Federal Ag Minister Gerry Ritz Announces New Growing Forward 2 Programs

Dec 07, 2012

Three New Programs to Streamline Investments in Agriculture and Agri-Food Sector

Agriculture Minister Gerry Ritz announced three new federal programs under the Growing Forward 2 framework on Friday that will work towards streamlining investments in the agriculture and agri-food sector. The new programs will focus primarily on innovation, competitiveness and marketing development that will come into effect April, 2013.

The following are the three new federal programs:

• AgriInnovation Program – will work towards assisting the industry with developing and commercializing new products and technologies
• AgriMarketing Program – will assist the industry strengthen its ability to adopt assurance systems such as food safety and traceability. It will also support the industry in securing new markets and helping with branding and promotional initiatives
• AgriCompetitiveness Program – will work on targeting investments that will help strengthen the sector and assist the industry with adapting to domestic and global market changes

"These new Growing Forward 2 programs will build on the success of existing programs to provide more streamlined support to the sector to help it remain a world leader in agricultural innovation and trade," said Minister Ritz. "We are making sure farmers and the entire sector has the tools and resources they need to stay ahead of the ever-changing demands of consumers."

The AgriInnovation Program takes effect Dec. 7 2012 and will be accepting applications immediately while the other two programs won’t be accepting applications until early 2013.

The streamlining of the agriculture programs was a promise made in the 2012 Economic Action Plan in attempts to make it easier for applicants to access programs. Growing Forward 2 represents $3 billion investment over a five year period.

Video: Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?

Historically, the USDA December crop report is a non-event or another dud report as the USDA reserves any final supply changes to the final report in January of the following year in this case 2026. But after the longest U.S. government shutdown in history at 43 days and no October crop report will they provide more data/surprise and make an exception?
Our China U.S. soybean purchase tracker is now at 26.6% or a total of 3.2 mmt but for traders it’s taking too long to unfold.
The final Stats Canada production report was bearish canola and wheat projection a record crop in both (it adds to the global glut of supplies) and bullish local corn and soybean prices in Ontario/Quebec thanks to a drought. It will not help the fund flow short-term, the USDA may need to offset it?
A U.S. Fed interest rate cut of another 25-basis point next Wednesday (probability 87.1%) could help fund flow and sentiment in stock and ag commodities into year end.
More inflows into Bitcoin this past week saw prices rebound back above 90,000 with support at 82,000 and resistance at 96,000.
A V-shaped bottom in cattle suggest the lows are in after Mexico reported another new world screwworm case. Lower weights, seasonal demand and higher U.S. beef select/choice values with a continued closure of the Mexican border to cattle will result in a resumption of higher cattle futures into yearend.
Australia is expected to produce its 3rd largest wheat crop ever at 36 mmt adding to the global glut of supplies.
Reports of ASF in hogs in Spain the largest pork exporter in Europe could see the U.S. win more pork export business long-term.
If the rains verify into next week of 3-5 inches for Brazil it would go a long way to fixing the dry regions from the last 2-months, but the European weather model has been wrong for the past 2-months!
Natural gas futures are surging to the 3rd price count as frigid hold temps set in.
CDN $ is also surging to end the week on a very resilient economy and better employment numbers suggesting no interest rate cuts next week.
Finally, the CFTC report showed funds were net buyers of soybeans but sellers of corn, canola and wheat. In real time the funds have gone back to selling as they take some profits.