Farm Credit Canada has released its Farmland Value Report for the first half of 2019.

According to the report, the national average for farmland values fell from a 6.6 % increase in 2018 to a 3% increase in the first half this year.

J.P. Gervais, FCC’s Senior Market Analyst, says farmland values in Saskatchewan saw modest growth of 2.9%.

“If you’re looking at the different regions of Saskatchewan, whether it’s North, South, East or West the average increases may get a little bit higher in the western side of the Province than the eastern side but it’s quite consistent that just is around that 3% range.”

He says farm receipts are expected to be a little bit lower with the uncertainty in the markets.

“To me, that makes sense that this is slowing down. So the markets holding strong, but we’re seeing a lot less robust increases and more modest increases in farmland values across the entire province.”

He notes the fact that farmland values have climbed rapidly in the past; which may be giving some producers reason to pause when it comes to investing in land.

According to the report, if the increase holds steady for the remainder of the year, it will be part of a five-year trend of softening growth in average farmland values.