result 2: The Canadian agriculture and agri-food sector is effective in transforming ideas into new products, processes, or practices

The Department's focus on collaborative science and technology enhances the collective impact of government, industry, and academic expertise by reducing the duplication of work and leveraging research capacities. Research partnerships make government investments more valuable and ensure that the research is relevant to Canadian industry. AAFC also builds on collaborative research by supporting investments in the commercialization and adoption of new innovations, which encourages the transformation of research-generated ideas into new business practices for the sector.

Departmental results in this area assess the effectiveness of transforming ideas or adopting new innovations, which influences other metrics such as sector productivity, revenue, and agri-environmental health. In support of these results, AAFC will continue to assist the sector in bridging the gap between research and commercialization, and in mitigating the risks inherent in applying new technologies to commercial-level production. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• Through the AgriInnovate program, the Department will continue to incent innovation in the priority areas of advanced manufacturing, automation, robotics, and digitization. The program supports the demonstration, adoption, or commercialization of projects that advance the use of new technologies or processes in the agriculture and agri-food sector.
• Through the Agricultural Climate Solutions (ACS) Program, AAFC is implementing innovative program delivery approaches to test, evaluate, and address risks to increase the likelihood that measures that improve resiliency to climate change are adopted. In 2024–25, the work of the nationwide network of 14 living labs under the ACS Living Labs stream will be at their approximate project mid-points and, through a collaborative approach with producers, partners, and scientists, will have co-designed and implemented beneficial management practices on producer land in support of this program's objectives.
• The ACS On-Farm Climate Action Fund stream, now extended until 2028, will continue to attract new producers in 2024–25 seeking to adopt beneficial management practices (BMPs). In addition, a new process will be formalized to consider new BMPs that could be added to those already supported, to encourage further adoption and contribute to enhanced greenhouse gas mitigation efforts.
• Through the Agricultural Clean Technology Program, the Department will continue to support efforts towards a low-carbon economy and promote sustainable growth in Canada's agriculture and agri-food sector.
• In late fall 2023, AAFC launched the new Agricultural Methane Reduction Challenge. In 2024–25, AAFC will support up to 20 innovators through the prototype development stage with funding, capacity building, and tailored mentorship to advance innovative solutions that contribute to the reduction of methane emissions produced by cattle.
• AAFC will work towards the release of a Sustainable Agriculture Strategy to help set a shared direction on climate change mitigation, adaptation and resilience, biodiversity, soil health, and water. Building from existing producer efforts, the strategy aims to guide increased environmental action in the sector over the long-term, while supporting the competitiveness of the Canadian agricultural industry.
• The Department will continue working collaboratively to reduce fertilizer emissions while protecting the livelihoods of Canadian farming families. Building on the work of the Fertilizer Emissions Reduction Working Group, efforts in 2024–25 will focus on equipping farmers with the tools and support they need to make meaningful progress towards voluntary approaches to the target.
• The Resilient Agricultural Landscape Program under the Sustainable CAP will continue supporting the acceleration and adoption of on-farm land use and management practices that maximize ecological goods and services, such as maintaining and restoring grasslands and wetlands, and enhancing riparian and on-farm wildlife areas. Designed and delivered by the provinces and territories, the program helps producers conserve and enhance the resiliency of agricultural landscapes while reflecting local conditions and regional needs.
• AAFC will continue working collaboratively to enable and support the agri-food sector's contributions to Canada's biodiversity commitments under the Kunming-Montreal Global Biodiversity Framework. The Department will engage with the sector and Environment and Climate Change Canada in the development and implementation of Canada's National Biodiversity Strategy and Action Plan.

Key risks - Science and Innovation

Climate impacts

The Canadian agriculture and agri-food sector faces a variety of environmental risks every year. Unpredictable weather patterns and extreme weather events significantly affect Canadian agriculture with varying effects across regions. Climate change can affect growing seasons, create more favourable conditions for pest survival and migration, and increase the incidence of diseases. In the years ahead, Canada's agriculture and agri-food sector can expect ongoing challenges posed by more extreme weather, higher than average temperatures, and changes in precipitation patterns that increase the risk of events such as floods and droughts.

The Department will continue to mitigate these risks through the design and support of scientific research and by providing programming, jointly with the provinces and territories, that contributes to the agri-environmental resilience of the sector. In particular, through the AAFC Strategic Plan for Science, which focuses on sustainable agriculture, tackling the climate crisis, the emergence of new threats, and global food security.

Operational constraints

Science and innovation outcomes are at risk of being impacted or delayed due to financial constraints, reduced investment (including potential limitations around investments in laboratories and other critical infrastructure), and skilled labour shortages. This can lead to reduced development and/or adoption of innovations and new technologies within the sector. To help mitigate this risk, the Department will continue to prioritize its research to ensure that science capacity is maximized and will support knowledge-transfer activities. This accelerates the adoption of scientific advancements by the agriculture and agri-food industry, supporting competitiveness, resilience, and clean growth.

Safeguarding scientific research and intellectual assets

In the rapidly evolving landscape of global research and innovation, AAFC recognizes the paramount importance of safeguarding the integrity and security of scientific endeavours. Open and collaborative research environments are indispensable drivers of innovation and progress; however, intellectual property and research must remain safeguarded from potential misuse and unauthorized applications. To mitigate these risks, in addition to maintaining its robust cyber security and intellectual property, the Department will work with Shared Services Canada on a project to address long-standing science data storage challenges. Scientific and innovative research is intrinsically tied to underlying technology requirements, including an ability to store and rapidly analyze large datasets.

This project, as part of AAFC's internal services, aims to provide a modern science data storage and compute solution that: supports collaboration with Government of Canada and external science partners; addresses current and exponential needs for science data storage; and safeguards AAFC science investments and research data. Through this work, AAFC will be in a position to pursue modern and innovative research without being limited by baseline technological requirements, while limiting the risks of important research being delayed.

Snapshot of planned resources in 2024–25 - Science and Innovation

• Planned spending: $883,841,405
• Planned full-time resources: 2,617

Related government priorities - Science and Innovation

Gender-based analysis plus

AAFC remains committed to ongoing collaboration with stakeholders to advance diversity, equity and inclusion within the agriculture and agri-food sector, and to better support the participation of Indigenous Peoples and other underrepresented and marginalized groups, including as part of efforts under the Science and Innovation core responsibility. Some examples of key initiatives are highlighted below.

