After providing Canadian families with a reliable source of food throughout the COVID-19 pandemic, Canada's agriculture sector is in a position to help lead the post pandemic economic recovery. But in order to do so, farmers are telling their governments that they cannot do it without help.Beyond the unprecedented challenges presented by the COVID-19 pandemic, producers have faced many extraordinary challenges beyond our control over the last few years. We have experienced trade disputes such as the Chinese canola embargo. Unpredictable climate and weather patterns are a growing concern – most recently 2019's prolonged drought that stretched into the spring of 2020. Our competing producers in the U.S. and European Union have received significantly greater subsidization. These huge subsidy payments have artificially inflated the price of many of our inputs and farm equipment, while distorting global agricultural markets.Effective Business Risk Management programs are essential to provide farmers with the confidence to invest in their operations while managing risks like international trade disputes and poor weather. For years, Canadian farmers have been asking for improvements to AgriStability, the centerpiece of Canada's risk management programs.In late November, federal Minister of Agriculture and Agri-Food Marie-Claude Bibeau listened to farmers' concerns and tabled proposed changes to Business Risk Management programs at the Federal, Provincial and Territorial Agricultural Ministers meeting. The changes include:
- Removing the Reference Margin Limit, which would increase funding for farmers by more than 30 per cent
- Increasing the compensation rate from 70 to 80 per cent, bringing funding to farmers up by more than 50 per cent