The Bank of Montreal's 2016 North American Agriculture report shows big yields yet very different sentiments between farmers north and south of the border.
BMO says a lofty dollar is to blame for a the bearish market in the U.S. after a fourth consecutive bumper harvest.
While harvests in Canada were affect by extreme droughts in the east and rains in the west, the lowering loonie has kept poor commodity prices within 18 per cent of last year.
The bank notes prices in the U.S. are about 30 per cent below 2015.
BMO's Head of Agriculture Banking Adam Vervoort says farmers in our nation have undoubtedly been supported by the weaker dollar.
He feels with the capital that is available, now is the best to invest back in farm business with things like advanced technology, which is the reason for increasingly better yields each year.
BMO also points out the declining Canadian dollar also raised the cost of internationally-priced inputs like fertilizer and energy, but many farmers have benefitted from the slumping buck as most have Canadian-dollar dominated expenses.