• As part of its science capacity renewal, AAFC will continue to focus on addressing gaps among underrepresented and marginalized groups in the workforce — especially among women, Indigenous Peoples and people with disabilities — and promoting national, diverse, cross-sectoral, and inclusive transdisciplinary collaboration.
• The Department's Women in STEM (science, technology, engineering, and mathematics) Network will continue to promote an environment in science and science-related activities at AAFC that is inclusive and welcoming for women. The Network strives to help make AAFC science professions desirable for women, including by hosting various events and learning opportunities, such as a symposium to highlight women's research in 2024.
• The Indigenous Science Liaison Office will continue to facilitate relationship building that leads to the co-development of scientific research and innovative projects with Indigenous partners, including by renewing dedicated funding mechanisms to support this work. It will also ensure the Department applies an Indigenous science lens to internal policies, programs, and initiatives. Efforts in 2024–25 will focus on training to strengthen public servants' understanding of Indigenous histories and current priorities, and on supporting Indigenous-focused talent recruitment, staffing, and retention among technical positions through the Indigenous Career Navigators Program.
• AAFC will continue to host the 15-member interdepartmental Indigenous Science, Technology, Engineering and Math (I-STEM) Cluster to strengthen relationships, enhance intercultural competencies in the federal public service, and nurture Indigenous STEM talent. In 2024–25, the Cluster will develop learning products and tools tailored to the natural sciences in areas such as Indigenous data sovereignty and research ethics, and will advise on federal policy and program design. These efforts will advance ongoing objectives related to the equitable bridging of Indigenous and western knowledge systems, enhanced regional coordination, and more meaningful international linkages.

Further information on the underrepresented and marginalized groups served by AAFC's programs and initiatives can be found in the GBA Plus supplementary information table.

United Nations 2030 Agenda for Sustainable Development and the UN Sustainable Development Goals

Activities under the Science and Innovation core responsibility support Canada's efforts to address the United Nations 2030 Agenda for Sustainable Development and the Sustainable Development Goals (SDGs). For example, the Department continues to modernize its delivery of science and technology initiatives to provide leadership in the growth and development of a competitive, innovative, and sustainable Canadian agriculture and agri-food sector.

The Department also embraces the renewal and greening of its research facilities in support of Canada's objective to be a global leader in government operations that are net-zero, resilient, and green. Efforts in these areas contribute toward: SDG 2 Zero Hunger; SDG 6: Clean Water and Sanitation; SDG 7: Affordable and Clean Energy; SDG 8: Decent Work and Economic Growth; SDG 9: Industry, Innovation and Infrastructure; SDG 12: Responsible Consumption and Production; SDG 13: Climate Action; and SDG 15: Life on Land.

More information on AAFC's contributions to Canada's Federal Implementation Plan on the 2030 Agenda and the Federal Sustainable Development Strategy can be found in our 2023 to 2027 Departmental Sustainable Development Strategy.

Program inventory - Science and Innovation

Science and Innovation is supported by the following programs in the program inventory:

• Foundational Science and Research
• AgriScience
• AgriInnovate
• Environment and Climate Change Programs
• Canadian Agricultural Strategic Priorities Program
• Federal, Provincial, and Territorial Cost-Shared Science, Research, Innovation, and Environment

Supporting information on planned expenditures, human resources, and results related to AAFC's program inventory is available on GC Infobase.

Summary of changes to reporting framework since last year - Science and Innovation

• No changes.

Sector Risk

Description - Sector Risk

Agriculture and Agri-Food Canada (AAFC) provides tools to mitigate the financial impact of risks beyond producers' control that threaten the viability of their operations. AAFC works with the sector to ensure that systems, standards, and tools are developed to support its ability to prevent and control risks and address market demands.

The Sector Risk core responsibility is focused on advancing the following departmental results:

• The agricultural sector is financially resilient.
• The agriculture and agri-food sector is equipped with assurance systems and supporting tools.

Quality of life impacts - Sector Risk

Through the activities outlined in the core responsibility description, Sector Risk contributes to the "Prosperity" domain of the Quality of Life Framework for Canada and, more specifically, the "Protection from income shocks" indicator.

Results and targets - Sector Risk

The following tables show, for each departmental result related to Sector Risk, the indicators, the results from the three most recently reported fiscal years, the targets, and target dates approved in 2024–25.

Table 5: Indicators, results and targets for departmental result "The agricultural sector is financially resilient"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Sector's income as a proportion of historical income	91% (for the 2018 program year)	84% (for the 2019 program year)	110%Table 5 note 1 (for the 2020 program year)	At least 85% Sector income is maintained above the 85% threshold of five-year average income	March 2025
Percentage of financially healthy farms	86% (based on data in the 2019 Farm Financial Survey for the period 2017–19)	Not available	92% (based on data from the 2021 Farm Financial Survey for the period 2019–21)Table 5 note 2	At least 90% Percentage of financially healthy farms is maintained at least at 90%	March 2025
Notes: Actual results are reported for the fiscal year that data becomes available. Results that are "not available" are due to lag times in data availability, including as noted below. Table 5 note [1] There is a two-year lag in reporting this indicator due to the time to finalize BRM payment data. Results for the 2022–23 program year will be available in 2025. Return to table 5 note [1] referrer Table 5 note [2] Indicator has a two-year lag time; data is only available every two years based on the Farm Financial Survey. Return to table 5 note [2] referrer

Table 6: Indicators, results and targets for departmental result "The agriculture and agri-food sector is equipped with assurance systems and supporting tools"

Indicators	2020–21 result	2021–22 result	2022–23 result	Target	Date to achieve
Percentage of implementation plans for assurance projects reported to be functioning	Not available	Not available	Not availableTable 6 note 1	Range between 65% and 85%	March 2025
Notes: Actual results are reported for the fiscal year that data becomes available. Results that are "not available" are due to lag times in data availability, including as noted below. Table 6 note [1] Indicator has a lag time given the long-term nature of this work. Actual results data measuring the functionality of implementation plans for assurance projects will be available in 2024. Return to table 6 note [1] referrer

The financial, human resources, and performance information for AAFC's program inventory is available on GC InfoBase.

Plans to achieve results - Sector Risk

The continued growth and resiliency of Canada's agriculture and agri-food sector rests on its ability to effectively navigate the uncertainties inherent to the industry, such as environmental challenges and market disruptions, while upholding its reputation for producing safe, sustainable, and high-quality food. The Sustainable Canadian Agricultural Partnership (Sustainable CAP) represents a shared federal-provincial-territorial commitment to enhance sector resiliency, enabling producers to anticipate, mitigate, and respond to risks through a comprehensive suite of programs. Through this policy framework, AAFC will continue working in collaboration with provincial and territorial governments to support farmers when they face risks beyond their capacity to manage.

The Department will also continue to facilitate industry-led efforts to develop and implement assurance systems that respond to consumer demands for specific product attributes or address public trust concerns, while protecting the sector against threats to plant and animal health. These efforts serve to ensure a reliable supply of Canadian food products, bolster sector resilience, and support public confidence in the agricultural supply chain. Initiatives under the Sector Risk core responsibility align with the Minister's mandate letter commitments related to supply chains, labour, and the modernization of business risk management programs.

Result 1: The agricultural sector is financially resilient

The agriculture and agri-food sector faces a number of environmental and market pressures. Climate change continues to amplify the frequency of extreme weather events like droughts and floods, directly impacting food production and introducing operational challenges, while disease outbreaks and pest infestations become increasingly persistent. In addition, global supply and demand volatility, trade restrictions, high inflation, and increasing production costs greatly affect the operating environment for Canadian producers. AAFC will continue to support the sector in navigating these challenges.

