Government of Canada is pleased to respond to the Third Report (the Report) of
the House of Commons Standing Committee on Agriculture and Agri-Food (the
Committee) entitled: Growing Forward 2. The Government agrees with the overall
intent of the Report and shares the Committee’s commitment to developing a
sector that will position itself to respond to future opportunities and
challenges, and create the conditions for long-term competitiveness,
sustainability and adaptability.
tabling of the Report is timely as Agriculture and Agri-Food Canada (AAFC), in
collaboration with provincial and territorial governments, is developing the
successor to Growing Forward, the existing agricultural policy framework set to
expire March 31, 2013.
consultations of the Committee complement the stakeholder engagement activities
undertaken by the federal, provincial and territorial (FPT) governments as part
of the Growing Forward 2 development process. FPT governments began engaging
the sector in 2010, with a focus on the long-term challenges and opportunities
affecting the sector. FPT governments engaged stakeholders in 2011 on how the
policy framework could enable the sector to respond to challenges and take
advantage of market opportunities. Much of what the Committee heard corresponds
with the input and feedback AAFC has been receiving from stakeholders on the
types of initiatives that the sector needs to ensure its long-term
competitiveness and sustainability.
2011, FPT Ministers of Agriculture endorsed the Saint Andrews Statement (SAS),
which detailed the intent, vision, principles, and objectives of the next
policy framework. The SAS also identifies policy directions to respond to
future opportunities and challenges, and enable the sector to create the
conditions for long-term competitiveness, sustainability and adaptability,
while recognizing that innovation and regulatory and institutional frameworks
are essential to the sector’s success. The recommendations found in the Report
broadly correspond to the directions outlined in SAS.
Government has carefully reviewed the recommendations in the Committee’s Report
and welcomes the opportunity to respond to each recommendation in full. It
should be noted that these specific responses cannot capture all of the work
that has been undertaken by the Government over the years.
Committee recommends that Growing Forward 2 recognize that the prosperity of
the agriculture and agri-food sector depends on the sector’s ability to take
advantage of international and domestic market trends; and that the strategic
framework focus on programs that improve competitiveness, such as innovation
Government agrees with the Committee that the prosperity of the agriculture and
agri-food sector depends on the ability of the sector to take advantage of
domestic and international market opportunities, and that the strategic
framework focus on programs that improve competitiveness, such as innovation
Agriculture and Agri-Food Canada (AAFC)
has committed funding under Growing Forward (GF) and from other sources to
accelerate the pace of innovation and support the adoption of new technologies,
develop business skills, enhance the safety and security of Canada’s food
system, and improve the long-term competitiveness of the agriculture and
GF, the Developing Innovative Agri-Products Initiative and the Canadian
Agri-Science Clusters Initiative aim to accelerate innovation and
commercialization. In addition to GF programming, the Canadian Agricultural
Adaptation Program seeks to facilitate the sector's ability to seize
opportunities, adapt and remain competitive, and the Agri-Processing Initiative
and the AgriFlexibility Fund also represent investments into innovation of the
sector. With Budget 2011, the federal government provided $50 million for the
new Agricultural Innovation Program, aimed to help the sector capture
opportunities in domestic and global markets, accelerate innovation,
commercialization and adoption of innovative products, technologies, processes
and services, for economic growth and competitiveness of the sector.
support is also available to the sector through other federal organizations and
initiatives, such as the Natural Sciences and Engineering Research Council and
the Industrial Research Assistance Program, which help the sector to develop
and implement new technologies and products.
AAFC facilitates the sector’s ability to
access both international and domestic markets through several other programs,
including the Canada Brand Strategy, which aims to gain recognition for
Canadian food and agriculture products in both domestic and international
markets; the Global Analysis program, which provides market intelligence to
industry players and helps firms build their marketing and export capacity; the
AgriMarketing Program, which provides industry with resources and capacity to
take advantage of gains made in market access, as well as new opportunities
presented by consumer preferences and emerging food trends; and the Trade
Commissioner Service, which ensures stronger bilateral engagements with trading
partners to eliminate or reduce trade restrictions and irritants.
