SaskPulse Reducing Levy for 2016-17

With revenues climbing quickly alongside the number of pulse crop acres, Saskatchewan Pulse Growers is informing its members of a temporary reduction in the checkoff on pulses and soybeans grown in Saskatchewan.

Effective August 1, 2016, the non-refundable levy on pulse sales will be reduced from 1% to 0.67% for one year, according to a letter emailed to growers on July 4 (read it here).

SPG recognizes that increased pulse acres and growing market demand have led to a record high value of production for pulses, said SPG chair Tim Wiens:

“As a result, SPG levy revenue has exceeded the organization’s operating expenses in recent years, as levy has increased from $13 million in 2013/14 to an anticipated total of $25 million in levy revenue in 2015/16. With this in mind, along with a significant accumulated reserve, we felt it was appropriate to reduce the levy to better match revenues with expenses and to keep more money in the pockets of growers.”

The group is facing pressure to grant refunds to growers who request one, as members in attendance at the organization’s annual general meeting in Saskatoon in January voted in favour of a motion to make the levy refundable.

Wiens said they will be seeking grower input on the size of the levy and whether it should be refundable this summer, indicating growers might be contacted by Insightrix Research. Both the refundability and the size of the levy will be discussed at the group’s annual meeting on January 9, 2017 in Saskatoon, he said.

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