Departmental results related to Sector Risk are assessed against indicators that measure the sector's income as a proportion of historical income, and the percentage of financially healthy farms. To achieve successful outcomes in these areas, the Department will continue to provide comprehensive programs and services that help producers manage the impacts of these and other risks, protect their livelihoods and, ultimately, grow their business. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• Under the Sustainable CAP, the delivery of a comprehensive suite of Business Risk Management (BRM) programs (see highlight box below) will continue to provide agricultural producers with protection against income and production losses, helping them to manage risks that threaten the viability of their farms. Working with provincial and territorial partners, AAFC will continue to explore and implement opportunities to modernize and ensure effectiveness of the BRM programming suite in the evolving agricultural operating environment.
• At their annual conference in July 2023, federal, provincial and territorial (FPT) Ministers of Agriculture agreed to the implementation of a new AgriStability option designed to improve the timeliness, simplicity, and predictability of the program. Beginning in the 2024 program year, producers in the provinces and territories where AgriStability is federally administered (Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Northwest Territories, and Yukon) will be offered the option of aligning their reference margin calculation to their tax-filing method, which for most producers is on a cash basis. British Columbia, Alberta, Ontario and Prince Edward Island also intend to offer the new option starting in the 2025 program year. The decision to implement the new option was made, in part, on the basis of a successful, two-year pilot initiative that concluded in 2023.
• AAFC will work in partnership with three provinces to assess the implications of a new alternative cost sharing mechanism, Whole Farm Cost Share, for AgriInsurance premiums. AAFC will also explore the applicability of whole-farm revenue insurance to the industry as a tool to support market and production risks at a whole-farm level.
• In consultation with the provinces and territories, AAFC is advancing a multi-year review on the impacts of climate change risks across BRM programs to encourage environmental sustainability, climate change adaptation, and mitigation strategies, while supporting the fiscal sustainability of the programs. The review is expected to conclude in 2025 and will generate information on the functionality of the BRM programming suite in a future with increased climate-related risks. These findings will inform ongoing FPT work to ensure that BRM programs are adapted to the new realities stemming from climate change.
• In support of advancing sector sustainability, provinces have committed to implementing an AgriInsurance rebate pilot for producers who adopt specific Beneficial Management Practices identified through FPT technical work. The results of this pilot initiative may further inform the BRM climate review.
• Beginning in 2025, farms with allowable net sales of $1 million or greater in AgriInvest must have a valid agri-environmental risk assessment, for example, an Environmental Farm Plan, to receive funds from the program. Efforts are ongoing, in collaboration with provinces and territories, to identify tools to put this requirement into practice.

  Business risk management programming

  • AgriInvest is a savings account that includes government-matched producer contributions. Balances can be used to help manage income declines or make investments that mitigate risks or improve market income.
  • AgriInsurance provides producers with insurance against natural hazards to reduce the financial impact of production or asset losses.
  • AgriStability helps to manage market and production risks by providing whole-farm, margin-based support, when producers experience a severe income decline.
  • AgriRecovery is a disaster relief framework that facilitates a coordinated federal, provincial, and territorial response to natural disasters and pest or disease outbreaks, to help producers with the extraordinary cost of activities necessary for recovery.
  • The Advance Payments Program is a federal loan guarantee program that provides agricultural producers with easy access to low-interest cash advances of up to $1 million.
• The Livestock Price Insurance Program will continue to support the main BRM suite by helping cattle and hog producers in British Columbia, Alberta, Saskatchewan, and Manitoba manage down-side price risks. A Maritime Livestock Price Insurance pilot program is in development and expected to be launched in 2024–25. This complementary tool will assist beef producers in managing price market risks.
• The Department will continue working towards a National Agricultural Labour Strategy to help address labour shortages in farming and food processing. Building from comprehensive public consultations, as outlined in a "What We Heard Report", efforts in 2024–25 will focus on implementing sector-specific solutions in collaboration with industry, provincial and territorial governments, and other key stakeholders.
• In addition to programming support, AAFC will continue working to encourage integrated and proactive emergency management strategies with and within the sector to effectively plan for, prevent, and mitigate production risks and potential disruptions in the supply chain that could impact human, animal, plant, and environmental health and welfare. This includes ongoing collaboration with FPT governments and industry to plan and proactively prepare for risks associated with animal disease. Efforts in 2024–25 will include the development of a new FPT cost-shared program to respond to risks associated with African Swine Fever arriving in Canada.
• The Department will lead the renewal of the FPT Emergency Management Framework for Agriculture in Canada. The emergency response plan under the renewed framework will cover agriculture producers, food processors, and key supply chain links such as transportation, distribution, logistics, and retail.
• Ensuring the well-being of Canada's farmers is key to ensuring positive mental health outcomes, which can increase their productivity and resilience. Under the Sustainable CAP, provinces and territories can use cost-shared funding to support sector-specific mental health initiatives in their regions. For example, counselling for farmers and their families, as well as mental health literacy training for farmers and agricultural community members, so they can recognize the signs of mental distress, how to mitigate them, and when/where to seek help. The Department will continue supporting national agricultural mental health initiatives where possible, such as the 2021 Survey of Farmer Mental Health in Canada.
• AAFC will continue supporting access to crop protection products for producers through the Minor Use Pesticides Program, while developing and facilitating the adoption of alternative pest control solutions and integrated systems-based approaches to priority pest management issues through the Pesticide Risk Reduction Program. The Department will also update and publish national Crop profiles online, which serve as reliable information sources for science professionals, policy advisors and regulators, as well as grower representatives.

Result 2: The agriculture and agri-food sector is equipped with assurance systems and supporting tools

Assurance systems are practices, standards, processes, and procedures that provide confidence that risks within the food supply chain are effectively managed, and that certain claims related to the production, safety, and quality of products are verifiable. They also allow producers to guarantee their products meet certain criteria or comply with specific production methods or standards — such as those related to sustainability, as well as organic, halal, or kosher. Assurance systems play a pivotal role in enabling the sector to respond to evolving consumer and market demands, while enhancing the reputation and credibility of Canadian producers both domestically and on the global stage. This support contributes to the overall resiliency of the sector.

Departmental results in this area are assessed against an indicator measuring the percentage of implementation plans for assurance projects reported to be functioning. In support of achieving results, AAFC will continue collaborating with the agriculture and agri-food sector to ensure that systems, standards, and tools are developed and in place to effectively manage risks and ensure food safety, while aligning product quality with market requirements, regulations, and industry standards. Some highlights of the Department's plans in these areas for 2024–25 are provided below.

• Through the AgriAssurance Program, AAFC will continue to support the sector in developing systems that address market and regulatory criteria, and that validate the reputation of Canadian agriculture products in regards to health, safety, and quality standards. The program will align with FPT cost-shared programming while continuing to integrate assurance systems throughout the value-chain.
• In addition to providing industry support, the Department will continue its close collaboration with federal partners, such as the Canadian Food Inspection Agency, to advance the development and implementation of assurance systems. Efforts in 2024–25 will focus on critical domains such as food safety recognition, livestock traceability, and an emphasis on biosecurity and surveillance concerning plant and animal health.
• AAFC will continue to deliver the African Swine Fever (ASF) Industry Preparedness Program, to enhance sector capacity to prepare for and prevent ASF, and reduce its impacts in case of an outbreak, including by supporting initiatives such as biosecurity assessments and improvements. The program has been extended by one year and will now end on March 31, 2025, in order to allow additional time for recipients to complete projects that faced COVID-19 disruptions or delays in obtaining equipment and services.

