Farms.com Home  › News

Funding for Farmers is Welcomed, but Will Not Cover Losses

CHARLOTTETOWN, PE - The PEI Potato Board reacted to the announcement of the Potato Disposal Compensation Program, being jointly funded by the federal and provincial governments.

"This funding is important and timely news for Island potato farmers, who have been waiting to hear about a plan," said John Visser, Chair of the PEI Potato Board. "Having to destroy the potatoes we worked so hard to grow is the last thing farmers want to do, but this crisis, which never should have happened, has put us in this situation."

The Potato Disposal Compensation Program will provide funding to PEI farmers that have to destroy products due to the loss of markets from the ban of shipments to the U.S. and the Ministerial Order, and ensure potatoes are disposed of in an environmentally responsible manner. The funding covers the cost of destruction but will not cover the full value of the product being destroyed.  

"Growers really appreciate the funding, and how hard provincial officials have worked to get this in place. Yet, it's really important to understand that this will not come close to what farmers would have received at market, or necessarily save farms," said Greg Donald, General Manager of the PEI Potato Board. "The funding will offset some costs, but farmers are still left with huge financial losses, not to mention the loss of markets and the overwhelming uncertainty in planning for next year."

The Board and its producers have been exhausting all options for getting potatoes to markets and people in need. This has included upwards of 12 million pounds going to food banks and shelters across Canada over the winter. However most high value seed potatoes, which account for 40 million pounds are not even permitted to leave the Island despite some of the fields they have been grown in being tested and found negative, making destruction the only option.

"Funding is appreciated, but what we ultimately need is for the Federal Minister to remove the suspension and permit PEI Potatoes to go across the U.S. border, just like they are going across this country. We also need the Ministerial Order amended to cover only regulated fields going forward," said Visser. "We still need trade to resume right away."

The PEI Potato Board estimates there are 590,000,000 pounds of surplus potatoes on the Island, and 300,000,000 earmarked for destruction. There has been approximately $25.5 million of destruction funding, compared to an estimated market value of  $60 million. Approximately 42% of what farmers would have received should they have been able to sell to markets.

Source : Cision

Trending Video

Will USDA 'Save the Day' in Corn + U S Post Midterm Election Ag Impact

Video: Will USDA 'Save the Day' + U S Post Midterm Election Ag Impact

Will the 2026 USDA November crop report redeem itself after a shocking higher U.S. 2026 corn yield in October?
The Democrats taking control of Congress and the Senate was not on anyone’s bingo card except ours!
The AI stock selloff knee jerk reaction over Dem’s looking to slow done the AI build out is a gift!
The Dems will now try to reign in Trump on the Iran war, tariffs (first 100 days tariffs on Canada could be removed), immigration and the corruption in the Trump administration. E15 and a new farm bill in 2027 may struggle with gridlock in Washington.
Does China walk away with U.S. ag trade as Trump has lost leverage? China to buy more U.S. ag but hinges on U.S. tariff reductions? Hang Tung Resources signs $600 million China agreement of U.S. wheat and sorghum.
Crude oil plunges 8%.
U.S. Midwest soil moisture profile is a concern.
Brazil looks wet in the next 10 days.
Hogs to new contract lows.
+ CFTC