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Ont. budget pleases farmers

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Published: April 3, 2008

Ontario farm leader Geri Kamenz says the Ontario Liberal government seems to have figured out that the province’s multibillion-dollar food industry, second only to the auto sector in economic value, is worth supporting.

“I think this government now understands the value and importance of the agricultural sector and that is positive,” the president of the Ontario Federation of Agriculture said last week after the province unveiled a budget that included some important agricultural spending.

“We see this as an important and welcome development.”

Last week’s provincial budget contained no big-ticket agricultural items but a series of small investments in areas as diverse as research into biofuel, a tax break for family farm corporations transferring assets to family members, money to expand internet service in rural Ontario and an increase of almost nine percent in the base budget of the provincial agriculture department, to $946.6 million.

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“We are positive, not so much that there was a windfall amount of money thrown out, but that there was investment in some important projects and an increase in the base and that is important,” said Kamenz.

“To see that kind of commitment tells me that we have a receptive audience in Queen’s Park (the Ontario legislature) and that is good.”

He said it seems to be a provincial government recognition that while the American economy is faltering and Ontario’s manufacturing sector sheds jobs, the food sector is far more stable, supporting hundreds of thousands of less-vulnerable jobs.

The Ontario budget offered:

  • A $56 million commitment over four years to a campaign that promotes purchase of local products.
  • A $12.5 million commitment to research at the Vineland Research Centre, which will complete a two-year $25 million investment promise.
  • A $7.5 million commitment to biofuel research at the University of Western Ontario in London.
  • A four year, $30 million commitment to expand broadband access and internet connections through rural Ontario.
  • A $76.4 million increase in the base budget of the agriculture department.

“There is nothing glamorous but it is a signal of significant support from the Ontario government,” said Kamenz.

About the author

Barry Wilson

Barry Wilson is a former Ottawa correspondent for The Western Producer.

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