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Canadian Farm Expenses Outpace Sales
OTTAWA - Apr 6/05 - SNS -- The cost of operating a farming business in Canada rose faster than gross revenue in 2003, according to tax record data reviewed by Statistics Canada.
Revenues per farm were up 2.5% on average from 2002 to $207,689. At the same time, average operating expenses jumped 5.6% to $182,122.
As a result, operating margins fell from 14.9 cents per dollar of revenue in 2002 to 12.3 cents in 2003, the lowest level since at least 1990.
The gain in average operating revenues was largely due to a 6.1% increase in average crop revenues. Average sales of fruit rose by 14.0% and greenhouse, nursery and floriculture products increased by 12.1%. Sales of vegetables also contributed to the advance in the crop sector.
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