Less than 24 hours prior to Sunday’s election call, the federal government announced changes for Agri-Stability.
The changes are being framed as a way to help farmers hit by Chinese duties on canola meal, canola oil, peas and pork, as well as the possibility of U.S. tariffs next month. The tariffs from China took effect March 20.
“China’s decision to apply these tariffs will have a devastating impact on our farm families and their communities. We’re working hard to diversify our trading partnerships and establish new markets, but we know the sector needs support now,” said Kody Blois, Minister of Agriculture and Agri-Food and Rural Economic Development in a news release from Saturday. “Today’s announcement is a direct result of their advocacy – and our commitment to them. As Canada’s Minister of Agriculture and Agri-Food and Rural Economic Development, I will continue to stand shoulder-to-shoulder with our producers and will defend the sector every step of the way.”
Agri-Stability is funded on a 60/40 basis by the federal and provincial governments. It is designed to help producers when their program year margin is less than 70 percent of reference margins based on past years.
The compensation rate will move to 90 percent, up from 80 percent.
But Kevin Hursh, the Chief Agricultural Editor of SaskAgToday.com, points out the increase to the compensation rate doesn’t make more producers eligible for the program because the aforementioned payment trigger is the same.
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