Falling Dollar Boosts Exports
With the Canadian dollar threatening to drop below $0.80 U.S., cross-border shopping is getting more expensive. But it is easier for Canadians to sell products to the United States.
Dresden-area farmer and agricultural economist Phillip Shaw says that means higher prices.
“It makes Canadian agricultural commodities as well as our industrial goods here in Ontario much more attractive to our American friends because their dollar goes much farther here,” he says. “It’s pretty good for Ontario, however there is a a different side. Fertilizer will likely cost us more money because that’s traded on international markets in U.S. dollar terms.”
The dollar has fallen from $0.94 a year ago and from par with the American dollar back in July 2013.