Key risks - Sector Risk

Climate impacts

Environmental factors, such as rising temperatures, altered growing seasons, altered precipitation patterns, and a heightened frequency and intensity of extreme events, are expected to pose ongoing challenges to Canada's agriculture and agri-food sector. Extreme weather can include drought, wildfire, and floods, while the shifting climate may also result in an increased incidence of pests and diseases through, for example, greater overwinter survival, and the emergence of those not currently found in Canada.

To support the sector in mitigating these risks, the Department will continue to deliver programming that supports the adoption of on-farm beneficial management practices to tackle climate change, reduce greenhouse gas emissions, and improve on-farm resiliency. In addition, AAFC will continue delivering BRM programs that provide agricultural producers with protection against income and production losses that could otherwise jeopardize the sustainability of their farms.

Labour and skills shortages

The agriculture and agri-food sector is expected to grapple with ongoing labor shortages and the loss of skilled labour. A labour shortage can lower the productivity of agricultural and processing operations, resulting in lost economic potential and increased pressure on workers and operators. AAFC is working towards a National Agricultural Labour Strategy to help address persistent and chronic labour shortages in farming and food processing in the short and long term. In addition, the Government of Canada is also providing funding under the Sectoral Workforce Solutions Program to projects to help resolve the current workforce challenges and to advance long-term solutions for the farming and food processing industries.

Market disruptions

The agriculture and agri-food sector is expected to continue to face fluctuating commodity prices and inflationary pressures, while domestic and international supply chain disruptions also impact both producers and the marketplace. Risks associated with animal diseases will impact production and supply chain resilience. Market disruptions affect consumer demand, input costs, and the financial burdens of producers. To help mitigate these risks, BRM programming will provide financial support to affected producers, while programs such as the African Swine Fever Industry Preparedness Program, will enhance efforts to prevent diseases from entering the country and ready the industry for a potential outbreak.

Snapshot of planned resources in 2024–25 - Sector Risk

• Planned spending: $1,980,539,152
• Planned full-time resources: 395

Related government priorities - Sector Risk

Gender-based analysis plus

AAFC remains committed to ongoing collaboration with stakeholders to advance diversity, equity, and inclusion within the agriculture and agri-food sector, and to better support the participation of Indigenous Peoples and other underrepresented and marginalized groups, including as part of efforts under the Sector Risk core responsibility. Some examples of key initiatives are highlighted below.

• AAFC will begin the voluntary collection of relevant demographic data from producers participating in the AgriInvest program by 2025. This data will inform the Department's work with provincial and territorial partners to finalize a Sustainable CAP results reporting strategy that will support gender-based analysis plus of AAFC's BRM programming.
• The AgriAssurance Program is continuing to improve diversity and inclusion through expanded eligibility in the small and medium enterprise stream, such as allowing for domestic market certification for Indigenous-led businesses.

Further information on the underrepresented and marginalized groups served by AAFC's programs and initiatives can be found in the GBA Plus supplementary information table.

United Nations 2030 Agenda for Sustainable Development and the UN Sustainable Development Goals

Activities and programs under the Sector Risk core responsibility support Canada's efforts to address the United Nations 2030 Agenda for Sustainable Development and the Sustainable Development Goals (SDGs), contributing towards SDG 2: Zero Hunger; and SDG 8: Decent Work and Economic Growth. In addition, AAFC, in collaboration with provincial and territorial governments, helps to build and maintain public trust in the agriculture and agri-food sector, and ensures ongoing confidence of Canadians in the agriculture and agri-food supply chain. This could indirectly support SDG 16: Peace, Justice and Strong Institutions and, specifically, target 16.6, which aims to develop effective, accountable, and transparent institutions at all levels.

More information on AAFC's contributions to Canada's Federal Implementation Plan on the 2030 Agenda and the Federal Sustainable Development Strategy can be found in our 2023 to 2027 Departmental Sustainable Development Strategy.

Program inventory - Sector Risk

Sector Risk is supported by the following programs:

• AgriStability
• AgriInsurance
• AgriInvest
• AgriRecovery
• Livestock Price Insurance Program
• Loan Guarantee Programs
• Farm Debt Mediation Service
• Pest Management
• Assurance Program
• Federal, Provincial, and Territorial Cost-Shared Assurance
• Return of Payments
• African Swine Fever Response

Supporting information on planned expenditures, human resources, and results related to AAFC's program inventory is available on GC Infobase.

Summary of changes to reporting framework since last year - Sector Risk

• The Livestock Price Insurance Program has been added.
• The AgriRisk program has been removed.

Please note that these updates occurred after the tabling in Parliament and online publication of AAFC's previous Departmental Plan, but were in effect beginning in 2023–24.

Internal services

Description - Internal services

Internal services are the services that are provided within a department so that it can meet its corporate obligations and deliver its programs. There are 10 categories of internal services:

• management and oversight services
• communications services
• legal services
• human resources management services
• financial management services
• information management services
• information technology services
• real property management services
• materiel management services
• acquisition management services

Plans to achieve results - Internal services

In 2024–25, Agriculture and Agri-Food Canada (AAFC) will continue to focus on advancing internal service initiatives that support the Department's mandate and strengthen its capacity to deliver results for Canadians. Prioritizing and fostering a modern workplace that is healthy, accessible, diverse, inclusive, and respectful will be at the heart of what fuels innovation and inspires creativity within the Department. Efforts will respond to recommendations from the Clerk of the Privy Council's Call to Action on Anti-Racism, Equity, and Inclusion in the Federal Public Service, and support the seven priority areas of the Accessible Canada Act.

Through various methods of collaboration, AAFC supports employee wellness while enhancing engagement, and will remain resolute in advancing reconciliation as part of a whole-of-government approach. AAFC will also work to ensure the sound and sustainable management of its assets and real property, including with respect to meeting federal greenhouse gas emissions targets. Some examples of the Department's plans in these areas for 2024–25 are highlighted below.

Prioritizing diversity, equity, and inclusion (DEI) in our workforce and workplaces

AAFC is committed to creating a safe and inclusive workplace where individuals' unique abilities and perspectives are embraced and respected within a positive work environment. AAFC's DEI work is guided by the core value of respect for people under the Values and Ethics Code for the Public Sector. The Deputy Ministers' Task Team Report on Values and Ethics supports ongoing dialogue on values and ethics, and compliments the Clerk's Call to Action. It encourages managers at all levels to have discussions on how to continue creating a more diverse, equitable, and inclusive public service, and work to achieve meaningful and lasting results.

