Canada Launches $750 Million National Food Strategy to Cut Costs and Boost Domestic Production
Prime Minister Mark Carney has unveiled Canada’s new National Food Strategy, a sweeping initiative aimed at reducing food prices for Canadians and expanding year-round domestic fruit and vegetable production through investments in greenhouses, vertical farms, and other controlled-environment agriculture systems. The federal government plans to invest $750 million to “dramatically increase Canadian year-round fruit and vegetable production,” Carney announced Thursday.
The strategy has drawn praise from key industry stakeholders. The Canadian Produce Marketing Association (CMPA) called the commitments “the largest investment in the fresh produce sector in recent history,” while the Canadian Federation of Agriculture highlighted its focus on promoting agriculture under controlled environmental conditions. Michael Widener, a professor at the University of Toronto’s Department of Geography and Planning, described the plan as a “significant investment in greenhouse production.”
Current State of Greenhouse Production in Canada
Greenhouse farming is already a major sector in Canada. According to Statistics Canada, greenhouse sales reached $6.5 billion in 2025, with total greenhouse space growing to 35.9 million square meters. Tomatoes remain the top-selling greenhouse crop, followed by cucumbers, with increasing production of strawberries, lettuce, and herbs.
However, this capacity is highly concentrated geographically. Ontario accounts for nearly two-thirds (64.9%) of Canada’s greenhouse space, with British Columbia (17.4%) and Quebec (10.4%) making up most of the remainder. Barry Prentice, a supply chain management professor at the University of Manitoba’s Asper School of Business, noted that expanding beyond these hubs presents logistical and economic challenges.
Challenges of Scaling Up Year-Round Production
Despite the ambitious goals, experts caution that replacing imported produce entirely is neither feasible nor economical. Canada currently imports almost 90% of its fruits and about 70% of its vegetables—primarily from the United States, Mexico, and Central America. Widener emphasized that building greenhouses at the scale needed to displace these imports would be prohibitively expensive.
Construction costs for greenhouses range from $5 to $35 per square foot (USD), according to U.S. firm CraftCamp. In Canada, commercial greenhouses typically span 1,000 to over 10,000 square feet, with large operations covering multiple acres. Beyond capital costs, operating expenses are significantly higher in Canada’s cold climate due to the need for artificial lighting, heating, and labor-intensive management.
“It’s just easier to grow fruits and vegetables outdoors in the climates where these foods come from than to try to grow them in a colder climate like Canada,” Widener explained. He added that certain crops—like oranges—are unlikely to be viable for year-round domestic production given the energy and infrastructure required.
Experts Urge Realistic Expectations and Trade Diversification
While greenhouses can enhance Canada’s food resilience, Widener stressed they “will not be the only solution.” With nearly 40% of fresh produce coming from the U.S., he argued that diversifying trade relationships—potentially with partners in South America, the Pacific, and the Atlantic—could be a more practical path to food security.
Prentice echoed this view, noting that trade is interdependent: “Bananas are already very cheap and we import them from ten different countries… You also have to remember that if we don’t import them, those countries won’t have money to buy from us. Trade works in two directions.”
Recent efforts include new agricultural agreements signed with Asian countries last year, signaling Canada’s intent to broaden its global food partnerships. Still, experts recommend consumers also adapt by choosing seasonal produce to help manage costs.
As Canada moves forward with its National Food Strategy, the balance between domestic innovation and strategic imports will likely define the future of the country’s food system.
