SASKATOON (Staff) – Saskatchewan premier Roy Romanow says he is frustrated and worried by the messages coming from Ottawa on the future of the Crow Benefit.
Romanow said last week there is lots of talk “in the back rooms and at the officials level” that the decision has been made to change the method of payment of the subsidy within the next few months.
“As a provincial government we are trying to figure out our strategies in the absence of facts, by way of speculation,” the premier told reporters after speaking to a farm trade conference.
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Pay producer better than nothing
Romanow said while the province would prefer to see the $588-million payment continue to go to the railways, a switch to a producer payment would be preferable to losing the subsidy altogether.
“At a bare minimum this is a benefit to the region of Western Canada and must be maintained,” he said.
“If you totally eliminate it, you’re talking huge dollars which will immediately impact in a very negative and dramatic way on farmers.”
Asked if he has any reason to believe the federal government would eliminate the payment altogether, Romanow said the federal deficit may prompt Ottawa to take drastic action.
“There are some worrisome signals that these changes are coming and I worry that it may be coming for straight fiscal reasons as opposed to an agricultural policy reason.”