• AAFC will continue to address underrepresentation in its workforce through actions included in its Diversity, Equity, and Inclusion Strategy and Action Plan (2022–25). Efforts in 2024–25 will focus on targeted recruitment, reducing bias and barriers in staffing processes, enhancing retention practices, and creating safe spaces for employee networks and communities, to collectively advance departmental DEI goals.
• Progress reporting will remain a key focus for 2024–25. Tracking the outcomes of key activities through performance indicators established in a DEI monitoring framework, along with biannual results reporting, will expand accountability in all areas of the Department.
• In an effort to close its largest representation gap, AAFC will continue the recruitment of persons with disabilities, including through a marketing campaign launched in early 2024. The Department will also maintain talent inventories of students with disabilities to address short-term hiring needs. These initiatives support the federal goal outlined in the Accessibility Strategy for the Public Service of Canada to hire 5,000 persons with disabilities by 2025.
• AAFC will continue expanding implementation of its Diverse Staffing Board Initiative, uptake of the Departmental Inclusion Pledge, and will also take steps to address gaps and increase representation in the executive cadre for Indigenous Peoples, persons with disabilities, racialized persons, and equity-seeking groups.
• The Department's DEI Networks will work to raise awareness for employees across the Department through a variety of events and collaborative learning opportunities — for example, safe space sessions, positive space training, positive space ambassador initiative, inclusion and reconciliation campaigns — and by seeking to increase network membership.

Enhancing employee wellness and engagement in a modern work environment

The safety and well-being of its employees remains a priority for AAFC. The Department will continue providing services and resources to help ensure a healthy and safe work environment where wellness is ingrained in organizational culture, processes, and practices.

• AAFC's 2024–26 Mental Health Strategy will provide guidance and measurable actions to raise awareness of psychological health and safety and its impacts, address workplace stressors, and support positive employee engagement.
• The Department will continue transitioning its workplaces to a flexible hybrid model, including through ongoing engagement with employees, employee-led networks, and union partners. Efforts will focus on modernizing the work environment and supporting the diverse needs and situations of employees at AAFC offices and research centres across the country. By the end of 2024–25, all remaining AAFC-leased offices will have transitioned to unassigned seating, and current workspaces will have been modernized to GCworkplace standards.
• The Department will work to implement accommodations solutions through the Government of Canada Workplace Accessibility Passport, so that employees are equipped with the tools and supports they need to succeed at work. AAFC will also continue offering alternative worksite solutions through GCcoworking, which allows federal employees access to more in-office work locations in various regions across Canada.
• AAFC will advance efforts to meet the commitments set out in its 2022–25 Accessibility Plan, aligned with the Accessible Canada Act, to identify, prevent, and eliminate barriers in consultation with persons with disabilities. The Department will publish its second progress report against the plan in December 2024.
• AAFC will continue to address harassment and violence in the workplace, including through guidance materials and mandatory training focused on understanding risk factors, as well as measures to prevent and mitigate these risks. The Department will review and revise its Harassment and Violence in the Workplace Prevention Policy to reflect lessons learned and evolving workplace needs, with an emphasis on prevention.

Managing departmental assets and real property

AAFC will seek to continuously improve the strategic management of assets under its stewardship (buildings, land, equipment, and data), to enable the delivery of quality programs and services to Canadians.

• AAFC will continue efforts to meet the federal government's Greening Government Strategy commitments, focusing on the preeminent target to reduce greenhouse gas emissions from its buildings and fleet by 40% by 2025, and by at least 90% by 2050, below 2005 levels. The Department will continue to: be part of Public Services and Procurement Canada's Clean Electricity Procurement Initiative to procure 100% clean electricity by 2025; modernize its fleet; make improvements to the energy efficiency of its buildings; and take steps to promote and strengthen green procurement and waste management practices. Further information on the Department's contributing actions to Greening Government can be found in AAFC's 2023 to 2027 Departmental Sustainable Development Strategy.
• Throughout 2024–25, the Department will seek opportunities to modernize procurement practices and procedures, enabling well-informed decision-making that contributes to efficient and effective lifecycle management of departmental assets. Efforts in 2024–25 will also advance progress towards a 25-year real property strategy.
• Through Budget 2023, AAFC obtained $113 million over five years to support its real property infrastructure, which will be directed towards 33 defined projects across 17 departmental research sites. Fiscal year 2024–25 will be the second year of delivery of these projects over the funding horizon. In addition, AAFC will continue to collaborate with Laboratories Canada and federal science departments on a broader plan to modernize agriculture science and technology infrastructure.

Strengthening digital service delivery, data analytics and transparency

AAFC will continue to focus on being digitally enabled in order to seamlessly deliver client-driven, inclusive, and accessible programs and services. Efforts will include cultivating internal expertise and providing new tools and systems.

• AAFC's Digital Ambition document will be the guiding framework for the Department's data and digital transformation. It is meant to ensure that all data and digital investments are, by design, user-centric, proactive, responsive, secure, and innovative.
• AAFC will continue pursuing opportunities to advance digital delivery and process automation, in support of evolving government-wide approaches to client service. In 2024–25, the Grants and Contributions Digital Platform will expand its existing services to include client performance results reporting. In addition, the Department is exploring the use of a generative artificial intelligence (AI) chatbot on the AgPal website to respond to questions from the public.
• To further enhance its use in program delivery, the Department is exploring ways to stimulate increased engagement and adoption of the re-platformed "My AAFC account" portal. Building on a previous initiative, AgriInvest clients will be moved towards exclusively online interactions through the portal as part of a four-year strategy. As a first stage, simplified client registration will be implemented in 2024–25.
• The Department will continue to explore the client journey of underrepresented and marginalized groups to incorporate their perspectives into service delivery mechanisms. Efforts in 2024–25 will build from a client satisfaction survey that was used as a baseline for service performance under the Sustainable Canadian Agricultural Partnership (2023–28). For example, the Department will look for opportunities to improve the timeliness of applicant notification.
• AAFC will continue supporting the Open Government and Open Science initiatives by sharing content through publicly accessible data and publication repositories, and through the Open Government Portal. Furthermore, AAFC will continue dedicating efforts towards making our data findable, accessible, interoperable, and reuseable (FAIR) though investments in digital infrastructure, as well as data governance, catalogues, and management platforms.
• Aligned with the Government of Canada Policy on Service and Digital, AAFC's Cyber Security Operations Centre will continue exploring ways to enhance security tools and surveillance to address new digital and information technology challenges. Efforts in 2024 will focus on cloud monitoring and defenses, as well as endpoint and application security management and monitoring enhancements.
• Building upon past events, AAFC will continue to organize ideation sessions and hackathon events throughout 2024–25, bringing together stakeholders from various departments to collectively explore innovative solutions to common challenges facing the sector — for example, issues related to African Swine Fever — using emerging technologies, such as intelligent automation and AI.

Supporting Indigenous initiatives and advancing reconciliation

AAFC continues to advance reconciliation and Indigenous-led agriculture through its internal services and programming in support of a whole-of-government commitment to implementing the United Nations Declaration on the Rights of Indigenous Peoples Act and the Inuit Nunangat Policy.

