Vanclief Announces Additional Measures To Help Canada’s Beef Industry
Agriculture and Agri-Food Minister Lyle Vanclief today announced two new measures to further assist the Canadian livestock sector in addressing the impacts of Bovine Spongiform Encephalopathy (BSE). The first measure is a $36 million extension to the Government of Canada’s commitment to the national BSE Recovery Program. The second initiative provides advance payments to producers as a transition measure until new business risk management programming is implemented nationally.
The extension funding for the BSE Recovery Program is in addition to the $460 million in federal-provincial funding announced in June. The initial funding has been fully expended to successfully double slaughter capacity from late May, and move about 725,000 cattle into the domestic market, while providing improved returns to feedlots and processors in light of severely depressed prices. With provincial participation, program extension funding could top $60 million.
“The measures I am announcing today are the latest in our ongoing response to the BSE situation and will help Canada’s beef industry by facilitating a smooth transition to renewed trade,” said Mr. Vanclief. “Of course, the best solution for our industry is to have trade fully restored as soon as possible – and work continues on a number of fronts to make that happen.”
The additional funding announced today for the BSE Recovery Program will ensure that cattle and other ruminants priced by August 17 and slaughtered by August 31, 2003 will be covered by the program.
In addition to extending the recovery program, Mr. Vanclief announced that disaster assistance will be advanced to producers, under bilateral agreements with provinces that have already committed funding for all five elements under the Agricultural Policy Framework (APF), including food safety and quality, environment, renewal, science and innovation, and business risk management. These advances constitute a transition measure until new business risk management programming is fully implemented across Canada. Transition funding will be equal to a portion of a producer’s expected payment for this year when the new Canadian Agricultural Income Stabilization Program (CAISP) comes into force.
APF funding for elements other than business risk management are already flowing to provinces that have concluded implementation agreements. This measure allows the delivery of transition funding for business risk management to complement these other APF elements.
Final detailed discussions are on-going with those provinces that have not yet committed funding under the APF. Agreements are expected soon. Disaster assistance funds will be available to producers in these provinces as soon as agreements are finalized.
“A significant portion of producers affected by the BSE crisis are in provinces that have already committed funding under the APF. These measures offer much-needed cash to farmers and will go a long way to help mitigate the impact of the border closing”, said Mr. Vanclief.
Forms will be available in September and payments are expected to reach producers in early October. Producers will be informed of the availability of advance payments and how to participate through advertising, mailings and information sessions.
- Note: August 17/03 deadline