Changes to the government’s major farm safety net programs could come as soon as next summer after a review of the agricultural policy framework, says a senior Agriculture Canada official.
Federal and provincial ministers agreed to launch the review demanded by farmers when they met in Prince Edward Island in mid-September.
Once the bureaucracy of the review is organized, work is expected to start by early 2005.
Howard Migie, acting Agriculture Canada assistant deputy minister for the strategic policy branch, said ministers want an early report on the performance of the Canadian Agricultural Income Stabilization program by the time they meet in Alberta next summer.
Read Also
Phosphate prices to remain high
Phosphate prices are expected to remain elevated, according to Mosaic’s president.
“There was a sense of urgency that governments want it up and running so they can receive and consider the most urgent recommendations by their summer meeting next year,” Migie said.
Farm lobby representatives last week were clear about what must be assessed by next summer – the effectiveness of CAIS.
“From our perspective, the key issue is whether CAIS has worked in its first year and whether it is affordable for farmers,” said Cam Dahl, executive director of Grain Growers of Canada.
“That is the issue that must be flagged and ministers should be prepared to act on that by next summer.”
Canadian Federation of Agriculture president Bob Friesen offered a version of the same perspective.
“The first issue to deal with in this review is how well the program responded in the crisis. Did it get money to farmers who needed it and did it properly gauge the magnitude of the crisis?”
As approved by ministers in P.E.I., the APF review will include committees looking at all aspects of the program – business risk management, environment, food safety, renewal and research.
Subcommittees on all those topics will be organized during the next three months, supported by technical committees and overseen by a steering committee that will report to ministers. The exact structure and terms of reference are still to be worked out.
In both federal and provincial delegations to the review committee, the food industry is to have equal representation with government. Migie said that will mainly be farmers.
While all elements of the APF will be reviewed, he said all sides know that the key concerns to be dealt with first are the financial issues.
“I expect industry and provinces both will raise issues,” said Migie. “One of those may be the provincial issue of affordability, but I think that will be dealt with in another forum.”
Ministers have agreed to meet in October for an all-day political discussion on the issue of provincial ability to pay the required share of farm support costs.
Friesen said the issue is more the responsiveness of the program rules to farm income disasters.
Farm representatives on the review committee will try to raise the issue that income crises caused by international trade barriers should not be dealt with by federal-provincial-industry funded programs. They say it should be a federal responsibility.
Dahl said the review also will have to assess the complaint that by having CAIS compensation based on a percentage of historic returns in a time of low margins, the program does little but stabilize farm poverty.
