Farmers miffed at wheat board research deduction

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Published: February 9, 1995

WINNIPEG – Cable television subscribers aren’t the only ones angry about negative option billing.

Wheat and barley growers faced a similar situation when a checkoff for plant breeding research was taken from their final Canadian Wheat Board payments.

Lyle Powell, of Souris, Man., was one farmer who wrote the foundation to get his money back.

He’s retiring, and said he feels the younger generation can pay for research since it will reap the most benefit.

Powell said he’s “a little cheesed off” at the way the money was deducted. “That’s what galls me more than anything else.”

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The Western Grains Research Foundation handles administration of the checkoff. Herman Austenson, foundation executive director, estimated that 10 percent of growers have asked for their money back.

With a deduction of 20 cents per tonne on wheat and 40 cents per tonne on barley, the foundation estimates $3.9 million can be generated for wheat and $900,000 for barley. The money is earmarked for plant breeding projects.

Austenson said he read about 100 letters but most did not provide a reason for wanting a refund.

Those who did elaborate said they were angry over lack of opportunity to opt out of the checkoff before deductions were made from the final payment.

The House of Commons bill that cleared the way for the checkoff did not become law until December 1994, so the foundation did not have enough time to contact all permit holders, Austenson said.

In future years, farmers will be able to opt out of the checkoff if they write to the wheat board before Nov. 1.

Patti Rosher, a CWB information officer, said the checkoff was well-publicized. “We had been talking about it for two years.”

“It should not have been a bolt from the blue for anybody,” added Austenson.

Rosher said she’s not surprised about the number of requests for refunds, and suggested most checkoff programs have similar refusal rates.

Austenson outlined other reasons farmers gave for refund requests.

  • Some farmers are getting ready to retire, and feel they won’t be around to benefit from their investment.
  • Some said they can’t spare the money.
  • Some believe governments or consumers should foot the total bill for plant breeding.

About the author

Roberta Rampton

Western Producer

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