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Windsor

Farmers face uncertainty amid trade tensions

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A local asparagus farm is feeling very uncertain amid trade tensions with the U.S. CTV Windsor’s Chris Campbell has more.

Spring marks a crucial time for farmers in Chatham-Kent, but uncertainty over tariffs has one local operation worried about the future of its harvest.

Kerr Farms, a family-run operation specializing in organic asparagus, said ongoing trade disputes between Canada and the U.S. could threaten its business. For decades, the farm has relied on the U.S. market to sell the majority of its organic asparagus. However, concerns over potential tariffs have left them re-evaluating their operations.

“Every year we like to go in with lots of optimism,” said Dave Hunter of Kerr Farms.

“This year, we’re feeling a bit of concern with the potential tariff impacts, particularly on our asparagus.”

The U.S. is Kerr Farms’ biggest customer, with approximately 90 per cent of its asparagus sales heading south of the border. While the farm’s organic carrots are primarily sold domestically, other crops, such as organic corn and soybeans, are also heavily dependent on the U.S. market.

Kerr Farms asparagus A worker seen picking asparagus on Kerr Farms in Chatham-Kent, Ont. on May 3, 2024. (Chris Campbell/CTV News Windsor)

“We do ship most of our organic corn and most of our organic soybeans into Pennsylvania,” said Hunter.

“There is already an impact being felt because I still have last year’s inventory that was intended to go there.”

If new tariffs or trade restrictions are imposed, Kerr Farms said it could become significantly more difficult to sell across the border. The uncertainty is also forcing the farm to reconsider its seasonal labour needs and planting decisions.

Asparagus is a long-term crop, taking three years to reach full production. Any disruptions to the market could have lasting consequences.

“This on-again, off-again tariff setup just isn’t consistent with business,” said Drew Spoelstra, president of the Ontario Federation of Agriculture (OFA).

“We like consistency, we like reliability. Our farms are big businesses across much of Ontario and rely on stability for financing and long-term planning.”

With no clear resolution in sight, Kerr Farms is holding off on planting new asparagus and is considering reducing its acreage.

“If there’s no margin in it or if it’s just a break-even proposition, it’s not worth the effort,” Hunter said.

“There’s so much labour, so much risk, so much time involved. Asparagus is a fresh and perishable product, so we need our share of the margin to make it worthwhile.”

Despite the uncertainty, the farm remains committed to supplying the local market with organic asparagus. However, they acknowledge that a resolution to trade disputes would provide much-needed stability.

“If the winds change and they change the plan, great, it might benefit us,” Hunter said.

“But at the moment, it doesn’t look very positive.”

For now, Kerr Farms is forging ahead, hoping the U.S. remains a viable market while preparing for the possibility of scaling back operations.

Kerr Farms asparagus Kerr Farms asparagus seen in Chatham-Kent, Ont. on May 3, 2024. (Chris Campbell/CTV News Windsor)