For Stephen Vandervalk, a fourth-generation farmer in Alberta, the math was already tight. Growing malt barley, durum wheat and canola near Fort Macleod, he admits it’s been hard to keep pace with fertilizer prices doubling, and in some cases tripling, over five years, while diesel costs far more than it did a year ago.
Now there’s another variable that could have a seismic impact on the future of Vandervalk’s operation. On Oct. 19, Albertans will vote on whether the province should stay in Canada or start the legal process toward a binding referendum on separation. For farm families whose crops ride the rails to Vancouver and onto ships for transport elsewhere, that question isn’t abstract. It touches the route to market and the trade deals that shape every sale and keep local businesses viable.
The vote isn’t a definitive decision on Alberta’s sovereignty. But knowing what’s at stake can help farmers and rural households make sturdier money decisions while the debate plays out.
Thanks for subscribing!
The best of Money.ca delivered weekly.
By signing up, you accept Money.ca Terms of Use, Subscription Agreement, and Privacy Policy.
Is Alberta really voting to leave Canada?
Not directly. Instead, the vote asks whether Alberta’s government should begin the legal process toward a future binding referendum. All 10 questions on the ballot are non-binding.
Still, uncertainty alone can shift lending, investment and land decisions long before any border would appear.
Must Read
- A single line on your car insurance policy could be inflating your premium by up to 30% — here's what to change
- Here are 5 'must-haves' that Canadians constantly overpay for. How many of these are sabotaging your budget every single month?
- Here are the 5 biggest differences between rich and poor Canadians — which side do you fall on?
Join 20,000+ readers and get Money.ca’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.
How much of Alberta’s farm income depends on exports?
A great deal; in fact, Alberta shipped $17.1 billion in primary agricultural commodities and value-added farm products internationally in 2025, according to Government of Alberta data. Beef, wheat and canola seed are the top three exports.
However, trade inside Canada also matters. Billions of dollars in farm products move between Alberta and other provinces annually, Manuel Juárez Davila, director of the Simpson Centre for Food and Agricultural Policy at the University of Calgary, told CTV News. That means separation would require new agreements covering both crops and livestock.
Additionally, an estimated 34,000 Albertans in the agriculture sector hold jobs supported by exports to other provinces, according to a recent report commissioned by the Calgary Chamber and authored by University of Calgary economist Trevor Tombe.
Why are ports and trade deals the biggest worry?
For farmers, geography is an existential concern. “Alberta is landlocked, so we do need access to ports,” Vandervalk told CTV News. He questions whether neighbouring British Columbia would co-operate with an independent Alberta, and whether U.S. routes could handle the volume.
Tombe’s report also notes that the rest of Canada depends on the same Vancouver corridor, so an arrangement would likely emerge to manage its operations. Access that farmers now take for granted would become a matter of negotiation.
Trade deals are the bigger unknown, as agreements with the European Union, Latin America and Asia would all need to be negotiated, essentially from scratch, according to Juárez Davila. Joining existing deals would depend on current members, sometimes with unanimous approval required, Tombe notes. Outside those deals, standard most-favoured-nation tariffs would apply.
The Alberta Transition Council, a pro-independence volunteer group, has created an independence plan that proposes negotiating rail, port and trade agreements with Canada. However, even that plan concedes that the province’s access to Canada’s internal market wouldn’t automatically persist in its current form.
What could this mean for a farm’s bottom line?
In his report, Tombe models economy-wide trade costs rising either 5% or 8%, a range that uses Brexit as a framework. In those scenarios, Alberta’s economy would be $41 billion to $62 billion smaller each year, and exports could fall by as much as a quarter, or about $66 billion. Tombe stresses that these figures are not forecasts but mere illustrative scenarios.
For individual farms, higher trade costs would likely mean thinner margins between world prices and what buyers pay at home.
The federal safety nets would also come into question. AgriStability and AgriInvest are programs that help producers manage income drops. Both are cost-shared 60/40 between Ottawa and the provinces. In an independent Alberta, it’s unclear who or what would cover Ottawa’s 60%.
What to do now
Little will change on Oct. 20 if the referendum passes, but a few moves make sense whatever the result:
- Stress-test your farm budget against a 5% or 8% squeeze on export prices or freight
- Keep your AgriStability enrolment and AgriInvest deposits current
- Review your grain and cattle contracts for any delivery-point and disruption clauses
- Avoid land or equipment decisions driven by headlines, since nothing is set in stone
- Ask your lender or a licensed adviser about building a liquidity cushion in case of a business disruption
Vandervalk doesn’t support separation, though he understands the frustration with Ottawa that is influencing it. For producers, the practical question is how long the operation could absorb higher costs while trade terms get rewritten as a new normal takes hold. As Tombe’s report concludes, whether those costs are worth paying is “a judgment for Albertans to make.”
You May Also Like
- This 7-step plan from Dave Ramsey is designed to help you ditch debt, save more and build wealth — here’s how it works
- Prioritize these 4 critical investments and watch your net worth skyrocket
- Here are 8 solid money moves that could free up real cash every month — here's where to start
- Millionaires under 43 are reshaping investing — just 25% of their portfolios are in stocks. Here’s where their money is going
The most expensive financial mistakes are often the ones you don't see coming. Join 19,000+ Canadians who get the money moves, risks and opportunities shaping their finances — delivered free each week. Subscribe now.
Writer and editor based in Toronto with experience in personal finance, insurance, arts and culture and branded content.
