Cash sources for farmers fell 2.6% to $46.8 billion, while cash uses declined 3.1% to $36.2 billion. Declines in fuel and interest expenses were not enough to offset a drop in program payments and livestock receipts.
The five main components of cash sources are sales of primary production, sales of secondary production, program payments, government rebates, and other cash income. The term ‘cash uses’ covers expenses on inputs, business taxes, interest, cash wages to hired labour and cash rent to non-operators.
Cash income fell in four provinces: Nova Scotia, Quebec, Ontario and Alberta. In all four, declines in cash sources exceeded declines in cash uses.