Canada’s most significant new private sector player in the grain industry is speaking strongly in favour of increased public sector investment.
Karl Gerrand, chief executive officer of Global Grain Group, told the Cereals North America conference Nov. 3 that government cutbacks to agronomy research threaten the future competitiveness of prairie farmers and the grain economy.
He also encouraged the government to stay committed to ensuring Canadian grain transportation efficiency and performance.
“If we don’t encourage and enforce the public sector to stay involved and keep some of these good programs that are producing that long-term (value), I think that’s probably (the biggest risk we have,)” Gerrand said in a question-and-answer session.
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Gerrand, a former Bunge executive, said he was worried by Agriculture Canada job cuts in 2013. Private sector forces are playing a bigger role in crop and variety development, but their focus doesn’t necessarily provide the broad foundation that Canadian agriculture needs.
“I think that industry tends to focus on short-term,” said Gerrand.
“There’s a place in research for public funding, and that’s where I’m a little worried.”
Gerrand said the looming retirement of perhaps 40 percent of Canada’s agronomists in the next few years means all sorts of essential crop production knowledge is resting on shaky foundations.
He said government also has a key role to play in keeping Canada’s grain transportation system efficient and reliable.
The country is uniquely challenged by few export routes and significant distances to port, so ensuring that the system can continue to offer quality grain to overseas buyers and get it to them reliably remains an important strategic role of government, he added.