• Through an updated Indigenous Policy Framework, AAFC remains committed to: enhancing cultural awareness and literacy; strengthening departmental capacity; fostering relationships and partnerships with Indigenous Peoples through continued engagement; ensuring policies and programs are inclusive by design; and developing and implementing strategies to help guide activities in support of Indigenous participation in agriculture and food systems.
• AAFC's Indigenous Support and Awareness Office will continue providing an Indigenous lens on program, policies, and staffing activities within the Department through outreach activities, learning and cultural awareness sessions for employees, and the Indigenous Student Recruitment Initiative.
• The Indigenous Network Circle supports Indigenous employees in the Department, by providing safe spaces to network and form meaningful connections, such as the Mikinàk Lodge. Through 2024–25, the associated working group will continue to meet regularly while collaborating with other departmental networks.
• The AAFC Indigenous Science Liaison Office contributes to Department-wide reconciliation activities, including by guiding science staff on actions to be taken within the context of the Indigenous Policy Framework. In addition, work undertaken by members of the interdepartmental Indigenous Science, Technology, Engineering and Math (I-STEM) Cluster, will feed into AAFC priorities and programming, and support whole-of-government efforts in taking concrete steps toward reconciliation and the United Nations Declaration on the Rights of Indigenous Peoples.
• AAFC will continue to support and leverage the Government of Canada's Information Technology (IT) Indigenous Apprenticeship Program, which seeks to redefine how we support Indigenous youth with career opportunities in the federal public service. The Department has hired and retained six Indigenous IT apprentices in Ontario, Quebec and Manitoba in 2023–24.
• AAFC will continue to deliver its Indigenous Pathfinder Service to provide one-on-one support to Indigenous Peoples seeking entry into or expansion within the agriculture and agri-food sector. In addition, AAFC is exploring opportunities to further invest in Indigenous agriculture, develop sustainable agricultural and agri-food initiatives, and to advance the federal implementation of the United Nations Declaration on the Rights of Indigenous Peoples.

Key risks - Internal services

In 2023–24, AAFC developed a Departmental Risk Snapshot covering a number of themes and related risks facing the Department, including an emphasis on its Internal Services. Such themes include people and processes, and technology and infrastructure, and cover risks relating to AAFC's people, workplace, prioritization and oversight, cyber security, critical infrastructure, and modernization for digital and data-enabled services and delivery. The effectiveness of identified mitigation measures will be evaluated in 2024–25, and any needed adjustments will be reflected in the next update of the snapshot. A summary of risks within AAFC's current snapshot can be found on the Department's website.

Snapshot of planned resources in 2024–25 - Internal services

• Planned spending: $176,842,212
• Planned full-time resources: 1,491

Related government priorities - Internal services

Planning for contracts awarded to Indigenous businesses

AAFC will continue its modernized planning and engagement efforts to meet federal obligations, affirming the Department's commitment to increasing the participation of Indigenous businesses in federal procurement. AAFC forecasted an Indigenous procurement target of 5% for fiscal year 2023–24 and plans to meet or exceed a 5% planned Indigenous procurement target for fiscal year 2024–25.

• AAFC's Procurement Strategy for Indigenous Business (PSIB) working group will continue to plan for and identify Indigenous set-aside procurements to support meeting these targets. On a Government of Canada level, AAFC will ensured continued participation in PSIB interdepartmental committees, tiger teams, or working groups as opportunities arise.
• Direct engagement between AAFC's procurement community and Indigenous suppliers will continue to foster participation in procurement opportunities while the Department seeks to identify commodities where opportunities exist to further expand its business with Indigenous suppliers. Indigenous company profiles are shared with business owner groups within the Department, encouraging set-aside procurements when qualified Indigenous suppliers are known to exist in the marketplace.
• AAFC will continue to leverage mandatory training on Indigenous considerations in procurement for current and new materiel management staff, which promotes the use of pre-established methods of supply that include PSIB considerations wherever possible. This training is supported by a specific communications plan aimed at ensuring AAFC's procurement staff and business owners are aware of the Department's Indigenous procurement targets and the Government of Canada's overall commitment to Indigenous communities.

Table 7: Actual, forecast and planned value for the Indigenous procurement target

5% reporting field description	2022–23 actual % achieved	2023–24 forecast % target	2024–25 planned % target
Total percentage of contracts with Indigenous businesses	6.8%	5%	5%
Note: The 6.8% achieved in 2022–23 reflects the actual result reported to Indigenous Services Canada. This value differs slightly from what was previously included in the 2022–23 Departmental Results Report as, at the time of reporting, a data validation exercise had not yet been finalized.

Planned spending and human resources

This section provides an overview of Agriculture and Agri-Food Canada's (AAFC's) planned spending and human resources for the next three fiscal years, and compares planned spending for 2024–25 with actual spending from previous years.

In this section

• Spending
• Funding
• Future-oriented condensed statement of operations
• Human resources

Spending

The following table shows information on spending for each of AAFC's core responsibilities and for its internal services for the previous three fiscal years. Amounts for the current fiscal year are forecasted based on spending to date.

Table 8: Actual spending summary for core responsibilities and internal services ($ dollars)

Core responsibilities and internal services	2021–22 actual expenditures	2022–23 actual expenditures	2023–24 forecast spendingTable 8 note 1
Domestic and international markets	884,355,981	856,236,287	811,225,918
Science and innovation	657,519,661	764,747,109	888,754,425
Sector risk	1,719,540,364	1,768,648,596	2,135,891,902
Subtotal	3,261,416,006	3,389,631,992	3,835,872,245
Internal services	200,508,479	216,912,926	221,752,419
Total	3,461,924,485	3,606,544,918	4,057,624,664
Note: Table 8 note [1] Forecast spending reflects the authorized funding levels to the end of the fiscal year (not necessarily forecast expenditures). Return to table 8 note [1] referrer

Actual spending was higher in 2022–23 compared to 2021–22 as it reflected increased support for the AgriInsurance and AgriStability programs, as well as the Agricultural Climate Solutions Program and the Agricultural Clean Technology Program as part of the Emissions Reduction Plan. It also reflected spending under the new Wine Sector Support Program and increased spending for supply management initiatives: the Poultry and Egg On-Farm Investment Program and the Supply Management Processing Investment Fund. This was offset by a decrease under the AgriRecovery Program due to a reduced requirement for program support and the end of spending for COVID-19 initiatives.

Forecast spending is high in 2023–24 as it reflects a forecasted increased requirement for program support under the AgriRecovery Program and the Advance Payments Program under the Agricultural Marketing Programs Act. It also reflects increased funding to support the Agricultural Clean Technology Program and the Agricultural Climate Solution Program as part of the Emissions Reduction Plan, as well as increased support for the Supply Management Processing Investment Fund and the Poultry and Egg On-Farm Investment Program. The increase also includes compensation adjustments due to the renewal of collective bargaining agreements. This is offset by reduced funding for the Dairy Direct Payment Program.

The following table shows information on spending for each of AAFC's core responsibilities and for its internal services for the upcoming three fiscal years.

