So corny: Declining production and prices will hinder industry revenue

The Corn Farming industry in Canada has struggled with unfavourable commodity prices and heavy global competition over the past five years. Corn is used in a variety of products for fuel, consumption and production and it contends with a high level of competition from potential substitutes and global corn farmers. Corn has become a decreasingly attractive option to other substitutes for animal feed, which has dragged its price down. Animal feed accounts for the largest source of industry revenue and its performance has dragged down the industry. The price of corn and animal feed have declined over the past five years as a result of increased production of corn substitutes and higher levels of penetration of animal feed from the United States into Canada...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 13-18
-3.7%
Forecast Growth 18-23
Profit
Employment
4,815
Businesses
5,995
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Animal feed accounts for the largest source of revenue and its performance dragged down the industry
  • Exports have experienced a lot of volatility during the period
  • Corn production is expected to lag behind growth in demand
  • Industry Report - Starting a New Business Chapter

    Overall, there are few barriers to entry into the Corn Farming industry in Canada as all inputs are readily available and established producers can usually shift between cropping activities with ease. Furthermore, there are typically several farms available for sale. Due to this ease of entry into the industry, many operators across the farming sector abandoned other crops in favour of corn over the five years to 2018. Though the industry is relatively easy to enter, there are two barriers that new entrants must endure capital investment requirements and any problems that may arise in securing finance for that investment.The establishment of corn growing operations requires considerable investment. New...purchase to read more.

    Additional Insights for the Corn Farming Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Corn Farming Industry are

  • Ability to alter goods and services produced in favour of market conditions
  • Establishment of export markets
  • Economies of scale
  • IBISWorld analysts also discuss how external factors such as Price of feed and Canadian-dollar effective exchange rate index in the Corn Farming industry impact industry performance..

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    What's in this report

    What is the Corn Farming Industry?

    This industry primarily grows corn, except sweet corn, and produces corn seeds. Corn commonly refers to the grains or kernels of Zea mays, a tall annual cereal grass. Corn is a staple food in many parts of the world and is also a key input in the production of biofuel, sweeteners, oil and other products.

    Industry Products
  • Livestock feed
  • Corn seeds for sowing
  • Human consumption
  • Ethanol input
  • Industry Activities
  • Growing varieties of corn (except sweet corn)
  • Producing corn seeds
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Price of feed
  • Canadian-dollar effective exchange rate index
  • Consumer spending
  • World price of crude oil

  • Current Performance
  • Price declines and struggles
  • Biofuel growth and stagnation
  • Corn trade
  • Profit challenges
  • Chart: Revenue Growth

  • Industry Outlook
  • Improving prices and demand
  • Rising trade and market entry
  • Future threats to growth
  • Table: Corn Farming Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Corn Farming Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Beef Cattle Production in Canada
  • Dairy Farms in Canada
  • Hog & Pig Farming in Canada
  • Chicken Egg Production in Canada
  • Flour Milling in Canada
  • Syrup & Flavouring Production in Canada
  • Petrochemical Manufacturing in Canada

  • Key Selling Industries
  • Farm, Lawn & Garden Equipment Wholesaling in Canada
  • Fertilizer Manufacturing in Canada
  • Tractors & Agricultural Machinery Manufacturing in Canada

  • Products & Services
  • Livestock feed
  • Human consumption
  • Ethanol input
  • Corn seeds for sowing
  • Chart: Corn Farming Industry Products and Services Segmentation

  • Demand Determinants
  • Food manufacturers
  • Livestock farmers
  • Ethanol producers

  • Major Markets
  • Livestock feed production
  • Exports
  • Food and beverage production
  • Ethanol production
  • Chart: Major Market Segmentation for the Corn Farming Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Depreciation
  • Rent, utilities and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Corn Farming

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Corn Farming Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Corn Farming Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Corn Farming Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • Price of Feed Index (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Biofuel
  • Also called agri-fuel or biodiesel. A fuel consisting of or derived from dead biological material, usually plants.
  • Ethanol
  • A form of alcohol used as a fuel. It is considered a renewable fuel with fewer pollutants.
  • Genetically Modified (Gm)
  • A technique whereby specific changes are introduced into a plant's or animal's DNA by genetic engineering techniques. The most common modified foods include soybean, corn and canola.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Corn Farming market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Corn Farming:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Corn Farming market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Corn Farming, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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