November 18th, 2024

Farmers gearing up but need government support

By COLLIN GALLANT on March 24, 2020.

cgallant@medicinehatnews.com@CollinGallant

Those on the ground level of the food chain – farmers, ranchers, processors – say they are “readying an army” ahead of a rapidly approaching planting season, but say that army needs government support.

On Monday morning, Prime Minister Justin Trudeau outlined a $5-billion boost to credit programs for agricultural producers to access so they can arrange their business plans.

Local advocates said that’s critical to support work not only this spring – during calving season or next month’s planting – but avoiding disruption that could echo next year and beyond.

Nichole Neubauer, who farms with her family and raises beef near Medicine Hat and Irvine, told the News that spirits are very high in her producer community, but economic stress and tension for several years has added to general anxiety about the pandemic.

“Growing food has always been an incredibly rewarding endeavour, but in light of unprecedented times, maximizing efficiency on farm to grow food in uncertain times has never been more evident,” she said.

“Myself and other producers, we’re basically mobilizing an army right now,” in terms of arranging crop inputs – seed, fertilizer, fuel – and delivering new calves that began arriving this month. Most of that material was staged over the winter or will arrive shortly, said Neubauer, but the nature of farming means poor conditions can carry forward for years.

“Timing is critical, in a few short weeks we’re going to be in the fields,” she said. “We’re not fooling around.”

While the pandemic response, and a new focus on food security, is emboldening the ag community, it comes after a year of economic stress, trade tension and a canola ban with China, as well as a bad harvest last fall further tied up in transportation problems.

Member of Parliament Glen Motz agreed that Monday’s announced federal farm and ranch supports were positive, but that cross sector supports are still needed.

As well, he would like to see long-term actions for the ag sector and assurance from Ottawa that critical transportation – like railways that were blockaded this winter – will be open and a statement about export markets that producers depend on.

“There are farmers who are struggling already, and at this time of year they’re arranging their operating loans, big time,” he said, stating that deferring cash advance payments is an important short-term step.

“No one’s asking for a handout, and once it’s stabilized, when (the ag sector) is back on its feet, it’s a sector that needs to be supported.”

Beyond boosting Farm Credit Canada’s lending capacity, Cash Advance payments that were to be due in April – worth a total of $173 million – will be pushed back until September and October. That should improve on-farm cashflow this spring, and eligible farmers will also be able to apply for an additional $100,000 interest-free portion for 2020-21 under a cap of $1 million.

Canada is in a position that it produces more food that it needs, but depends on cross-border shipments for processed food, and cattle are sold back and forth, and grain exports are a pillar of the prairie economy.

Cross-border commercial shipments continue, even as the U.S.-Canada border is closed to tourists and other travel.

Motz told the News that the supply chain appears to be operating well, but Ottawa needs to make it a priority, both in terms of the economy and essential service delivery, but also to alleviate worry.

“To this point I haven’t heard of problems,” he said. “But the government needs to ensure these things get done, and not just with words, but people need to see actions.”

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