ONTARIO (Ottawa) — National Farmers Union (NFU) President Katie Ward urged the House of Commons Agriculture and Agri-Food Committee to support changes to Business Risk Management Programs. Changes that will support a robust food system in Canada that can deliver both production and fair incomes in the face of shocks and disruptions such as the COVID-19 crisis and increasingly erratic weather conditions.
“All farmers want to make a good living by farming. We do not seek government handouts — in fact, when you look up “self-reliance” in the dictionary, you’ll probably find a Canadian farmer,” said Ward. “Business Risk Management programs are the backstops necessary to enable farmers to continue farming in the face of unexpected bad harvests, low prices and unexpected events. We note that when we lose farmers to one or two bad seasons we lose not only their production, but the skills and knowledge these farmers hold.”
Ward shared information illustrating the stagnation of farmers’ realized net income over the past three decades, even while total revenues have gone up. “It might be obvious, but the lack of adequate net income leaves Canadian farmers increasingly vulnerable to market fluctuations, weather-related yield reductions, and rising input costs. We need BRM programs that are equitable and work effectively,” concluded Ward.
Ward urged the Committee to recommend the following changes:
- Return the AgriStability trigger to 15 per cent of reference margin and eliminate its eligible expenses cap;
- Make crop insurance (AgriInsurance) more responsive to the impacts of climate change and improve coverage to make it more useful for smaller and more diversified farms;
- Simplify and streamline application processes to make BRMs more accessible, particularly for new and young farmers.
Ward also encouraged the government to make economic stability and adequate net farm incomes a high priority as a way to help keep down the cost of BRM programs. She also highlighted the importance of the Canadian Grain Commission (CGC) for the incomes of grain farmers. The CGC is both a watchdog to prevent grain and railway companies from taking advantage of farmers and it safeguards our grain exports’ quality so it can command a high price from export customers.
The NFU is a grassroots farmer organization advocating for farm families across Canada since 1969. Members work together to achieve agricultural policies that ensure dignity and income security for farm families while protecting and enhancing rural environments for future generations. The NFU advocates for a food system based on the principles of food sovereignty, which calls for a food system that values farmers and what they grow; rebuilds relationships between food producers and those who eat; reclaims local decision making about food production and environmental protection; and strengthens connections between people and the land, empowering communities and citizens to make intentional decisions based on local needs and conditions to ensure a resilient and sustainable future.The NFU collaborates locally, nationally and internationally to research, educate and share effective solutions that lead to a better world for farm families and their local communities.
