CFA Calls on Other Provinces to Follow Alberta’s Lead

The Canadian Federation of Agriculture is calling on other provinces to follow Alberta’s lead and develop their own AgriRecovery assistance packages for drought-impacted producers.

On Friday, the Alberta government announced it would make $136 million available to farmers under the AgriRecovery program, and further requested an additional $204 million from the federal government for a total relief package of $340 million. The money is expected to provide “much-needed financial support and immediate cash flow for Alberta’s livestock producers and beekeepers to purchase feed, water and fencing, if approved.”

The Alberta announcement came on the same day Ottawa said it would earmark $100 million for drought relief through AgriRecovery for Ontario, Manitoba, Saskatchewan, British Columbia and Alberta.

“The drought in Western Canada and northwestern Ontario have had devastating impacts on grain producers and livestock producers in these regions and these assistance packages are encouraging signs, but clearly more funding is needed to address the situation across much of Canada,” said CFA president Mary Robinson.

“So, we are calling on the Manitoba, Saskatchewan, BC and Ontario governments to follow Alberta’s lead and do a quick assessment of the damage done by the drought to their respective agriculture sectors and develop AgriRecovery assistance packages for the affected producers in those provinces as well.”

Given that AgriRecovery is a joint federal-provincial cost sharing program, Robinson said the CFA expect the federal government to provide its share for all AgriRecovery assistance requests by provincial governments.

AgriRecovery is designed to cover extraordinary costs not covered by existing business risk management programs, such as those incurred due to extreme drought conditions or other natural disasters.

If approved, Alberta’s total drought relief package of $340 million would be split 60-40 between the federal and the provincial government, with Alberta’s contribution $136 million. Under a new AgriRecovery program, it will provide an immediate payment of $94/head to help cover feed and water access costs for breeding cows across the province.

Taking a receipt-based approach, a second payment of $106/head would be allocated later in the year, for a total of $200. The money would help level the playing field against a US feed subsidy and maintain livestock herds in Alberta, according to a provincial release.

“We look forward to program details on accessing support for the extraordinary costs associated with purchasing feed, water and fencing,” said Melanie Wowk, chair, Alberta Beef Producers. “The province is stepping in to prevent a bad situation from getting worse.”

The Alberta program will be administered through the Agriculture Financial Services Corp. Application details are expected to be unveiled after the federal government reviews the proposal.