Table 9: Budgetary planning summary for core responsibilities and internal services (dollars)

Core responsibilities and internal services	2024–25 budgetary spending (as indicated in Main Estimates)	2024–25 planned spendingTable 9 note 1	2025–26 planned spendingTable 9 note 1	2026–27 planned spendingTable 9 note 1
Domestic and international markets	700,800,905	700,800,905	698,706,799	593,674,080
Science and innovation	883,841,405	883,841,405	877,864,634	780,474,714
Sector risk	1,980,539,152	1,980,539,152	1,973,729,896	1,973,615,763
Subtotal	3,565,181,462	3,565,181,462	3,550,301,329	3,347,764,557
Internal services	176,842,212	176,842,212	177,578,605	175,461,172
Total	3,742,023,674	3,742,023,674	3,727,879,934	3,523,225,729
Note: Table 9 note [1] Planned spending reflects funds already brought into the Department's reference levels as well as amounts to be authorized through the Estimates process as presented in the Department's Annual Reference Level Update. Planned spending has not been adjusted to include new information contained in Budget 2024. More information will be provided in the 2024–25 Supplementary Estimates, as applicable. Return to table 9 note [1] referrer

The decrease in 2025–26 planned spending reflects a decrease in funding for the Youth Employment and Skills Program, the expiry of the African Swine Fever Preparedness Program at the end of 2024–25, as well as further spending reductions as part of the refocusing government spending exercise.

The decrease in 2026–27 reflects a decrease in funding for the Dairy Direct Payment Program and for the Agricultural Clean Technology Program, as well as the expiry of funding for the Fertilizer Program under the Emissions Reduction Plan. It also reflects further spending reductions as part of the refocusing government spending exercise.

Funding

The following graph presents planned spending (voted and statutory expenditures) over time.

1. Spending for 2021–22 and 2022–23 represents the actual expenditures incurred during the respective fiscal year, as reported in Public Accounts.
2. Spending for 2023–24 reflects the authorized funding levels to the end of the fiscal year.
3. Spending for 2024–25, 2025–26 and 2026–27 reflects funds already brought into the Department's reference levels, as well as amounts to be authorized through the Estimates process as presented in the Department's Annual Reference Level Update. It has not been adjusted to include new information contained in Budget 2024. More information will be provided in the 2024–25 Supplementary Estimates, as applicable.

Description of Figure 1

Figure 1: Departmental spending, 2021–22 to 2026–27, dollars

	2021–22	2022–23	2023–24	2024–25	2025–26	2026–27
Statutory	2,100,946,431	2,195,324,997	2,371,813,403	2,213,541,119	2,221,076,419	2,126,373,574
Voted	1,360,978,054	1,411,219,921	1,685,811,261	1,528,482,555	1,506,803,515	1,396,852,155
Total	3,461,924,485	3,606,544,918	4,057,624,664	3,742,023,674	3,727,879,934	3,523,225,729
Notes Spending for 2021–22 and 2022–23 represents the actual expenditures incurred during the respective fiscal year, as reported in Public Accounts. Spending for 2023–24 reflects the authorized funding levels to the end of the fiscal year. Spending for 2024–25, 2025–26 and 2026–27 reflects funds already brought into the department's reference levels, as well as amounts to be authorized through the Estimates process as presented in the department's Annual Reference Level Update. It has not been adjusted to include new information contained in Budget 2024. More information will be provided in the 2024–25 Supplementary Estimates, as applicable.

Over the period of 2021–22 to 2026–27, spending varies from a high of $4.1 billion forecasted for 2023–24, to a low of $3.5 billion spent in 2021–22 and planned for 2026–27. AAFC's programs and initiatives vary from year to year in response to changes affecting the agriculture, agri-food, and agri-based products sector, as outlined below.

Forecast spending is high in 2023–24 as it reflects a forecasted increased requirement for program support under the AgriRecovery Program and the Advance Payments Program under the Agricultural Marketing Programs Act. It also reflects increased funding to support the Agricultural Clean Technology Program and the Agricultural Climate Solution Program as part of the Emissions Reduction Plan, as well as increased support for the Supply Management Processing Investment Fund and the Poultry and Egg On-Farm Investment Program. The increase also includes compensation adjustments due to the renewal of collective bargaining agreements. This is offset by reduced funding for the Dairy Direct Payment Program.

The decrease in 2024–25 reflects the expiry of the Wine Sector Support Program and the Food Policy Initiatives (Local Food Infrastructure Fund, Food Waste Reduction Challenge and AgriCommunication Initiative) at the end of 2023–24, and the winding down of the African Swine Fever Industry Preparedness Program. It also reflects spending reductions under the refocusing government spending exercise.

The decrease in 2025–26 reflects a decrease in funding for the Youth Employment and Skills Program, as well as further spending reductions as part of the refocusing government spending exercise.

The decrease in 2026–27 reflects a decrease in funding for the Dairy Direct Payment Program and for the Agricultural Clean Technology Program as well as the expiry of funding for the Fertilizer Program under the Emissions Reduction Plan. It also reflects further spending reductions as part of the refocusing government spending exercise.

Estimates by vote

Information on AAFC's organizational appropriations is available in the 2024–25 Main Estimates.

Future-oriented condensed statement of operations

The future-oriented condensed statement of operations provides an overview of AAFC's operations for 2023–24 to 2024–25.

The forecast and planned amounts in this statement of operations were prepared on an accrual basis. The forecast and planned amounts presented in other sections of the Departmental Plan were prepared on an expenditure basis. Amounts may therefore differ.

A more detailed future-oriented statement of operations and associated notes, including a reconciliation of the net cost of operations with the requested authorities, are available on AAFC's website.

Table 10: Future-oriented condensed statement of operations for the year ending March 31, 2025 (dollars)

Financial information	2023–24 forecast results	2024–25 planned results	Difference (2024–25 planned results minus 2023–24 forecast results)
Total expenses	4,939,380,607	3,562,277,034	(1,377,103,573)
Total revenues	58,404,611	66,210,719	7,806,108
Net cost of operations before government funding and transfers	4,880,975,996	3,496,066,315	(1,384,909,681)

The net cost of AAFC's operations is projected to be $3.5 billion in 2024–25, an expected decrease of $1.4 billion compared to 2023–24 forecast results. The decrease is primarily attributed to the Dairy Direct Payment Program, which recorded $1.2 billion in 2023–24 and of which $0.9 billion is for future year programming. The decrease is also attributed to the higher forecast spending in 2023–24 for Business Risk Management programs, which are demand-driven statutory programs.

Total expenses are projected to be $3.6 billion in 2024–25. The majority of these expenses is in the form of transfer payments in Sector Risk (55.1% or $2.0 billion). Other expenses include $855.7 million in Science and Innovation (24.0% of total expenses), $447.5 million in Domestic and International Markets (12.6% of total expenses), and $294.5 million (8.3% of total expenses) in Internal Services.

Total revenues are projected to be $66.2 million in 2024–25, an expected increase of $7.8 million compared to 2023–24 forecast results. The increase is mainly due to higher planned net voted revenues expected from internal support services to other government departments and collaborative research services in 2024–25.

Human resources

The following table shows a summary of human resources, in full-time equivalents (FTEs), for each of AAFC's core responsibilities and for its internal services for the previous three fiscal years. Human resources for the current fiscal year are forecasted based on year to date.

Table 11: Actual human resources for core responsibilities and internal services

Core responsibilities and internal services	2021–22 actual FTEs	2022–23 actual FTEs	2023–24 forecasted FTEs
Domestic and international markets	523	537	551
Science and innovation	2,631	2,622	2,612
Sector risk	442	415	400
Subtotal	3,596	3,574	3,563
Internal services	1,388	1,471	1,517
Total	4,984	5,045	5,080
Note: FTEs reflect only those funded through the Department's appropriated resources. For example, in 2022–23, in addition to the actual FTEs of 5,045, there were 66 employed by AAFC for research funded through collaborative agreements with industry partners, and 531 employed as students.

