Agriculture and Agri-Food Canada

Agriculture and Agri-Food Canada

March 23, 2005 13:07 ET

Agriculture Ministers Agree to Interim Measures While CAIS Deposit is Under Review


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: AGRICULTURE AND AGRI-FOOD CANADA

MARCH 23, 2005 - 13:07 ET

Agriculture Ministers Agree to Interim Measures While
CAIS Deposit is Under Review

OTTAWA, ONTARIO--(CCNMatthews - March 23, 2005) - Federal, provincial
and territorial Ministers of Agriculture today agreed to interim
measures which will significantly benefit producers while the Canadian
Agriculture Income Stabilization (CAIS) deposit is under review.

Responding to the concerns of producers, ministers agreed at their
mid-year meeting in Ottawa on March 2-3, 2005 to work together to find a
better means of effectively engaging producers in joint management of
business risk under CAIS. Officials were directed to develop
alternatives to the current CAIS deposit in consultation with industry.
Options will be presented to ministers for consideration at their annual
meeting in July 2005.

While alternatives to the deposit are being developed, the following
changes to the CAIS program are effective immediately:

- The deadline for deposits for the 2003, 2004 and 2005 CAIS program is
being extended to March 31, 2006.

- In the meantime, producers who have funds in their CAIS account above
the required one third deposit will be able to withdraw excess funds.
Producers must contact the CAIS administration in their province for
information on how to withdraw these funds.


Ministers also agreed to pursue the necessary authorities as quickly as
possible for two additional changes to the CAIS program. These changes
include:

- extending the one third deposit for the 2005 program year; and

- allowing producers to access all remaining funds in their accounts.

These measures will ease the cash flow pressures faced by producers.

The CAIS program is delivered federally for British Columbia,
Saskatchewan, Manitoba, New Brunswick, Yukon, Nova Scotia and
Newfoundland and Labrador. For more information regarding the
amendments, producers in these provinces can contact the CAIS
administration toll free at 1-866-367-8506 or visit the CAIS program Web
site at www.agr.gc.ca/caisprogram.

In Alberta, producers can call Agriculture Financial Services
Corporation at 1-877-744-7900. In Ontario, producers can call AGRICORP
at 1-877-838-5144. In Quebec, producers can call La Financiere agricole
du Quebec at 1-800-749-3646. On Prince Edward Island, producers can call
1-902-368-4842.

To date, approximately $1.2 billion has been distributed to producers
through the CAIS program. Governments are committed to providing
effective programming that meets the needs of producers across the
country.

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Contact Information

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