The money is flowing but farmers are still concerned
News Release
FOR IMMEDIATE RELEASE
August 19, 2002
(OTTAWA) - The Canadian Federation of Agriculture (CFA) is pleased federal bridge funding will finally find its way into the pockets of Canada’s needy farmers. There are still some concerns regarding how this money will be distributed.
At its Semi-annual meeting in Windsor in early August, CFA members made a unanimous recommendation to the federal government that the money be given to the provinces based on eligible net sales (ENS). The federal government has chosen instead to put the money directly into producers’ National Income Stabilization Accounts (NISA). The government did apply the CFA recommendation to use ENS as the basis for distribution.
“Since the government has decided not to accept industry’s recommendation to flow money to the provinces, they must heed this recommendation,” said Bob Friesen, CFA President. “The government must expand flexibility in triggering NISA funds in order to ensure that all farmers in need have immediate access to the money.”
CFA is concerned that many farmers in areas of high economic hurt may not have access to the bridge money in NISA. Producers who have sustained several years of depressed income may not be able to trigger NISA payouts. As well, NISA regulations prevent a producer who has exited the program from reapplying for a period of two years.
CFA also stresses this money will not address the economic hurt of this year’s drought. The money was announced by the federal government in June to mitigate the effects last year’s weather-related disasters. “This money will not help Canadian farmers overcome the terrible damage being done right now,” noted Friesen, following a tour of the drought-stricken prairie region. “I have seen what is happening out here in Alberta and Saskatchewan, and there is no better way to describe it than ‘devastating.’”
“The farmers I spoke to told me that it is absolutely necessary in the long-term agriculture policy framework to improve crop insurance, to develop a trade injury mitigation component, and a disaster mitigation component. In the short term it is imperative that the government flow additional disaster relief money into the drought area.”
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Backgrounder attached (Adobe Acrobat pdf): A breakdown of federal agriculture funding.
Founded in 1935 to provide Canada's farmers with a single voice in Ottawa, the Canadian Federation of Agriculture is the country's largest farmers' organization. Its members include provincial general farm organizations as well as national and inter-provincial commodity organizations from every province. Through its members, CFA represents over 200,000 Canadian farmers and farm families.
Contact:
Kieran Green, CFA Communications Coordinator, (613) 236-3633, info@cfafca.ca
Bob Friesen, CFA President, (204) 724-0824 (cell)
Brigid Rivoire, CFA Executive Director, (613) 236-3633 / (613) 715-3113 (cell)