Government is committed to the pursuit of new and deeper international trade
agreements with key markets that will provide the agriculture and agri-food
sector with improved market access and new export opportunities. Trade
agreements came into force with Colombia in 2011 and Peru in 2009. The
Canada-Jordan trade agreement has been ratified and both countries are working
to set an entry into force date. The trade agreement with Panama is in the
process of being ratified by Parliament. Canada has also concluded negotiations
with Honduras. Currently, Canada is in negotiations with a number of trading
partners, including the European Union, India and Japan.
activities by other federal government departments and agencies also help to
improve the competitiveness of the sector. For example, Western Economic
Diversification Canada provided support to agricultural and agri-food marketing
and research activities, such as participation in Agritechnica, the world’s
largest exhibition of agricultural equipment; establishing new markets for
bison products in the Middle East; the creation of a National Bee Diagnostic
Services Centre; and the creation of a cranberry research centre.
Government will continue to focus on the competitiveness of the sector through
innovation and trade under Growing Forward 2 and aims to build on the success
of existing innovation and trade programs such as the Agri-Science Clusters
Initiative, the Developing Innovative Agri-Products Initiative, AgriMarketing,
and the Canada Brand Strategy.
Committee recommends that Agriculture and Agri-Food Canada conduct an analysis
of its practices and administrative policies in order to determine whether any
have the potential to impede collaboration among the various research bodies,
and that it propose ways of removing those impediments.
Government agrees with the Committee’s recommendation that Agriculture and
Agri-Food Canada (AAFC) review its practices and administrative policies to
identify any potential impediments to collaboration among various research
bodies, and propose ways to remove any such impediments.
on its long standing partnerships with producer groups, universities,
hospitals, provinces, and private companies, AAFC continuously strives to
strengthen its current collaborations and also forge new business relationships
with new partners as it endeavors to foster innovation in the agriculture and
the same time, sound administrative procedures related to project proposal
review, project governance, revenue management, and data management have
enabled AAFC to strategically manage its large portfolio of research projects.
has developed a Collaborative Research and Development Agreement (CRADA) with
industry and other research bodies. The CRADA ensures: impartiality and
fairness in building collaborations, timely decision making, accountability, as
well as transparency and openness. It has been used successfully to manage
small scale and large scale collaborations alike.
will continue to work together with other federal departments to assess the
effectiveness of current policies and practices and identify ways to remove any
impediments to research collaboration.
Committee recommends that Growing Forward 2 include support for the
commercialization and adaptation of innovation, similar to the current
Agricultural Innovation Program, or other fiscally responsible incentives.
The Government agrees with the
Committee’s recommendation that commercialization and adaptation of innovation
are essential for increased competitiveness of the industry.
The Government currently provides
support for innovation, adoption and commercialization of new products and
processes. Under Growing Forward (GF), the Developing Innovative Agri-Products
Initiative provided funding of over $41 million for agricultural applied
science to help build an innovative and competitive agricultural sector, by
encouraging investment to transform innovative ideas into new agri-products,
practices, and processes. The Canadian Agri-Science Clusters Program provided
approximately $68 million to 10 projects to help key industry-led organizations
pull together scientific and technical resources to advance their objectives
for enhanced profitability and competitiveness. Budget 2010 provided support
for innovation and commercialization through programs such as the
Agri-Processing Initiative and the AgriFlexibility Fund.
With Budget 2011, the federal government
provided $50 million for the new Agricultural Innovation Program (AIP), which
is designed to help the sector capture opportunities in domestic and global
markets, accelerate the pace of innovation, and facilitate the
commercialization and adoption of innovative products, technologies, processes
and services that will enhance economic growth and competitiveness of the
July 2011, the federal-provincial-territorial Ministers of Agriculture endorsed
the Saint Andrews Statement, which identifies innovation as a driver to
achieve sector competitiveness, adaptability and sustainability.
Government, in collaboration with provincial and territorial counterparts, will
aim for Growing Forward 2 to build on the success of GF programs and other
programs to provide fiscally responsible incentives and programs, similar to
the AIP in support of commercialization and adoption of new products and
Committee recommends that the Agri-Science Clusters Initiative be renewed and
that the rules be amended so that the direction of a given project can be
changed and funds can be reallocated from one period to another.
