Farmland prices in Western Canada rose in the first half of the year, but at a slower pace than last year.
Farm Credit Canada’s biannual land values report says high grain prices, farmer optimism and interest from non-farmer investors contributed to the higher prices.
In the first six months, values in Alberta rose 6.7 percent (10.3 percent in the second half of 2007). Saskatchewan rose 5.6 percent (7.8 percent), Manitoba rose 6.2 percent (7.3 percent) and British Columbia rose three percent (14.5 percent).
Mixed farming and pasture land values were steady to modestly higher, reflecting weakness in the cattle sector.
Overall, Canadian average farmland values rose 5.8 percent during the period compared to 7.7 percent in the second half of 2007.
Ontario values rose 4.6 percent and Quebec rose 5.54 percent.
Atlantic Canada broke the higher trend with steady to lower values.
