At Keystone Agricultural Producers’ recent spring Advisory Council meeting, KAP members discussed a wide range of issues – especially the current canola crisis.
KAP president Bill Campbell noted that federal Agriculture Minister Marie-Claude Bibeau indicated she had forwarded a letter to her Chinese counterpart, requesting to send a delegation led by the president of the Canadian Food Inspection Agency to talk about the quality of Canada’s canola.
“We believe in a science-based approach to regulation and market access, and we support a technical delegation to China,” said Campbell. It is evident that China’s allegations are not science-based or this would be sorted out by now. We need a diplomatic response as well, and we expect high-level elected officials to deal with China as soon as possible. Farmers want and need action immediately. We’re four weeks away from seeding, and each week we don’t get a decision puts us in a more precarious situation.”
KAP recognizes that the Advance Payments Program – a program that assists farmer with short-term cashflow, some of it interest free – could be an important tool for some if the limit and the interest-free portion were increased, and the deadline extended. However, although this program may help in the short term, it will not help longer-term market disruptions.
“If prices don’t improve from the low they are at now due to lack of demand, many farmers will have difficulties paying their advances back,” said Campbell.
Another option could be the federal-provincial AgriStability program. However, Campbell says that farmers are skeptical that AgriStability will provide assistance in this situation and what, if any, assistance it may provide will be a long time coming.
“The long and the short of it is that we need the government to be prepared for an ad-hoc program designed for this critical situation,” he said. “This situation has created uncertainty and we do not know the impact and will not know the impact until long after the canola acres are in and the new crop is off. We would ask AAFC to provide regular market updates so that we can continue to monitor the situation.”
Another issue addressed at the meeting was a review of the Canadian Grain Act that created the Canadian Grain Commission to protect the quality and reputation of Canada’s grains.
In total, eight resolutions were passed at the meeting.