By mid-June, a new federal agriculture minister is expected to be sworn into office. A memo like this should be high in the pile in the new minister’s in-basket, written by officials who want to flag issues requiring quick attention.
Welcome, minister, to the corner office on the ninth floor.
Enjoy the view of the Central Experimental Farm, but not for too long. There are some events and issues this summer you should know about because decisions, or at least signals, will be needed.
In mid-July, you will be meeting provincial agriculture ministers in Trois Rivieres, Que. Expect that to be a session when ministers raise their pet peeves and try to get a measure of you.
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Be conciliatory but firm. The new national government sees agriculture as a joint responsibility, but it also has priorities and a national vision.
The next test will be in late July in Thunder Bay when you will be expected to appear before the summer meeting of the Canadian Federation of Agriculture directors.
Expect them, and particularly president Jack Wilkinson, to be friendly but blunt.
They likely will have several issues to raise that you should be prepared to respond to:
- Safety nets: the last Liberal government either did, or made plans to, abolish more than $1 billion in farm supports, from grain freight subsidies and regional feed freight assistance to the dairy subsidy. Finance minister Paul Martin also chopped $250 million from Ottawa’s safety net funding, reducing it to $600 million annually.
Farm groups have concluded the cuts have been too deep, particularly if more farmers decide to accept the offer to sign onto the Net Income Stabilization Account program. There would not be enough matching money available.
Expect farm lobbyists to insist that the safety net review now underway must lead to more money for safety nets. Otherwise, farmers are vulnerable.
They will make the argument, not without justification, that farm supports have been cut too much too fast, in an era when competitors are moving at a much slower pace.
- Cost recovery: Farmers heard promises from the last government that user-fee charges would be reined in and their cumulative impact monitored.
They are skeptical. The new government must show good faith.
- Trade: The gross numbers look good but farmers have noted that rising export totals are irrelevant if the goods are being sold at a loss.
Also, keep in mind the constant trade tensions with the Americans.
In late July, in fact, the U.S. international trade commission will issue a report on Canada’s potato exporters – and this at a time when New Brunswick producers are lobbying for help because of falling prices and incomes.
There also is the ongoing USITC investigation of the beef industry, and nervousness south of the border about near-record grain exports south.
This should be enough fodder for the first week. Stayed tuned for more hot-button issues in the next memo.
Have a nice day.
