Farmers enrolled in AgriStability and eligible for payments will receive more of their money in advance.
The federal and provincial governments are raising the interim benefit percentage to 75 per cent—up from the previous 50 per cent.
“There are some sectors in the ag community being hit pretty hard by COVID-19 that would be receiving a payment this year,” said David Marit, Saskatchewan’s agriculture minister. “They will be able to make an early application and get up to 75 percent.”
Farmers have been critical of AgriStability saying coverage levels are too low and that has led to declining producer participation in the federal/provincial business risk management program.
“The problem with the program is the reference margins at 70 per cent, both on the income side and also the expense side,” said Todd Lewis, president of the Agricultural Producers Association of Saskatchewan. “Lots of expenses are omitted, so you are only covered for 70 per cent of a limited number of your expenses. Interim payment or not, farmers have voted with their feet and are not involved in the program because they don’t see any benefits.”
Lewis says the reference margin should be 85 per cent and estimates enrollment in AgriStability has fallen to about 30 per cent. Federal and provincial agriculture ministers have been studying the issue for years but have not overhauled the program.
On Monday, the 2020 AgriStability sign-up deadline was extended to July 3rd.
(CJWW)
