Had the weather not turned for the snowier, carbon would have been the story of the week. And if not carbon, then it would have been recommendations to the federal finance committee as it tours Western Canada.
In the news business, which is what we do here at the WP, weather trumps policy, at least during the growing season.
Farmers are tied to the weather, almost as much as they are tied to government policy. Government policies are core to some of the butter going on the bread that is feeding the year-in-year-out farming machine in Canada. Weather makes the bread.
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A new tax policy on carbon might seem like a small deal to many folks, considering that farms are so large and asset rich, but money that pays for those assets comes from a narrow band of every farm revenue dollar. Everything that eats into that band comes out of a farmer’s personal income.
On average, commercial-scale grain and oilseed producers have seen their net incomes rise when adjusted for capital cost allowance. For the very largest operators, this has increased from about $40,000 a year in 2001 to $214,000 in recent years. For the most common-sized, commercially viable crop producers, it has risen from $9,000 to $34,000. For beef cattle producers, it ranges from $9,000 to $18,000 and $52,000 to $125,000.
So, every dollar of taxation on carbon use for fertilizer or fuel or a new transportation price increase or a new trade deal isn’t coming from some medium to large business’s costs, independent of an individual’s personal income. It really is coming out of a farmer’s jeans.
Most livestock and crop producers in Canada are exporting price-takers who can’t pass on new costs or use new technology to avoid them.
In this week’s WP, come for the weather coverage, stay for the policy.
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On a less ranty note, your WP journalists took home some impressive Canadian Farm Writers’ Federation annual prizes last week:
- Robert Arnason won a gold award for Technical Feature on CRISPR technology.
- For Editorials, Barb Glen won gold and D’Arce McMillan silver.
- Farm Living editor Karen Morrison won silver for Weekly Press Reporting.
- Mary MacArthur won gold for News Photograph.
- William DeKay won bronze for Feature Photograph.
