Prairie farmers are getting too much of the federal government’s safety net money, says British Columbia agriculture minister Corky Evans.
And he’s going to the annual premiers’ conference in Prince Albert , Sask., on July 5 to demand the prairie bias be broken.
“I think they invented the safety net system … essentially for the Prairies,” said Evans during a news conference. “And we have to keep trying to pry more money loose.”
Evans and six other provincial agriculture ministers have been arguing that the Prairies get too big a slice of the federal safety net pie.
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They will be opposed by Saskatchewan agriculture minister Eric Upshall and Manitoba agriculture minister Harry Enns, who say the changes ministers like Evans want would cost their farmers tens of millions of dollars, especially if the federal government does not increase safety net funding from its present level.
“If (it’s left at) $600 million and the group of seven get their way, it’s devastating results for Saskatchewan and Manitoba,” said Upshall.
Evans said safety net programs favor prairie growers because they are designed to be triggered when a single commodity is destroyed by weather or devalued by low world prices.
He said B.C. farmers are much more diversified, so they seldom get to take money out of the programs.
“We need to be able to defend the entire family income on a farm that grows four or five commodities,” said Evans. They shouldn’t be penalized for making intelligent choices.
“Our producers are hedging against price collapse by diversifying their enterprises.”
Evans wants more commodities to be covered by crop insurance.
Upshall said the move against the present design of the safety net system is “very serious business” for prairie growers. It could cost $50-$60 million to Saskatchewan and $15-$20 million for Manitoba.
Presently, 30 percent of funding goes into insurance, which protects crops against major weather damage. The rest goes into net income protection.
Upshall said prairie producers need more safety net protection because they operate in a much higher risk environment. Weather can be destructive, and prairie products are mainly sold on the world market, leaving them vulnerable to international trade wars.
Producers in B.C. and Ontario sell much more into the domestic market, and what they do export is not often involved in the same trade fights that afflict grain.
Upshall said he is going to fight to keep the present safety net structure for next year. The federal-provincial agreement expired last year but has been extended once already. It should be renegotiated after AIDA runs out after next summer, Upshall said.
Both Upshall and Evans say the safety net fight will be a key feature of this summer’s agriculture ministers’ meeting.
Apart from safety nets, the ministers will discuss Canada’s position for the world trade talks, biotechnology, long-term food trends, global warming and the Y2K issue.
