Jan. 30/26 News Print Page

Farming comes with risks—volatile markets, rising costs, and unpredictable conditions can all impact the bottom line, threatening a farming operation’s long-term viability.

AgriStability is here to help. It’s a practical, affordable program that protects farm income when profit margins take a hit.

 

At a Glance

  • AgriStability protects farm income when profit margins fall below 70% of normal. Protects against production loss, rising input costs, and market volatility.
  • Easier than ever to participate: only 3 years of historical data required; optional tax-based reference margin available.
  • Recent changes make AgriStability more responsive for livestock producers.

 

If a farm’s profit margin drops below 70 per cent of its historical average, AgriStability steps in. The program covers 80 cents for every dollar lost, up to a maximum of $3 million. This whole-farm approach makes AgriStability different from other risk management tools—it looks at the entire operation, not just one crop or commodity.

“(AgriStability) keeps you farming for next year,” explains Josh Lubach, a producer in the Ponoka area. “It doesn’t make you rich, but it keeps you going – that’s our mentality on it.

“It’s a good tool to limit your risk. It just puts a floor on how much risk you’re exposed to today.”

 

Backstop in uncertain times

Global trade tensions, driven by retaliatory tariffs on commodities and the upcoming review of the Canada-United States-Mexico Agreement (CUSMA), create uncertainty for producers. AgriStability helps stabilize farm incomes when outside forces threaten profitability.

“(AgriStability is) not an expensive program to get into and it could save your whole farm on a down year,” says Abe Fehr, a producer in the La Crete area. “You won’t go on to make a whole lot of money off of it, but there should be enough so you can get another kick at the can.”

It can also help when prices fall after crops are in the bin. For example, recent price drops for canola and other commodities triggered AgriStability payments for the 2024 program year. Cattle prices, currently at record highs, could experience a price correction in the near future, especially as the United States looks at importing beef from other areas in the world.

More responsive for livestock producers

While decreased prices and market corrections can affect all commodities, livestock operations face unique challenges, prompting changes aimed at making coverage more responsive to the realities of livestock production.

Starting in 2026:

  • Pasture rent will count as an allowable expense.
  • The valuation of opening and closing inventories for eligible crops fed on farm will be based on the fair value at the end of the year.

“In a disaster situation, like a drought, the value of feed increases, offsetting the inventory decreases,” said Daniel Graham, manager AgriStability and Pricing with Agriculture Financial Services (AFSC). “This change means the increase in value of feed  will no longer offset the drop in feed inventory. This will help AgriStability be more responsive in the year of the disaster.”

Comprehensive protection

AgriStability protects against production loss, increased input costs, decreases in inventory values, and changing market conditions—covering the full spectrum of risks that can reduce farm profitability.

It’s a comprehensive safety net that works alone or alongside other tools like crop insurance and Livestock Price Insurance—helping you protect your investment and your livelihood.

“Producers face uncertainty as they monitor weather conditions, trade tensions and ongoing tariff threats,” said Graham. “AgriStability, as a margin-based program, is best positioned to help producers meet those types of challenges.”

It’s time to take another look at AgriStability and see if it’s the right fit for your farming operation.

To learn more, please contact an insurance relationship manager at your preferred AFSC branch office, call the Client Care Centre at 1.877.899.2372 or email info@afsc.ca