Government acknowledges the Committee’s recommendation to renew the Canadian
Agri-Science Clusters Initiative but does not agree that rules be amended to
allow funds to be reallocated from one period to another.
results from the Canadian Agri-Science Clusters Initiative are showing
significant achievements and industry commitment, and the research
collaboration is yielding promising results.
inability to roll-over funds from year to year under the current Canadian
Agri-Science Clusters Initiative was noted by a number of Cluster recipients.
However, funding is appropriated on a yearly basis to conform to financial
Government, in collaboration with provincial and territorial counterparts, is
considering renewal of the Canadian Agri-Science Clusters Initiative for the
suite of Growing Forward 2 programs and initiatives. While Agriculture and
Agri-Food Canada (AAFC) is unable to automatically carry over unspent Cluster
funding from year to year, AAFC is looking at ways to increase flexibility with
Committee recommends that the Developing Innovative Agri-Products Initiative be
renewed and that a program like the Agricultural Flexibility Fund be included
in Growing Forward 2 as an alternate and flexible source of funding to
facilitate short- and long-term research on emerging issues that may involve
one or more commodities.
Government acknowledges the recommendation that the Developing Innovative
Agri-Products (DIAP) Initiative be renewed and that a program like the
Agricultural Flexibility Fund be included in Growing Forward 2 (GF2), as an
alternate and flexible source of funding to facilitate short and long-term
The Government currently provides
support for innovation, adoption and commercialization of new products and
processes. Under Growing Forward, the DIAP Initiative provided funding of over
$41 million for agricultural applied science to help build an innovative and
competitive agricultural sector, by encouraging investment to transform
innovative ideas into new agri-products, practices, and processes.
Agricultural Flexibility Fund was created in 2009 in the context of difficult
economic times, as part of Canada's Economic Action Plan (Budget 2009), which
focused on strengthening the economy. With Budget 2011, the federal government
provided $50 million for the new Agricultural Innovation Program (AIP) to help
the sector capture opportunities in domestic and global markets and accelerate
innovation commercialization. With Budget 2012, the Government is working
towards returning to balanced budgets and securing Canada's economic future.
Government will continue to focus on investment in innovation under GF2. All
program options, including the DIAP Initiative and other similar initiatives
under the Agricultural Flexibility Fund, are being considered to ensure that
GF2 will support research and innovation and will help farmers become more
Committee recommends that Agriculture and Agri-Food Canada simplify the
administrative and accountability procedures of its research and innovation
support programs by implementing a system of appropriate audits and ensuring
that the rules are applied consistently to all research institutions.
and Agri-Food Canada (AAFC) agrees with the recommendation to simplify the
administrative and accountability procedures of research and innovation
programs through the implementation of appropriate audit systems and consistent
application of rules to all research institutions.
is committed to ensuring that procedures are as simplified as feasible and that
rules are applied consistently, while at the same time exercising due diligence
within the disbursement of public funds. Innovation programs (e.g., the
Canadian Agri-Science Clusters Initiative) that provide contributions, as
opposed to grants, require satisfactory documentation for reimbursement of
expenses. This cannot be replaced by spot audits. Recipient audits are
supplementary to the regular and on-going oversight and controls.
peer review of proposals and ongoing programs is a mechanism for evaluating the
technical merit, feasibility, and relevance of scientific activities. In the context
of the Canadian Agri-Science Cluster Initiative, details about the requirements
for peer review are outlined in the proposal guide. Agri-Science Cluster
recipients, on average, completed the peer reviews of their projects in less
than five months after the signing of the agreements. Some latitude was
provided for those who encountered delays.
on the performance and outcomes of programs is part of the Government’s
accountability obligation for public investments. Some Canadian Agri-Science
Cluster recipients have occasionally found the processes to be cumbersome, but
have fulfilled their obligations under the program.
rules governing the disbursement of contribution funding state clearly that
Government of Canada researchers (including AAFC researchers), cannot receive
contribution funds, and that funding cannot be used to cover costs associated
with federal government travel and hospitality. In this regard, it is not
possible to treat all research institutions the same, since funding can be used
to pay for costs associated with non-federal researchers, but not for federal
is looking at ways of streamlining processes and reducing the administrative
burden in future programming, while at the same time ensuring that the
obligations to accountability and performance reporting are adhered.
