Proposed legislation aims to boost domestic control and unlock Clay Belt potential
KING CITY, Ont. — The Ontario government is moving to tighten control over who can own the province’s farmland while opening new opportunities for agricultural expansion in the north, as part of a broader strategy to strengthen the agri-food sector and economic resilience.
In a news release issued April 21, the Ministry of Agriculture, Food and Agribusiness outlined plans to introduce legislation that would restrict foreign acquisition of provincial farmland and improve access to agricultural land in northern Ontario’s Clay Belt region.
The proposed measures are intended to preserve farmland ownership for domestic producers while supporting sector growth in underutilized regions.
“Ontario farmland is an important, limited resource and it should be owned by Ontario farmers,” said Trevor Jones, Minister of Agriculture, Food and Agribusiness. “Now more than ever we need to protect and grow our agri-food sector. These proposed changes will protect local food production, grow our economy and keep our farmland under domestic ownership for future generations.”
Aligning with national trends on farmland protection
If passed, the legislation would bring Ontario in line with other provinces such as Alberta and Quebec, which already have rules limiting foreign ownership of farmland. The government says the move would help ensure that agricultural land—often held by families for generations—remains under Canadian control.
Officials argue that maintaining domestic ownership is key to safeguarding food security and reinforcing the province’s agri-food supply chain. The government also plans to consult with farmers, municipalities, and industry stakeholders on how the restrictions would be implemented, including possible exemptions.
The agri-food sector remains a major economic driver in Ontario, employing one in nine residents and contributing $52 billion to GDP in 2024. Farmland accounts for just 5.2 per cent of the province’s total land base, underscoring its limited availability.
Northern expansion focused on Clay Belt region
Alongside ownership restrictions, the province is proposing to expand agricultural production in northern Ontario by streamlining access to Crown land in the Clay Belt—a vast area spanning roughly 180,000 square kilometres across Ontario and Quebec.
While Quebec has seen more extensive agricultural development in its portion of the Clay Belt, Ontario’s side remains comparatively underutilized. The government aims to change that by making it easier for farmers to lease or access arable land in the region.
The Clay Belt is considered suitable for a range of agricultural activities, including forage, field crops, and livestock production, provided appropriate drainage and land management practices are in place.
“Our government will never stop championing the immense opportunities in our northern Ontario agriculture sector,” said George Pirie, Minister of Northern Economic Development and Growth. “We are taking new action to unlock Crown Land in the Clay Belt, expand the northern Ontario agricultural footprint and grow prosperity and competitiveness to the region.”
Balancing growth with Indigenous rights and consultation
The province says its approach will prioritize projects driven by local proponents and economic partnerships, while respecting Indigenous communities and their Aboriginal and treaty rights.
Public consultation on the proposed foreign ownership restrictions is set to begin April 22 through Ontario’s Regulatory Registry, with additional engagement planned to guide implementation.
Northern Ontario’s agricultural sector, while smaller than its southern counterpart, is already contributing to the economy. In 2021, 1,782 farms in the region generated $238 million in farm cash receipts, with grains and oilseeds, dairy, and cattle among the leading commodities.
More than 90 per cent of land in northern Ontario is Crown land, offering significant potential for expansion if access barriers are reduced.
Additional support and political messaging
The announcement also included broader messaging about economic stability and domestic production in the face of global uncertainty.
“Ontario’s Clay Belt is a vital part of our province, offering significant opportunities to grow our agri-food sector while protecting the lands and natural resources that our communities depend on. By modernizing how we manage and access Crown land in this region, we are unlocking the Clay Belt’s full potential to strengthen food security and support economic growth across northern Ontario for generations.”
- Mike Harris
Minister of Natural Resources
“In the face of global instability, we’re protecting Canadian farms and keeping those vital lands in Canadian hands. Ontario’s plan will boost our self reliance so farmers in King and Vaughan can grow and produce more high-quality nutritious food to feed our families. We will continue to support farmers through our 10 cent reduction in gasoline and diesel, and the removal of the federal carbon tax.”
Outlook
The proposed legislation signals a shift toward tighter control of agricultural assets and a renewed focus on domestic production capacity. While consultations are still underway, the initiative reflects growing concern among policymakers about food security, land availability, and foreign investment in critical resources.
If implemented, the measures could reshape farmland ownership dynamics in Ontario while opening new frontiers for agricultural development in the province’s north.