Accounting Standards for Private Enterprises

Exposure Draft, Agriculture


The Accounting Standards Board (AcSB) proposes, subject to comments received following exposure, to issue AGRICULTURE, Section 3041 in Part II of the CPA Canada Handbook – Accounting. This new Section provides agricultural producers with guidance on the accounting for agricultural inventories and productive biological assets. This new Section would also apply to not-for-profit organizations (NFPOs) using the standards in Part III of the Handbook, as relevant.

Staff Contact(s)

Lester Cheng, CPA, CA

Director, Accounting Standards Board


Part II of the Handbook does not include specific guidance for the agricultural sector. The AcSB has been informed that there is significant diversity in the accounting in this sector due to the absence of this guidance. In December 2015, the Board issued a Discussion Paper to obtain input from stakeholders regarding whether the Board should develop authoritative guidance and the issues such guidance should address. In response to stakeholder input, this Exposure Draft proposes a new section in Part II of the Handbook to provide accounting guidance to agricultural producers.