Farm commodity prices, while less than last year, still look better than the long-term average, according to farm analysts.
But the bottom line for farmers comes from much higher costs of inputs and resulting lower profitability.
Prices for the main types of fertilizers last year were between 72.6 per cent and 121 per cent higher across Canada than the five-year average.
No end of price increases is in sight for these necessary farm inputs, according to Farm Credit Canada.
Urea fertilizer prices will jump from $550 per tonne last year to $1,100 this year with another $90 the following year.
Anhydrous ammonia fertilizer, priced at $780 a tonne last year, will be $1,255 this year with another $965 next crop year.
Other farm input prices have spiked as well in Alberta and elsewhere.
Diesel fuel in Alberta increased 13.6 per cent to $1.66 a gallon Roundup Ready canola seed was up 6.5 per cent to $706.55 a tonne.
Farm machinery price changes exceeded consumer inflation. A three-quarter ton pickup truck jumped 14.3 per cent to $75,400. An air drill jumped 17.9 per cent to $436,000 and a self-propelled combine jumped 15.2 per cent to $652,000.
A 325 horse power tractor went up 18.3 per cent to $526,000 while the lighter horsepower unit was up 10 per cent to $176,000.
Ron Walter can be reached at firstname.lastname@example.org