TORONTO, Jan. 29, 2026 /CNW/ - The future of Canada's agriculture industry is at risk, as nearly seven in 10 agri-businesses are advising the next generation not to run a business due to the level of red tape. If governments don't act, the consequences will ripple through Canada's entire food chain as agri-businesses continue to hang on by a thread.

A new snapshot from the Canadian Federation of Independent Business (CFIB) highlights how excessive regulations are discouraging entrepreneurship, undermining competitiveness and impeding innovation in the agriculture sector.

The consequences of excessive red tape extend far beyond mere paperwork. Nearly nine in 10 agri-businesses worry about their future in the industry due to the extensive regulatory burden, and 90% say it's slashing productivity and stalling growth. An agri-business in Ontario stated that his business struggles to grow "due to the government policies and regulations which makes it unpalatable to want to expand or even run a small business."

"Excessive red tape is putting the future of Canadian agriculture and our food supply at risk," said Laure-Anna Bomal, CFIB's economist. "If farmers and producers walk away because of overwhelming regulations, who will grow our food? From municipal building permits to provincial environmental regulations, and lengthy federal survey requirements, these top irritants are draining time and resources from the very businesses that keep Canada fed."

According to CFIB research, Canadian businesses face approximately $51.5 billion in compliance costs annually, just under $18 billion of which is considered red tape. This burden is acutely felt by agri-businesses, which are among the most heavily regulated industries in Canada. Red tape disproportionately impacts small business owners who have limited time and resources to dedicate to navigating Canada's complex regulatory landscape and government paperwork.

To alleviate the regulatory burden on agri-businesses, CFIB recommends that local, provincial, and federal governments:

• Measure the regulatory burden on both businesses and citizens from all government, agencies, and delegated authorities; publicly report on this burden annually
• Reduce the total number of regulations by introducing a "2 for 1" rule
• Simplify existing regulations and guidance
• Create permanent avenues for businesses and citizens to provide suggestions for red tape reduction
• Keep compliance flexible and provide basic examples and guidelines for what constitutes compliance and non-compliance

"Reducing the regulatory burden and red tape has been the top priority of agri-businesses for years," said Juliette Nicolaÿ, CFIB's bilingual policy analyst. "In the face of global inflation and tariff wars, this is now a matter of survival for the industry. Governments must act now to safeguard the future of this key sector."

This year's Red Tape Awareness Week is presented in partnership with Intuit QuickBooks.

To learn more, visit: cfib.ca/redtape.

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About CFIB

The Canadian Federation of Independent Business (CFIB) is Canada's largest association of small and medium-sized businesses with 100,000 members across every industry and region. CFIB is dedicated to increasing business owners' chances of success by driving policy change at all levels of government, providing expert advice and tools, and negotiating exclusive savings. Learn more at cfib.ca.

SOURCE Canadian Federation of Independent Business