Canada’s new agriculture minister has proposed making changes to the AgriStability farm business risk management program to support farmers affected by tariffs from China.
Kody Blois announced the measures late Saturday, on the eve of the election call on Sunday, when the Carney government will no longer be able to make funding announcements as it enters into what is known as caretaker mode.
The announcement by the minister includes increasing the AgriStability compensation rate from 80 per cent to 90 per cent and doubling the payment cap to $6 million for the 2025 program year. There’s no mention of any change to the 70 per cent reference margin threshold for triggering a support payment.
It appears the federal cabinet has rubber stamped the measures, but that the provincial and territorial governments have not yet signed on. AgriStability is traditionally funded on a 60/40 fed/prov split.
“The announcement isn’t clear,” said Tyler McCann, managing director of the Canadian Agri-Food Policy Institute, in a post late Saturday on X (see below). “It seems like changes haven’t actually been made, referring to ‘proposed supports.’ Sounds like the Feds have made an offer to the provinces. Maybe the Minister has been reading Art of the Deal and is changing how FPT negotiations are done.”
As of Saturday night, Blois’ office said he was in contact with his provincial counterparts, with the hope their governments are also prepared to put the support measures in place.
The federal government is also giving provinces and territories the option to proactively enter into an agreement to issue interim AgriStability payments at a higher payment rate of 75 per cent of estimated final payment, and to initiate “targeted advance payments” that could be triggered by a market disruption, such as tariffs or the discovery of African Swine Fever.
As of March 20, China imposed 100 percent tariffs on Canadian canola oil, canola meal and peas, as well as 25 percent tariffs on certain pork, fish and seafood products in response to Canada’s tariffs on Chinese electric vehicles, steel, and aluminum.
“China’s decision to apply these tariffs will have a devasting impact on our farm families and their communities. We’re working hard to diversify our trading partnerships and establish new markets, but we know the sector needs support now,” says Blois, in a statement. “Today’s announcement is a direct result of their advocacy – and our commitment to them. As Canada’s Minister of Agriculture and Agri-Food and Rural Economic Development, I will continue to stand shoulder-to-shoulder with our producers and will defend the sector every step of the way.”
As of Saturday night, the provinces have not made any corresponding announcement that they are going to be footing 40 per cent of the bill for the changes announced by Blois.
The Saskatchewan government did not include any specific tariff contingency for farmers in its provincial budget announced this past week, while the Manitoba government committed up to $100 million for the province’s farmers, if needed, to offset the impact of tariffs. The Alberta government in its budget last month set aside $4 billion in a contingency fund for unknowns, including tariffs.
Nothing like the night before an election gets called to announce support for #cdnag.
It is unfortunate that so little was done over the last couple of months that this all has to be rushed out.
A ? on @KodyBloisNS‘s announcement.https://t.co/sAgJC52JQR
— Tyler McCann (@mccanntyler) March 23, 2025
