Agriculture and Agri-Food Canada

Agriculture and Agri-Food Canada

March 29, 2005 13:26 ET

AAC: Grains And Oilseeds Producers to Receive Nearly $480 Million Under Farm Income Payment Program as Sector Reshapes


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: AGRICULTURE AND AGRI-FOOD CANADA

MARCH 29, 2005 - 13:26 ET

AAC: Grains And Oilseeds Producers to Receive Nearly
$480 Million Under Farm Income Payment Program as
Sector Reshapes

MT. BRYDGES, ONTARIO--(CCNMatthews - March 29, 2005) - Canada's grains
and oilseeds producers will receive nearly $480 million to help them
with immediate cash flow pressures as a strategy is put in place to deal
with a projected continuing decline in grains and oilseeds commodity
prices, Agriculture and Agri-Food Minister Andy Mitchell, Reg Alcock,
President of the Treasury Board and Minister Responsible for the
Canadian Wheat Board, and Rose-Marie Ur, Member of Parliament for
Lambton-Kent-Middlesex, announced today.

The funding will be delivered through the $1 billion Farm Income Payment
Program.

"In recent years, our grains and oilseeds producers have suffered
significant hardship," said Minister Mitchell. "The cost of this
downward trend has been huge, financially and emotionally, for
producers, their families and the communities in which they live. We
have to turn this around and turn it around quickly."

"The need for transformative change across agriculture, and particularly
in the grains and oilseeds sector, was driven home this past year as
producers continued to struggle despite record government program
payments," said Ms. Ur. "Today's assistance will address immediate hurt
but we must continue to move quickly to find longer term solutions."

In recent years, the grains and oilseeds sector has struggled with
weather losses, low market prices, unfavorable exchange rates, and
depressed demand for domestic feed due to the crisis in the livestock
sector as a result of BSE.

The Farm Income Payment Program will begin delivering the assistance in
April.

Producers who participated in last year's Transitional Industry Support
Program will automatically receive payments. There is no need for these
producers to apply, as Agriculture and Agri-Food Canada has the
necessary historical data required to calculate payments.

Producers who were eligible for TISP but didn't apply can receive a
payment under the Farm Income Payment Program. A guide and an
application form for the Farm Income Payment Program will be available
in the near future.

A guide and application form will be available shortly on Agriculture
and Agri-Food Canada's website at www.agr.gc.ca, For more information on
the Farm Income Payment Program, call 1-866-367-8506.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Minister Mitchell's Office
    Elizabeth Whiting
    Press Secretary
    (613) 759-1059
    or
    Agriculture and Agri-Food Canada
    Media Relations
    Ottawa
    (613) 759-7972 or 1 (866) 345-7972 Toll-free
    www.agr.gc.ca