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Sprouting Up: Vegetable Farming in Canada Industry Market Research Report Now Available from IBISWorld

Los Angeles, CA (PRWEB) June 11, 2013

The Vegetable Farming industry has experienced steady growth over the five years to 2013, mainly due to the fact that vegetables are a staple in the Canadian diet. Health benefits of vegetable consumption continue to make headlines in media, further boosted by expanding per capita disposable income and demand from food-service industries. Furthermore, according to IBISWorld industry analyst Agiimaa Kruchkin, “total health expenditure in Canada has been on a rise, fuelling industry revenue.” As such, industry revenue has increased at an estimated annualized rate of 2.7% to total $3.5 billion over the five years to 2013, including an anticipated 3.9% jump in 2013 alone. This growth has taken place despite falling per capita vegetable consumption in Canada since 2009 because consumers have begun switching from processed vegetable products back to fresh veggies, which dictate a price premium.

Over the past five years, imports have continued to satisfy a significant share of domestic demand for fresh produce, growing at an average rate of 1.8% per year to $2.3 billion in 2013. “Imported vegetables are usually priced lower than domestically grown ones, which makes them attractive to downstream supermarkets and food-service companies,” Kruchkin says. “Over the five years through 2018, expansion in fresh vegetable imports is projected to continue.”

Despite the recent challenges, Canadians' appetite for vegetable products is here to stay. Vegetable consumption has plenty of room to grow to meet domestic dietary standards. IBISWorld expects the joint efforts of Vegetable Farming industry associations and the Canadian government to facilitate industry recovery by promoting healthy eating habits through marketing vegetable consumption.

As consolidation carries on, economies of scale will be an increasingly important factor for farmers remaining in the industry. Downstream wholesale bypass will also put an expanding pressure on the farming sector as supermarkets continue to source directly from producers. Farmers who cannot meet the high-quality standards for fresh produce at shrinking prices will be squeezed out of vegetable farming. Consequently, the total number of industry establishments is expected to fall over the next five years. For more information, visit IBISWorld’s Vegetable Farming in Canada industry report page.

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IBISWorld industry Report Key Topics

This industry comprises establishments primarily engaged in growing vegetables and melons. Establishments primarily engaged in producing vegetable and melon seeds and vegetable and melon bedding plants are also included in this industry.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

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