As prime minister Paul Martin and several senior ministers settled in for the long somber flight to Ottawa from Edmonton March 10, the talk turned to the income crisis on the farm.
The mood already was grim. Martin and his ministers had just attended a memorial service for four murdered RCMP officers and now, another depressing topic was on the table.
The four-hour flight was a pivotal episode in the government’s journey to the March 29 $1 billion farm aid announcement.
The previous week, any hope for an early opening of the United States border to live cattle had been dashed by a Montana judge’s decision to approve an injunction keeping the 49th parallel a wall.
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“March 2 really was a catalyst that forced us to focus on the need for action,” said a government member familiar with the origins of the aid. “I guess you could say the straw that broke the camel’s back came from a courtroom in Montana.”
Huddling with Martin on that flight were deputy prime minister Anne McLellan, finance minister Ralph Goodale and agriculture minister Andy Mitchell, as well as former solicitor general Wayne Easter who is preparing report for the government on low farm incomes.
It was agreed that the need was there, the money was available and the window of opportunity for effective action was short, perhaps three weeks.
By the time the plane touched down in Ottawa, the skeleton of a decision was there. Mitchell set to work finding the money.
Four days later in a private meeting in Calgary with beef industry leaders, Martin confirmed his intention.
“The prime minister said then that any plan had to include income support for the short term,” Canadian Cattlemen’s Association president Stan Eby said last week.
Two weeks later, Mitchell was at podiums in Guelph, Ont., Regina and Winnipeg to announce the results Ñ a $1 billion package spread over many sectors. He said it was a response to a combination of conditions including the closed border, low commodity prices, a high Canadian dollar and almost record low farm incomes.
Behind last week’s announcement there was a confluence of traditional political forces Ñ an identifiable need, effective lobbying, a government paying attention and the financial means to help.
Liberal sources say a key was Martin’s recognition that despite the open the border rhetoric from the White House and U.S. president George Bush, it was not going to happen.
Farm income numbers for 2004, to be published in May, will show another year of significant losses in many provinces and sectors.
“Everywhere the minister, the prime minister, any of us went, we were being reminded of the need,” said one MP who lobbied on the issue. “It was constantly in our face.”
Farm groups beat a regular path to Ottawa, pleading for help. A farm rally in Ontario and threats of others across the country played a role.
A delegation of Conservative MPs met with Mitchell to urge that the Canadian Agricultural Income Stabilization program not be used as a delivery mechanism and that payments get to farmers before seeding.
And then Goodale, a former agriculture minister, came up with the clincher.
As usual, the government had underestimated the surplus and his 2004-05 books were awash in cash. If money could be announced before the end of March, he could book it into the last fiscal year and not have to find new money.
“Ralph’s support and the cash available were very important,” said one of the players.
Cue the agriculture minister for an announcement.
