Saskatchewan wheat and barley growers will soon be asked to pay checkoffs of 52 and 50 cents per tonne respectively on all wheat and barley grown in the province.
If approved, the levies would be collected beginning Aug. 1 and would generate revenues of roughly $4.5 million a year for wheat and $1 million a year for barley beginning in the 2013-14 crop year.
The new levies would be in addition to existing producer checkoffs collected to support organizations such as the Western Grains Research Foundation, the Canadian International Grains Institute and the Canadian Malt Barley Technical Centre.
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The levy rates are being proposed by two provincial steering committees tasked with setting up permanent wheat and barley commissions in the province.
Cherilyn Nagel, chair of the wheat steering committee, said work is progressing.
Farmers and others will have an opportunity to comment on the commissions and the proposed levy rates during a commentary period, expected in February.
Before the commissions are established and levies are implemented, organizers must demonstrate to the province that there is adequate producer support, Nagel said.
The proposed provincial levies are not intended to replace existing producer levies already being charged on wheat and barley production in Saskatchewan.
Together, existing federal levies and proposed provincial levies will result in a combined checkoff of $1 per tonne for wheat and $1.06 per tonne on barley for all Saskatchewan cereal grain producers.