The increase in FTEs from 2021–22 to 2023–24 is due to staffing required to support service delivery improvements and the modernization of agriculture science and technology initiatives; new programs to support dairy, poultry, and egg supply-managed producers and processors; and the Wine Sector Support Program.

This was offset by the expiry of the Mandatory Isolation Support for Temporary Workers Program, as well as the expiry of funding for genomics, digitization, and data mobilization of AAFC's biological collections at the end of 2021–22. It also reflected the expiry of funding for the Advance Agricultural Discovery Science and Innovation Initiative at the end of 2022–23.

The following table shows information on human resources, in FTEs, for each of AAFC's core responsibilities and for its internal services planned for 2024–25 and future years.

Table 12: Human resources planning summary for core responsibilities and internal services

Core responsibilities and internal services	2024–25 planned FTEs	2025–26 planned FTEs	2026–27 planned FTEs
Domestic and international markets	535	522	520
Science and innovation	2,617	2,616	2,598
Sector risk	395	394	394
Subtotal	3,547	3,532	3,512
Internal services	1,491	1,481	1,471
Total	5,038	5,013	4,983

The decrease in FTEs in 2025–26 and 2026–27 is due to attrition and vacancy management as part of the refocusing government spending exercise, as well as a reduction in support for the Youth Employment and Skills Program in 2025–26, and the Agricultural Clean Technology Program in 2026–27.

Corporate information

Organizational profile

Appropriate minister: The Honourable Lawrence MacAulay

Institutional head: Stefanie Beck, Deputy Minister

Ministerial portfolio: Agriculture and Agri-Food Canada

Enabling instrument: Department of Agriculture and Agri-Food Act (R.S.C. 1985, c. A-9)

Year of incorporation / commencement: 1994

Organizational contact information

Mailing address:

Agriculture and Agri-Food Canada
1341 Baseline Road
Ottawa, Ontario
K1A 0C5

Telephone: 1-855-773-0241

TTY: 613-773-2600

Fax: 613-773-1081

Email: aafc.info.aac@agr.gc.ca

Website: agriculture.canada.ca

Supplementary information tables

The following supplementary information tables are available on Agriculture and Agri-Food Canada's (AAFC's) website:

• Details on transfer payment programs
• Gender-based analysis plus

Information on AAFC's 2023 to 2027 Departmental Sustainable Development Strategy can also be found on its website.

Federal tax expenditures

Agriculture and Agri-Food Canada's Departmental Plan does not include information on tax expenditures.

Tax expenditures are the responsibility of the Minister of Finance. The Department of Finance Canada publishes cost estimates and projections for government wide tax expenditures each year in the Report on Federal Tax Expenditures.

This report provides detailed information on tax expenditures, including objectives, historical background and references to related federal spending programs, as well as evaluations, research papers and gender-based analysis plus.

Definitions

appropriation

Any authority of Parliament to pay money out of the Consolidated Revenue Fund.

budgetary expenditures

Operating and capital expenditures; transfer payments to other levels of government, organizations or individuals; and payments to Crown corporations.

core responsibility

An enduring function or role performed by a department. The intentions of the department with respect to a core responsibility are reflected in one or more related departmental results that the department seeks to contribute to or influence.

Departmental Plan

A document that sets out a department's priorities, programs, expected results and associated resource requirements, covering a three year period beginning with the year indicated in the title of the report. Departmental Plans are tabled in Parliament each spring.

departmental result

A change that a department seeks to influence. A departmental result is often outside departments' immediate control, but it should be influenced by program-level outcomes.

departmental result indicator

A factor or variable that provides a valid and reliable means to measure or describe progress on a departmental result.

departmental results framework

A framework that consists of the department's core responsibilities, departmental results and departmental result indicators.

Departmental Results Report

A report on a department's actual performance in a fiscal year against its plans, priorities and expected results set out in its Departmental Plan for that year. Departmental Results Reports are usually tabled in Parliament each fall.

full time equivalent (FTE)

A measure of the extent to which an employee represents a full person year charge against a departmental budget. Full time equivalents are calculated as a ratio of assigned hours of work to scheduled hours of work. Scheduled hours of work are set out in collective agreements.

gender-based analysis plus (GBA Plus)

An analytical tool used to support the development of responsive and inclusive policies, programs and other initiatives. GBA Plus is a process for understanding who is impacted by the issue or opportunity being addressed by the initiative; identifying how the initiative could be tailored to meet diverse needs of the people most impacted; and anticipating and mitigating any barriers to accessing or benefitting from the initiative. GBA Plus is an intersectional analysis that goes beyond biological (sex) and socio-cultural (gender) differences to consider other factors, such as age, disability, education, ethnicity, economic status, geography, language, race, religion, and sexual orientation.

government-wide priorities

For the purpose of the 2024–25 Departmental Plan, government-wide priorities are the high-level themes outlining the government's agenda in the 2021 Speech from the Throne: building a healthier today and tomorrow; growing a more resilient economy; bolder climate action; fighting harder for safer communities; standing up for diversity and inclusion; moving faster on the path to reconciliation and fighting for a secure, just, and equitable world.

horizontal initiative

An initiative in which two or more federal organizations are given funding to pursue a shared outcome, often linked to a government priority.

Indigenous business

As defined on the Indigenous Services Canada website in accordance with the Government of Canada's commitment that a mandatory minimum target of 5% of the total value of contracts is awarded to Indigenous businesses annually.

non budgetary expenditures

Net outlays and receipts related to loans, investments and advances, which change the composition of the financial assets of the Government of Canada.

performance

What an organization did with its resources to achieve its results, how well those results compare to what the organization intended to achieve, and how well lessons learned have been identified.

plan

The articulation of strategic choices, which provides information on how an organization intends to achieve its priorities and associated results. Generally, a plan will explain the logic behind the strategies chosen and tend to focus on actions that lead up to the expected result.

planned spending

For Departmental Plans and Departmental Results Reports, planned spending refers to those amounts presented in the Main Estimates.

A department is expected to be aware of the authorities that it has sought and received. The determination of planned spending is a departmental responsibility, and departments must be able to defend the expenditure and accrual numbers presented in their Departmental Plans and Departmental Results Reports.

program

Individual or groups of services, activities or combinations thereof that are managed together within a department and that focus on a specific set of outputs, outcomes or service levels.

program inventory

An inventory of a department's programs that describes how resources are organized to carry out the department's core responsibilities and achieve its planned results.

result

An external consequence attributed, in part, to an organization, policy, program or initiative. Results are not within the control of a single organization, policy, program or initiative; instead, they are within the area of the organization's influence.

statutory expenditures

Expenditures that Parliament has approved through legislation other than appropriation acts. The legislation sets out the purpose of the expenditures and the terms and conditions under which they may be made.

target

A measurable performance or success level that an organization, program or initiative plans to achieve within a specified time period. Targets can be either quantitative or qualitative.

voted expenditures

Expenditures that Parliament approves annually through an Appropriation Act. The vote wording becomes the governing conditions under which these expenditures may be made.