RAMA, Sask. – About 20 farmers blockaded the road into Big Sky Farms’ feed mill north of Rama, Sask., Nov. 24.
The farmers say they are owed more than $1 million for grain they delivered to the financially troubled hog producer.
The company owes $15 million to grain growers who supplied it with wheat and barley.
The group is calling on the Saskatchewan government to cover their losses as Big Sky moves through the creditor protection process.
The farmers are listed as unsecured creditors and say they are unlikely to be compensated for the grain they delivered.
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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
Daryl Possberg, vice-president of operations for Big Sky Farms, met with the farmers at the Rama site, but he said the creditor protection process must follow its course.
“We are hear to listen to them and their concerns and tell them what we can about getting them paid and offer what we can,” he said.
Rama farmer Rob Carlson, who is owed more than $50,000, said the company is offering to buy grain at a premium of 40 cents per bushel over the previous price.
“Problem is that at that rate, most of us would have to have at least 100,000 bu. to deliver. None of us are that big and most have already hauled Big Sky all their feed wheat and barley,” he said.
“The (Saskatchewan) government is the majority owner of Big Sky, they knew they were going to do this (creditor) protection and we wouldn’t get paid and they let us keep delivering. They are responsible for payment.”
Saskatchewan agriculture minister Bob Bjornrud has said the government won’t help financially.
The farmers, including David Paczay of Ogema, Sask., who is owed $13,600, are asking how the government, with representatives on the Big Sky board of directors, could knowingly allow them to haul their grain, when they “must have known the company couldn’t pay.”
