Despite calls to extend the payment deadline for outstanding crop insurance balances beyond March 31, the Saskatchewan government stood firm last week.
Agriculture minister Mark Wartman said the Saskatchewan Crop Insurance Corp. was willing to accept a 25 percent payment now and allow payments until June 30 to clear up balances.
But he said program participants have known of the deadline all along and have had ample time to make payment arrangements.
“We carry them debt-free until Oct. 31,” he said in the legislature. “From Oct. 31 until March 31 there is moderate interest. And, Mr. Speaker, in that time they have opportunity to go to crop insurance and to make arrangements.”
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About 3,800 farmers received registered letters in March advising them of their outstanding bills. If they don’t pay, they won’t get insurance for the coming crop year.
Wartman said, as of March 30, payments had been made by or arrangements made with 1,744 participants, leaving 2,059 outstanding. He could not say how much money was owed to the corporation.
Agriculture critic Bob Bjornerud asked where those 2,000 farmers are supposed to turn. He said the government should be more sympathetic, given the dismal financial picture on many grain and oilseed farms.
He said it wouldn’t cost the corporation much to extend the deadline and it would make some money on the interest.
“The smaller things we can do here to help might put more optimism back out there,” Bjornerud said, adding that he is getting phone calls from farmers he “would’ve never dreamt were up against it.”
But Wartman said the Saskatchewan Party is trying to drive a wedge between the government and farmers by continually raising the issue in the legislature last week.
The Agricultural Producers Association of Saskatchewan also said it is worried about farmers who can’t obtain operating credit because they haven’t paid their crop insurance bills.
“The cold, business-as-usual attitude of the Saskatchewan Crop Insurance Corp. needs to take a short hiatus while the farm income crisis is at its worst,” said vice-president Dave Brown, in a News release
news. He said a government with a surplus budget should be able to be more flexible.
Finance minister Andrew Thomson is scheduled to
deliver his budget address April 6.
