Agriculture leaders lobbying on Parliament Hill last week were confronted by an echo from the past as an MP told them many Canadians consider farmers too coddled and subsidized.
House of Commons finance committee member Nelson Riis told farm leaders Oct. 30 that many previous witnesses had suggested further spending cuts are possible to the next budget by reducing farm subsidies.
“It is a toss-up between defence and agriculture as to what people see as receiving the most special treatment,” the B.C. New Democrat said in an interview. Riis said he does not agree with that perception of the farm sector.
Read Also
Short rapeseed crop may put China in a bind
Industry thinks China’s rapeseed crop is way smaller than the official government estimate. The country’s canola imports will also be down, so there will be a lot of unmet demand.
Canadian Federation of Agriculture president Jack Wilkinson said people who make that accusation should study the current realities.
Canadian farmers have taken a substantial hit in reduced support during the recent deficit wars and most farmers with whom they compete have more backing from their governments, he said.
“People who think that agricultural subsidies are the last dinosaur that we have to get rid of should read a bit more,” said the CFA president. “Agriculture is not overly subsidized.”
The public perception of a highly subsidized farm sector also is challenged by government expenditure statistics published by Agriculture Canada this autumn.
They show a sharp decline in federal and provincial agricultural spending throughout the decade.
In 1991-92, combined federal and provincial spending peaked at more than $9 billion. Last year, it was just over $5 billion.
This year, it is expected to fall closer to $4 billion, a little more than half of it from Ottawa.
In keeping with the trend of declining government support and lower industry expectations, farm lobbyists who appeared before the finance committee during “pre-budget hearings” did not come bearing a list of expensive program proposals.
Instead, they pleaded for Ottawa to reconsider its cost-recovery and user fee policies, at least avoiding any new charges until a study is completed of the cumulative effect of past unco-ordinated user fee charges applied to the food industry.
Charles Milne, of the Crop Protection Institute of Canada, renewed calls for the government to make the Pest Management Review Agency less costly and more efficient.
Martin Rice, of the Canadian Pork Council, reminded MPs that the Canadian meat industry picks up inspection costs that competitors in the United States do not have to pay.
And the Ontario and Canadian federations of agriculture asked the government to react to the end of deficit financing by restoring some support, particularly in the areas of research and environmental projects.
They called for a federal government promise to maintain as a minimum the current $600 million whole farm safety net spending level, with the possibility it might have to rise if new crops or sectors decide to join.
“The time has come for society to reinvest in its agricultural sector,” said Wilkinson.
