Federal and Provincial Agriculture Ministers met today in Ottawa to continue discussions on the design and funding of farm safety net programs for Canada.
Prince Edward Island Agriculture Minister Eric Hammill said that he was pleased with progress at the meeting. The federal government has clarified its funding commitments to safety nets at $1.1 billion for the 2000 and 2001 tax years, and announced a new cash advance program. "This has provided a framework within which to finalize the program design," said Mr. Hammill. "We now should be able to wrap this up by March."
Hammill said that he understands the concerns expressed by Manitoba and Saskatchewan that the funding announced by Agriculture Canada is not enough, but Hammill said there is always a limit to available resources, and the federal funding should be sufficient from a Prince Edward Island perspective. "The direction of the federal-provincial discussions is consistent with the input we have received from our industry during consultations before Christmas. I feel good about that. There are still many details to be considered, and I will want to talk to our industry representatives again before March meetings," the Minister stated.
Hammill raised the issue of inspection fees and cost recovery as examples of how federal policy initiatives have reduced margins for Prince Edward Island producers.
In 1999-2000, the provincial government will contribute over $5 million to farm safety net programs like NISA, Crop Insurance, and the Agriculture Income Disaster Assistance (AIDA) program.