Committee recommends that Agriculture and Agri-Food Canada increase the Market
Access Secretariat’s budget in order to increase the secretariat’s capability
to solve market access problems encountered by the Canadian agriculture and
Government acknowledges the importance of solving market access problems
encountered by the Canadian agriculture and agri-food sector, as well as the
role of the Market Access Secretariat (MAS) and other programs. Exports are
essential to the success and prosperity of the Canadian agriculture and
agri-food industry, given that currently $44.4 billion in sales are derived
MAS, established in January 2009, contributes to the collaborative efforts of
Agriculture and Agri-Food Canada, the Canadian Food Inspection Agency, and
Foreign Affairs and International Trade Canada to increase trade opportunities
for the sector and enhance its profitability.
2011, the MAS received $1.65 million in funding through the Agricultural
Flexibility Fund Initiative to address significant trade irritants across
multiple sectors in key markets. This has succeeded in opening markets to
Canadian products, in particular China and Russia for Canadian beef, and in
maintaining access to China for canola.
Government also pursues the implementation of global science-based trade rules
that would help prevent market access issues from arising in the first place
through active engagement in international standard-setting bodies, such as the
World Organization for Animal Health, Codex Alimentarius Commission and the
International Plant Protection Convention.
Government continues to be committed to resolving market access issues through
advocacy efforts both at the bilateral and multilateral levels in order to keep
the markets open and maintain the competitive position of Canadian agri-food
as the Government develops Growing Forward 2 with provincial and territorial
governments, programs necessary to solve market access problems are being
considered, including the proposal to increase the capacity of the MAS.
The Committee recommends that Agriculture and Agri-Food Canada
consider the feasibility of transforming the generic component of the
AgriMarketing Program into a multi-year export support program modeled after
the International Pork Marketing Fund.
The Government agrees that in certain situations, a multi-year
model is the best approach to support a sector’s export growth. In this
respect, where a sector has demonstrated the capacity to effectively use
program funding over time, the AgriMarketing Program does support multi-year
contribution agreements similar to the Beef and Cattle Market Development Fund
and the International Pork Marketing Fund.
As part of the FPT discussions on Growing Forward 2 programming,
the Government is considering what changes, if any, are necessary to ensure
that the AgriMarketing Program is as effective as possible in helping position
the agriculture and agri-food industry to identify and seize new opportunities
stemming from successful free trade negotiations, emerging markets, and new
food and retail trends.
The Committee recommends that Agriculture and Agri-Food Canada and
industry jointly explore a more effective procedure for analyzing files
submitted under the AgriMarketing Program for small and medium-sized
The Government agrees with the Committee’s recommendation that
Agriculture and Agri-Food Canada (AAFC) and industry jointly explore a more
effective procedure for analyzing files submitted under the AgriMarketing
Program for small and medium-sized enterprises (SMEs).
The Government recognizes the importance of the SME portion of the
AgriMarketing Program. As part of the Department’s effort to constantly improve
its services, AAFC established a small working group with AgriMarketing
recipients to discuss the SME process. This working group identified potential
options to improve the SME application and review process. Based on the working
group’s discussions to date, the AgriMarketing Program has implemented a number
of changes to support the SME process.
The Committee recommends that Growing Forward 2 include a support
program for the development and implementation of national marketing strategies
developed, for example, by the Value Chain Round Tables. /p>
The Government agrees with the Committee’s recommendation for
Agriculture and Agri-Food Canada (AAFC) to provide support for the development
and implementation of national marketing strategies by Value Chain Roundtables
(VCRTs) or through other initiatives.
AAFC provides leadership and support to the VCRTs in the
development of national strategies in areas such as marketing, research,
innovation, and environmental sustainability for various agriculture and
The Government also supports industry efforts with programs such
as AAFC’s AgriMarketing Program, which provides export capacity to industry
players, and the Canada Brand Strategy, which promotes the advantages of
Canadian products both domestically and internationally. The agriculture and
agri-food sectors are encouraged to leverage the Canada Brand in all of their
marketing and promotional activities through their participation in the
In the next agricultural policy framework, the Government aims to
continue to facilitate industry’s capacity to develop marketing strategies.
