Agriculture Canada is offering a stand-pat budget for the next fiscal
year starting April 1, 2002, proposing to spend $1.828 billion on
departmental administration and transfers to farm programs.
It includes a $60 million increase in contributions to the Canadian
Farm Income Program and a $15 million cut in federal co-funding of
provincial safety net companion programs.
Overall, the department is proposing to cut $4 million in the new year
from what it said it planned to spend this year.
Actual spending in 2001-02 will be higher than last year’s proposals
Read Also
AI expected to make itself felt in food systems
Artificial intelligence is already transforming the food we eat, how farmers produce it and how it reaches the consumer, experts say
because of unexpected expenses during the year so the actual cut would
be greater.
As an example, documents tabled in Parliament Feb. 28 show that the
government allocated an additional $10.7 million to the Canadian Food
Inspection Agency in the current fiscal year for “public security and
anti-terrorism initiatives”.
The government also has asked Parliament for an additional $25 million
to cover increased costs of plant protection and animal health payments
in the current fiscal year.
Ottawa also promised to guarantee up to $140 million in Farm Credit
Canada loans to ethanol companies.
The Canadian Alliance reacted to the cut in agriculture spending
proposals by noting that Communications Canada receives an $80 million
increase. Alliance Treasury Board critic John Williams called
Communications Canada “the Liberals’ propaganda agency”.
It led to a CA assessment on the government spending plans: More for
propaganda, less for farmers.
Overall, government spending for the new year is proposed to increase
by $5 billion.
“Much of this spending makes Canadians shake their heads in wonder,”
said Williams, MP from St. Albert, Alta.
“This Liberal government has $80 million more for propaganda next year
but is cutting the department of agriculture by $4 million. Where are
their priorities?”
Some rural Liberal MPs may ask the same question.
The small cut in proposed agricultural spending is likely to come under
critical assessment from Liberal MPs when it comes before a
parliamentary committee this spring.
Increasing numbers of Liberal MPs are suggesting that the government
must pony up more money in the short term to help farmers deal with
financial troubles and foreign subsidy competition in the gap until
federal and provincial governments successfully negotiate a new
national risk management and safety net system.
