AgriPost December 31 2021

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The AgriPost

December 31, 2021

Third Compensation Payment of DDPP

Solidarity Marks Year of Extreme Climate Events

This year, Canada’s farmers have been hit hard by extreme weather, including the drought across western Canada and in northern Ontario, and the flooding and landslides that struck British Columbia. Despite these challenges, many stepped up in solidarity to help their fellow farmers and ranchers from across the country. During a recent event that included President of the Canadian Federation of Agriculture (CFA) Mary Robinson, the Federal Minister of Agriculture and Agri-Food, MarieClaude Bibeau, announced an investment of up to $4 million towards the CFA’s Hay West 2021 initiative. Through Hay West 2021, the CFA is connecting eastern farmers with western and northern Ontario farmers in need of feed. The Government of Canada and corporate sponsors are helping to offset the freight costs to transport hay between those farmers. In September, the government approved $1 million, which has helped transport approximately 150 shipments (5.6 million pounds) of hay to feed 16,750 cattle. Over the coming months, up to $3 million in additional funding will continue

Roger Parkinson, a western New Brunswick farmer was one of many eastern Canada farmers that answered the call to have hay delivered to western Canada due to the drought.

to support the movement of hay across the country. Hay West is a beacon of solidarity during a year that has been marked by extreme weather events affecting the lives of Canadian farmers, who are on the front lines of climate change. In response to this year’s historic drought, the worst in more than 60 years the Government of Canada and the governments of B.C., Alberta, Saskatchewan, Manitoba and Ontario came together to make available up to $825 million in cost-shared Agri-

Recovery disaster relief funding. This funding has already helped thousands of livestock producers, particularly cattle producers, cover the extraordinary costs they faced this year, including to obtain livestock feed, transportation and water. The federal and provincial governments also made changes to adjust the farmer income supports under the AgriStability program and, in the Prairies, to adjust the AgriInsurance program so that drought-damaged crops

could be used for feed. The solidarity of Canadian agriculture can also be seen in B.C., where thousands of farms have been devastated by the effects of flooding and landslides, which have submerged crops and affected the welfare of livestock. Farmers and their communities, with the help of emergency forces, have succeeded in saving thousands of animals and helping many farmers with their urgent needs.

The third payment under the Dairy Direct Payment Program (DDPP) is now available to producers. The owner of a farm with 80 dairy cows will be awarded compensation in the form of a direct payment of approximately $38,000 each year. Agriculture and Agri-Food Canada has mailed letters to all eligible dairy producers with directions on how to access the payment. Based on their milk quota, dairy farmers will receive compensation payments totaling up to $469 million for this fiscal year. To receive their payment, producers must register through the Canadian Dairy Commission prior to March 31, 2022. Another $468 million will be available in 2022-2023. The Government of Canada continues to deliver on its commitment to provide $1.75 billion to dairy producers for market access concessions made under the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Payments are being made on an accelerated schedule of four years instead of eight, with all payments set to be made by 2023. Earlier this year, the Government also launched compensation programs designed to help drive innovation and market development for Canada’s 4,800 chicken, egg, broiler hatching egg and turkey producers, totaling $691 million over ten years. The Poultry and Egg On-Farm Investment Program will provide nearly $647 million to support poultry and egg farmers through on-farm investments. The Market Development Program for Turkey and Chicken will provide over $44 million to help increase domestic demand and consumption of Canadian turkey and chicken products through industry-led promotional activities. These programs respond directly to requests from producer associations and provide full and fair compensation for market impacts from the CPTPP. To help processors of all supply-managed agricultural products adapt to CETA and CPTPP, Budget 2021 proposed a further $292.5 million for a Processor Investment Fund to support private investment in processing plants. Further program details are expected to be available in the coming months. Within the next year, the Government of Canada is also committed to working with supply-managed sectors to determine full and fair compensation for the impacts of the Canada-United States-Mexico Agreement (CUSMA).


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AgriPost December 31 2021 by AgriPost - Issuu