The Committee recommends that programs be incorporated into
Growing Forward 2 that would help the Canadian agriculture and agri-food sector
adapt to and meet consumer demands.
The Government agrees with the Committee’s recommendation to
incorporate programs into Growing Forward 2 (GF2) that would help the Canadian
agriculture and agri-food sector adapt to and meet consumer demands.
Under Growing Forward, the Government, in collaboration with
provinces and territories, continues to assist agricultural and agri-food
businesses to adapt and meet consumer demands through funding support to
industry of about $50 million per year for the development and implementation
of national food safety and biosecurity systems, and national traceability
addition, under the Canadian Agricultural Adaptation Program, the Government
has provided $163 million over five years (2009-2014) to facilitate the
sector's ability to seize opportunities, and pilot solutions to new and ongoing
issues in order to adapt and remain competitive.
In the Saint Andrews Statement (2011), which outlines GF2
policy directions, the Government, together with its provincial and territorial
counterparts, has committed to continue supporting the development and
implementation of systems that improve the sector’s capacity to adapt and meet
Committee recommends that the government seek to achieve food safety regulation
equivalency with trading partners, develop processes to increase regulatory
compatibility, and recognize scientific evidence from other countries where
appropriate and meeting Canadian standards.
Government agrees with the Committee’s recommendation and is committed to
regulatory modernization in order to enhance international market opportunities
for the Canadian food industry by further aligning our food system with our
and Agri-Food Canada is working with Health Canada to improve processes that
encourage the recognition of science from other jurisdictions and
research-based equivalencies for the approval of minor use pesticides and
veterinary drugs. To date, investments have been made to expedite the
regulatory review process for pesticides and to eliminate the backlog of
veterinary drugs submissions.
Through government-wide regulatory initiatives, such as the
Regulatory Cooperation Council and Red Tape Reduction Commission, actions are
being taken to achieve and maintain new levels of regulatory cooperation and
alignment with trading partners, such as the United States (US), in order to
maintain Canada’s food safety system as one of the best in the world and
enhance the competitiveness of the agri-food sector.
the area of food safety, the Canadian Food Inspection Agency, Health Canada,
and the US Food and Drug Administration are working to better align regulatory
systems, to the extent feasible, and better leverage resources to help both
countries meet their public health objectives.
also participates in the work of international standard setting bodies, such as
Codex Alimentarius and the World Animal Health Organisation to develop and
encourage the use of international standards as the basis of comparable
domestic measures, while maintaining the food safety standards Canadians
Government continues to be committed to advancing food safety regulatory
alignment and compatibility with trading partners.
Committee recommends that Growing Forward 2 include specific support programs
for new entrants in agriculture, for continuous training and learning and for
organizations that promote and deliver farm management consulting services.
Government acknowledges the Committee’s recommendation for Growing Forward 2 to
include specific programs to support new entrants in agriculture. Young and
beginning farmers are critical to the renewal and future of the sector, and the
Government, often working collaboratively with its
provincial and territorial counterparts, has consistently supported young and
beginning farmers through various initiatives.
Growing Forward, federal, provincial and territorial (FPT) governments fund a
broad range of business and skills development programs, designed and delivered
by the provinces and territories. Some of these programs aim to enhance
participation by young or new entrants. For example, in Saskatchewan,
the Farm Business Development Initiative for Young Farmers helps
farmers under the age of 40 adopt progressive farm business management practices
and strategies in a number of areas including marketing and human resources,
among others. In addition, Manitoba’s Succeeding Generations Program provides
support for activities, such as mentoring and management training, to help
young and beginning farmers develop and manage viable farm operations.
Agriculture and Agri-Food Canada (AAFC) also
provides financial support to national organizations such as the Canadian 4-H
Council, the Canadian Young Farmers’ Forum, and Canada’s Outstanding Young
Farmers Program, to develop programs, tools and activities in support of young
and beginning farmers as well as the youth.
AAFC programs and initiatives also benefit new and beginning farmers. Examples
include AgPal, a web-based discovery tool that helps producers and other
agriculture and agri-businesses find information on FPT programs and services
relevant to them; and the Career Focus Program which provides employers with a
subsidy of up to $20,000 for an agricultural internship to eligible recent
graduates. The Canadian Agricultural Loans Act has special provisions
for beginning farmers, and Farm Credit Canada also offers a number of loan
programs to help young and beginning farmers get their operations up and
The Government will continue to promote training and
learning opportunities, and support farm management services for young and new
entrants to benefit and attract new participants to the sector.
