COVID-19 FUNDING PROGRAMS

CANADA EMERGENCY WAGE SUBSIDY (CEWS) The Canada Emergency Wage Subsidy (CEWS) has been extended to June 2021. This program covers up to 75% of employee wages for eligible businesses impacted by COVID-19.

CEWS covers 75% of an employee’s first $58,700 earned, which equates to a subsidy of up to $847/week per employee.

Businesses can apply directly through Canada Revenue Agency for support.

REGIONAL RELIEF AND RECOVERY FUND (RRRF) The RRRF has been crucial in stabilizing businesses following impacts of COVID-19. An additional $600 million will continue to offer federal relief solutions to address urgent needs.

The RRRF supports smaller businesses with fewer than 100 employees, such as retailers, restaurants, and smaller vendors, with interest free loans to support ongoing operating costs.

Businesses can apply directly by contacting their local regional development agency through Innovation Science and Economic Development Canada.

CANADA EMERGENCY RENT SUBSIDY (CERS) The Canada Emergency Rent Subsidy (CERS) is a rent relief program from the federal government in the wake of COVID-19.

CERS supports businesses who have seen a drop in revenue during the COVID-19 pandemic with a subsidy to cover part of their commercial rent or property expenses, starting on September 27, 2020, until June 2021.

Applications can be submitted directly through Canada Revenue Agency.

CANADA EMERGENCY BUSINESS ACCOUNT (CEBA) The Canada Emergency Business Account (CEBA) has increased their max interest-free loan size to $60K. Those who received CEBA already are eligible for additional funds.

Businesses can apply for the support directly through their financial institution where their business account is set up.

BLACK ENTREPRENEURSHIP PROGRAM The Black Entrepreneurship Program aims to help thousands of Black Canadian entrepreneurs to rebuild their economic status following impacts caused by the global pandemic.

Opening May 2021, The Black Entrepreneurship Loan Fund is a partnership between the Government of Canada, Black-led business organizations, and several financial institutions. It will provide loans up to $250,000 to Black business owners and entrepreneurs across the country.

NEW INTAKE IN RESPONSE TO COVID-19 – SWODF/EODF FUNDING STREAMS The Southwestern and Eastern Ontario Development Funds offer up to $5M to support businesses undertaking economic development initiatives in specific regions.

Businesses will be able to apply during the next intake from April 22, 2021 – June 4, 2021.

FUTURPRENEUR CANADA $20.1M FUNDING Government of Canada grants $20.1M to Futurpreneur Canada to distribute pandemic relief funds to over 3,200 small businesses led by youth entrepreneurs that were impacted by COVID-19.

HIGHLY AFFECTED SECTORS CREDIT AVAILABILITY PROGRAM (HASCAP) The federal government facilitated through BDC has officially launched the Highly Affected Sectors Credit Availability Program (HASCAP) to provide loans and pandemic support for all Canadian businesses, but specifically highly affected sectors such as hospitality and tourism. The government funding will support businesses of all sizes that have experienced a decrease in revenues by 50% or more as a direct result of COVID-19.

Businesses have until June 2021 to apply for up to $1M in support through BDC.

LARGE EMPLOYER EMERGENCY FINANCING FACILITY (LEEFF) The government loan program, Large Employer Emergency Financing Facility, is accepting applications for businesses requiring financial support in response to COVID-19.

The program supports large for-profit enterprises in all sectors, that have annual revenues of approximately $300M or more and that require a minimum loan of $60M.

CANEXPORT SMES DURING COVID-19 The popular international marketing grant CanExport has halted funding for travel-related activities but companies can still apply to up to $75K in grants for export planning and strategic market development.

This program is open to businesses with annual revenues ranging from $100,000 to $100,000,000 and no more than 500 full-time employees.

FARM CREDIT CANADA TO SUPPORT AGRI-BUSINESSES Farm Credit Canada has received $5B from the federal government to extend their lending capacity to agri-businesses facing financial hardships due to COVID-19.

PUBLIC AND FOOD POLICY

Throughout the past year, BAC has continued to support its members through what has been a highly unusual year. With its reinforced trusted relationships with allied industry associations, BAC ensured that the baking industry and its supply chain was represented on key issues:

HEALTH CANADA

NUTRITION LABELLING BAC is actively involved on all food labelling initiatives, including Front-of-Package Labelling and the upcoming Nutrition Labelling compliance date. BAC continued to advocate that CFIA and Health Canada work closely together to align and coordinate all food labelling initiatives, meaning an extension of the current 2021 date for nutrition labelling.

SODIUM BAC met with Health Canada representatives twice to discuss the next step on the voluntary sodium reduction targets for the baking industry, lobbying for targets that are realistic and achievable. Recently published 2025 targets reflect BAC’s concerns.

PROHIBITION OF MARKETING TO KIDS BAC continues to safeguard bread’s contribution to the well-being of children. A proposed “Code for the Responsible advertising of Food and Beverage Products to Children” (Food and Beverage Advertising Code) and its guidelines have been developed by a group of five industry associations led by the Association of Canadian Advertisers and Food and Consumer Products of Canada. That favourable proposition to exclude packaging, in-store display and promotion from the prohibition was shared with government officials and senators in 2020.

CANADIAN FOOD INSPECTION AGENCY

SAFE FOOD FOR CANADIAN REGULATIONS July 15, 2020 was the date of compliance for the baking industry. BAC continues to consult with the Canadian Food Inspection Agency on behalf of members on issues and questions regarding licensing, written Preventive Control Plan, traceability and other matters. As a member of the Canadian Supply Chain Food Safety Coalition, BAC continues to support a “second round” of consultations to SFCR on needed amendments. These revisions would be intended to clarify interpretation of the Act and the applicability of the regulations.

LABELLING MODERNIZATION The final regulations in Canada Gazette Part II is not yet published and industry continues to wait for its publication.

BAC is engaging Environment and Climate Change Canada and other stakeholders regarding the federal government’s stated intent to eliminate the use of single-use plastics, which could include plastic bread bags and clam shells. BAC, through a new Environment and Sustainability Committee, is focused on ensuring governments understand food packaging needs related to food safety, food security and product integrity issues while also searching for responsible alternatives to reduce excessive plastics in our environment.

In the summer of 2020, grocery retailers once again implemented arbitrary and unfair fee increases on food processors and other vendors. In BAC’s opinion, retailers’ use of arbitrary fees and deductions, and lack of adherence to terms of contracts, have created a climate of uncertainty, which is a disincentive for investment in Canada’s agri-food sectors. BAC also pointed out that these new fees were coming at a time when the food supply chain has been significantly impacted by the COVID-19 pandemic and many food processors were already dealing with significant changes to Canada’s restaurant and hospitality markets.

BAC called for the introduction of a new Grocery Code of Conduct similar to that in the U.K. to put limits on these unfair retail practises. BAC’s voice, and others, has resulted in the Federal, Provincial and Territorial Ministers of Agriculture and Food initiating a review of the matter of retail fees and options in response to those practices.

SINGLE-USE PLASTICS BAN

GROCERY CODE OF CONDUCT