Elevating Canada to an agri-food innovation superpower

From April to June, 2024, Bioenterprise Canada brought together agri-food ecosystem partners to develop and host Canada’s Path to Becoming an Agri-Food Innovation Superpower – a series of roundtables across Canada.

The purpose

To enhance the understanding of opportunities and challenges in the agri-food ecosystem from a regional, provincial and national perspective.

The outcome

Key findings and strategic recommendations to improve the productivity and competitiveness that will drive Canada’s agri-food innovation ecosystem forward.

This comprehensive report provides a deep dive into the current trends, challenges, and opportunities shaping the Controlled Environment Agriculture (CEA) industry worldwide.

This year, the 2025 report focuses on:

Business Model Innovation: Highlighting new revenue models, sustainable practices, and scalable solutions driving CEA forward.

Economic Viability: Understanding the financial realities of CEA operations and how farms are navigating cost structures, pricing strategies, and market dynamics.

AI Adoption: Exploring where artificial intelligence is being utilized effectively and identifying the barriers preventing broader integration.

The world is changing rapidly. Trade shifts, global conflicts, and climate change are all putting growing pressure on our food and energy systems, driving up prices at home and abroad. In response, Canada’s new government is focused on what we can control: building a stronger, more independent, more resilient Canadian economy. Central to this mission is a stronger, more affordable food system.

While Canada is one of the largest exporters of agri-food products in the world, Canadians continue to face some of the highest grocery costs in the G7. There is not enough competition between grocery retailers, we are not harnessing enough technology in our agri-food sectors, and our food chains rely too heavily on foreign suppliers. We need a new strategy – for more choice, more control, and more Canada.

That’s why, today, the Prime Minister, Mark Carney, launched Canada’s first-ever National Food Security Strategy. Backed by more than $3 billion in investments over ten years, this strategy will break open the market for independent retailers, boost domestic food production, and build a stronger, more independent, and more affordable food system for all Canadians.

The National Food Security Strategy outlines new initiatives to address the structural causes of food insecurity that are affecting Canadians across the country, particularly the most vulnerable.

Canada’s agri-food startups present a $13-billion investment opportunity

Canada’s agri-food startups present a $13-billion investment opportunity. Capital flows in growing agri-food companies could help Ottawa achieve its target of unlocking $1 trillion in investment by 2030to power economic growth.

The country’s agri-food sector is currently undercapitalized by domestic growth funds. The sector accounts for only 2% of government-backed growth, venture and infrastructure funds at the federal level, and brought in an estimated 4% of total growth funds invested in Canada over the past 5 years.

It’s not that there isn’t interest. Venture and institutional funds have attempted to flow but fragmented governance across provinces and sector fit for funds have pushed agri-food to the sidelines of mainstream approaches to deploying growth capital.

Canada’s greenhouse sector is a hotbed for growth. Greenhouses specializing in fruits and vegetables in Canada have increased

Globally, population growth is expected to rise to 9.7 billion in 2050, with food demand rising around 56% by 2050 from 2010 levels. Meeting future demand is a daunting task amid rising food insecurity. In Canada, more than 20% of households experience food insecurity, while food prices in stores have increased 21.6% from February 2021 to February 2024 due to several factors, including poor growing conditions, supply chain issues, and high input costs. These factors present a challenge for the agriculture sector to innovate and advance climate resilient, efficient systems that bring more of the food produced to people’s plates at an affordable price. Canada’s greenhouses are well positioned to help meet the challenge because of their high land use and input efficiency, potential to shorten supply chains for Canadians, and a strong history of growth and innovation.