In Canada too, the lack of successors is a problem in the agricultural sector, although this does offer opportunities for newcomers in the protected dairy farming sector.
Kees Uittenbogert, an emigration mediator from the Canadian province of Alberta, is one of the Dutch emigrants who took the step in the 90s and early 1996st century in the search for space and freedom to do business. In the period between 2000 and XNUMX, hundreds of Dutch families emigrated to Canada every year. However, after that the number of Dutch emigrants decreased considerably and their percentage no longer differs from emigrants from other countries. Most emigrate to the province of Ontario.
The most famous emigrant from Dutch dairy farming is Evert van Benthem, the winner of the Elfstedentocht, who emigrated to Alberta in 2000 and settled near the town of Red Deer. His Canadian company and that of his sons has been on television several times since then shown.
Regulations incomparable
Uittenbogert, who emigrated from the Betuwe to Canada in 2001, visited the Netherlands last week. He spoke to interested livestock farmers and arable farmers; Potential emigrants are traditionally dairy farmers and arable farmers, often in combination with poultry. In the Northern Netherlands, the interest in emigrating to Canada is greater than in the Southern Netherlands. This while the space pressure in the south of the Netherlands is greater than in the north of the Netherlands.
"The restrictive regulations and the lack of space have always been a reason to emigrate, but I did not think it would become so bad in the Netherlands when I emigrated 20 years ago. That the government confronts entrepreneurs with regulations, which means that they have no side. more energy (such as the PAS nitrogen problem) would not happen quickly in Canada.The rules are being tightened, but this is always done in consultation with the sector and after feasibility has been tested.Battery cages in poultry farming are also prohibited here, for example, but only for new construction. Existing companies may continue to use them."
Half of the dairy farm in Alberta is Dutch
The majority of milk production in Canada takes place in the provinces of Ontario and Quebec (French speaking). In the province of Alberta, where Uittenbogert is authorized to act as an emigration mediator for Interfarms, there are approximately 500 dairy farms. However, the number of dairy cows in Alberta is only 8% of Canada's total. About half of these companies are owned by first- or second-generation Dutch immigrants. Farms with hundreds of cows are no longer an exception.
Land prices in Alberta depend on the region, the amount of rainfall and soil quality. Arable land costs on average €8.000 per hectare and for grassland an average of €4.500 per hectare is paid. Land in southern Alberta province is much more expensive. Good potato soil is sometimes paid as much as €27.000 per hectare (including irrigation system). A viable grain business in Alberta can easily have 1.000 acres. This is partly owned and partly rented land. The smaller companies mainly specialize in potatoes, onions and grass seed. In this way they can also get by with less land.
Farm with 100 cows costs €2 million
Many dairy farms with a Dutch background can be found in the municipalities of Ponoka, Lacombe and Red Deer. In this area, which lies between the cities of Edmonton and Calgary, the price of land is relatively high. However, compared to land prices in the Netherlands, it is still dirt cheap.
- Kees Uittenbogert
The value of Canadian dairy farms is largely determined by production rights. There are various production categories with different milk prices and quotas. On average, a Canadian dairy farmer pays about 1 Canadian dollar cents for 60 liter of milk, according to figures from the European Dairy Farmers (2012). However, the cost is almost as high, mainly because of the quota costs. The intense continental climate (with short, but hot and dry summers and long, harsh winters) also increases the cost price.
There are several dozen dairy farms for sale in Alberta on the Internet. Modern, going concern farms, including quotas and cows, cost about €2 million per 100 cows. The large number of companies for sale is due to the lack of successors. Canada is therefore no exception to the rule that there is a lack of business successors, says Uittenbogert. Some companies without a successor are taken over by existing companies, but another part is sold to emigrants.
"In the past only outdated group farms were for sale, but now it sometimes also concerns modern large-scale dairy farms. Compared to Ontario and the provinces on the east coast, Alberta has the advantage that there is no space pressure. Manure is therefore still worth money. There is space pressure, especially in Ontario and around the major cities."
Government compensates milkers
Canada's 'protected dairy market economy' has been under pressure for years. The recent trade agreements with Europe and America will lead to a decrease in milk prices of no more than 5%, estimates Uittenbogert. To compensate for the negative consequences of those trade agreements, the government has converted an amount of about €2 billion pulled out. A considerable amount, given that Canadian milk production amounts to 2 billion liters of milk annually. The recently renewed trade agreements are likely to significantly benefit beef farming in Alberta, by far the most important agricultural sector in this Canadian province.
A visa procedure is necessary to emigrate to Canada, although it takes much more time than in the past, emphasizes Uittenbogert. "About 20 years ago it was completed in at most half a year, now it sometimes takes a few years." In addition to this time-consuming visa procedure, the government also sets minimum requirements for the financial capacity of emigrants.
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