Agriculture minister Lyle Vanclief says growing balances in farmers’ Net Income Stabilization Account plans makes it hard to convince federal finance officials that farmers need additional aid.
And many non-farm small businesses wish they had the level of support farmers receive, he said in a Feb. 10 interview.
“I think the reality of today is that governments cannot bail out any or all business that for whatever reasons are having financial difficulties,” he said. “Quite frankly, I’ve had a lot of small businessmen speak to me and a lot of people, when they realize and see the federal and provincial government support in crop insurance premiums, considerable sums of money into NISA, often the comment comes back to me, ‘I wish I had that support in my business.’ “
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Vanclief said Canadians do not resent helping farmers.
“But they also say to me, ‘Lyle, governments cannot be all things to all people at all times.’ “
The minister was responding to a question about whether he believes farmers staging sit-ins or angry rallies are expecting too much from governments.
Vanclief said government attitudes have changed. Some farmer attitudes may not have caught up.
“Over the decades, there has been a high level of expectation out there and governments, whether they could afford it or not, put out major contributions,” he said. “What has happened in the last number of years is that our government has tried to make the investment in agriculture, one that could help producers move toward the marketplace … rather than look to support programs.”
He said growing NISA account balances are not helping convince government to spend more. During the past year, NISA balances have grown from $2.4 billion to $3.1 billion, half of that on the Prairies.
And last year, fewer than half the 43,000 Saskatchewan farmers who could trigger a NISA payment took advantage of it, leaving untouched more than $300 million that could have been withdrawn.
Vanclief said he understands this can be a business decision by a farmer hoping to get by one more year before taking NISA money.
He also said he does not know if the NISA accounts are held by farmers who need them. But it looks bad.
“A lot of people are saying to me, including finance department people and why wouldn’t they … what about all these government dollars we’re putting out there? What are they being used for?” said Vanclief. “This is a clear concern.”
Meanwhile, the minister said he continues to lobby finance minister Paul Martin for money to organize a better farm exit program, financed by programs in several departments. It would make transition or training funds available to farmers who have decided to leave farming.
– WILSON
