The Canadian Grain Commission is contemplating adding canaryseed to the list of 21 crops eligible for payment protection under the Canada Grain Act.
“Canaryseed has become economically important to prairie producers and many have asked us to regulate it as grain,” said CGC chief commissioner Chris Hamblin.
Growers who delivered canaryseed to licenced companies like Naber Seed and Grain, which was placed into receivership last year, lost thousands of dollars because the crop isn’t covered by the grain commission.
At one time it was an insignificant crop but production over the past five years has ranged from 100,000-240,000 tonnes and annual exports have been valued as high as $87 million.
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Larry Weber, a broker with Weber Commodities Ltd., said there is no reason why the crop shouldn’t be covered by the grain commission.
“Last year there was more acres in canaryseed than there was in rye and rye is protected so why shouldn’t canaryseed be?”
Rob Lobdell runs a canaryseed processing plant in Eston, Sask. Putting the crop into the Canada Grain Act will require plants like his to pay a security bond if they want to become licensed. But that’s just the cost of doing business, he said.
“Certainly there has to be some protective measures put in place for a certain level of comfort for producers,” said Lobdell.
Scott Cunningham, president of the Canadian Special Crops Association, said including the crop is an exercise in futility because the grain commission isn’t properly enforcing the existing licence and bonding system. And he thinks it could create “issues” with exporters.
Producers have until May 30, 2003, to provide written comments to the grain commission. If canaryseed is added to the list, the most likely implementation date is Aug. 1, 2004.
