Grain groups call federal dairy compensation "shameful"

Non-supply managed agriculture sectors are raising concerns over the recent federal announcement of compensation for the dairy sector.

Minister of Agriculture and Agri-Food Canada, Marie-Claude Bibeau announced last week that Canada’s 11,000 dairy producers will receive $1.75 billion over eight years, with $345 million being paid the first year as direct payments to dairy producers in proportion to their quota.

Calling the move “shameful,” the Western Canadian Wheat Growers (WCWG) didn’t hold back when responding to the news.

“This is simply electioneering on behalf of our federal government. Dairy farmers in Quebec are receiving funding whereas grain farmers across the prairies are only offered ways to increase their farm debt through the Advanced Payment Programs,” says president of the WCWG, Gunter Jochum.

For the last three years, non-tariff barriers have blocked durum exports to Italy, Saudi Arabia, Peru and Vietnam, the Wheat Growers list in its press release, plus pulse exports to India are similarly being blocked, and a trade war with China has suspended canola exports to the country.

The Grain Farmers of Ontario (GFO) have called the payout “disappointing” and say grain farmers are being neglected by the federal government.

“The China/U.S. Trade war and Canada’s strained relationship with China are having an impact on our farmer members’ ability to market their crop. We should have been included in the trade compensation package announced late last week,” says Markus Haerle, chair of the GFO.

GFO also says that dairy farmers, “have yet to experience the trade impacts on their sector.”

4 thoughts on “Grain groups call federal dairy compensation “shameful”

  1. So true. Pretty much every sector of ag is having trade issues and no help in any form. Yet dairy farmers not yet being hurt given money upfront. This tells the rest of Canada’s ag sector how much we are needed

  2. The numbers tell the story – in 2018, AgriStability, the only program non-supply managed farmers have to address trade injury, gave out just under $340 million (and that’s to the 90% of Canada’s farmers not in supply management) while this new dairy subsidy program will give out $345 million in the first year alone to about 10,500 dairy farmers, and that’s on top of the benefits they receive from government in the form of 270% tariff barriers. This new subsidy is the equivalent of paying dairy farmers to eat a free lunch.

  3. Dairy farmers are getting front end support and rear end support but beef farmers are receiving neither, yet dairy are Big beef suppliers as well.The Chinese are not taking our meat and now hides are not going there neither, they are being buried in the ground ( at the farmers expense) Cananadian beef farmers need support too!

  4. Their’s a reason dairy fasrmers are not eligible for Agristability. They have cost of production protection. As a matter of fact in our area dairy farmers have raised land values where grain operations have gone deep in debt to expand and survive. The Agristability program is so flawed that a grain farm will probably never collect. On the other hand shareholder hog operations have collected millions of dollars simply because a high percentage of their expenses are allowable such as feed and arms length salaries etc

Leave a Reply to Stephen Thompson Cancel reply

 

This site uses Akismet to reduce spam. Learn how your comment data is processed.