Veteran Saskatchewan New Democrat member of Parliament Lorne Nystrom says he wants Parliament to consider a farm income support plan based on returning at least the cost of production to a farmer.
In early May, Nystrom presented a private member’s bill to the House of Commons offering a formula for providing “cost of production protection for the family farm.” It is based on the idea that in any year during which market returns do not cover costs of production as certified by an auditor, “the federal government would step in to cover the difference.”
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federal government proposed several months ago to increase the compensation rate from 80 to 90 per cent and double the maximum payment from $3 million to $6 million
Under the House of Commons system for debating issues, private members’ bills are a way to introduce a topic and to force at least an hour of debate. They almost never are accepted by the majority and passed into law.
In Nystrom’s case, his bill C-510 likely will not be called for debate for many months.
He said the bill is an attempt to have the federal government face up to its responsibilities and the failure of its existing farm aid package.
“The fate of the family farm and farming communities lies in the hands of the federal government,” Nystrom said when announcing the tabling of his bill.
“Since 1991, federal funding has been slashed by 64 percent … . It is high time Ottawa owned up to its financial responsibility to farm families and commit to a comprehensive farm policy.”
Pay more, buy less
Canadian farmers are buying less farm equipment this year, but in general, they are paying more for what they do buy.
The Canadian Farm and Industrial Equipment Institute reported last week that big ticket item sales have fallen sharply in Western Canada.
To the end of April, sales of self-propelled combines were down 46 percent from last year’s poor performance, to just 210 units sold in four months. Sales of four-wheel drive tractors were off 48 percent to 293 units sold.
“We are paying the price for low incomes, uncertainty and pessimism,” said CFIEI president Brent Hamre in a May 17 interview.
Statistics Canada reported that compared to last year, farm machinery sold during the first quarter of 1999 cost 2.5 percent more. Compared to 1986, when the last trade subsidy war started, farm machinery prices are up 58.3 percent.
Egg consumption up
Last year, on average, every Canadian consumed 1.3 more eggs.
It doesn’t seem like much over 365 days, but considering there are more than 30 million Canadians, it means producers sold 36 million more eggs. Statistics Canada numbers had the Canadian Egg Marketing Agency crowing last week.
“This is wonderful news for our industry,” CEMA marketing committee chair Charlie Van Arnam said in an agency statement on the government numbers.
In 1998, Canadians on average ate 182.4 eggs, one every two days.