Committee recommends that the government report to the Committee on the actions
it has taken subsequent to the report on the rail freight services review.
The Government acknowledges the Committee’s request for
information on the actions it has taken subsequent to the report on the rail
freight services review.
The Government has completed a facilitation process, involving the
railways and shippers, to develop a template service level agreement and a
commercial dispute resolution process. The facilitator’s final report was
released on June 22, 2012 and is available on Transport Canada’s website.
Agriculture and Agri-Food Canada (AAFC) has
established a Crop Logistics Working Group to provide a forum for the
agriculture sector to input into the rail freight service review implementation
process, and discuss other transportation related issues.
In addition, Transport Canada and AAFC are completing a grain
supply chain study that will focus on issues affecting the grain sector and
identifying potential solutions, with a final report to be submitted by fall
The Government has also committed to tabling a Bill in 2012 that
will give shippers a right to a service level agreement with the railways and
provide a process to establish an agreement when commercial negotiations fail.
Finally, the Government will launch in the near future the
Commodity Supply Chain Table to provide a venue for commodity exporters,
including agricultural exporters to identify ways to enhance the performance of
Committee recommends that the government investigate the current condition of
the existing fleet of Canadian grain rail cars, and begin to plan for updating
the current fleet with a more modern rail car that will increase the efficiency
and productivity of the government’s rail car fleet while decreasing the
overall environmental footprint.
Government agrees with the importance of reviewing the Government’s existing
fleet of grain rail cars to ensure they are efficient and productive in moving
farmers’ grain, and decrease the overall environmental footprint.
2007, the Government signed new agreements for the refurbishment, maintenance
and operation of its hopper cars with both Canadian
National (CN) and Canadian Pacific (CP), which included obligations of
the railway companies to replace hopper cars that reach the end of their useful
life at the railways’ expense.
refurbishing the hopper cars to extend their useful lives, the railways have
been buying larger capacity hopper cars to replace the smaller capacity
government cars. This generates increased efficiencies throughout the operation
of the grain fleet.
Under the new operating agreements, the railways are required to
report annually on their use of the government owned hopper cars. The 2011
annual report indicates that 9,400 Government of Canada hopper cars used in the
CN and CP railways’ fleets are in overall good condition.
Committee recommends that the government continue to support the supply management
system by defending it in trade negotiations.
Government agrees with this recommendation and continues to make it clear that
it supports the supply management system in the dairy, poultry and egg sectors.
In all international trade negotiations, the Government promotes Canada’s
interests across all sectors to create more jobs and greater prosperity for
supply management system has not prevented the Government from concluding
ambitious free trade agreements or from pursuing important new trade agreements
with other trading partners.
Committee recommends that the business risk management suite of programs of
Growing Forward 2 respect the principles of transparency, simplicity, timely
payments, market neutrality and nationwide equality, and better reflect the
needs of farmers.
Government acknowledges the recommendation and recognizes the importance of
transparency, simplicity and timely payments, as well as market neutrality and
equity in the design and delivery of agricultural programs.
the same time, AgriStability is a program based on the operating margins of
individual business operations and, as such, will likely always have a level of
complexity that will lead to timeliness and predictability challenges.
collaboration with the provinces and territories, the Government will be
striving to ensure that all programming under the GF2 framework reflects the
needs of farmers and positions the industry to be innovative and market-oriented
over the long-term.
federal government will work with its provincial and territorial counterparts
to ensure that programs are designed and delivered in a manner that are, to the
extent possible given their objectives, transparent and simple, that payments
are issued in as timely a manner as is possible, and that programs reflect the
principles of market neutrality and nationwide equity.
Committee recommends that AgriStability be reviewed with the provinces and
territories following the principles enunciated in recommendation 17.
Government agrees with the need to review AgriStability to respect the
principles of transparency, simplicity, timely payments, market neutrality and
nationwide equity. The federal government strives for continuous improvement in
all areas of program design and administration.
have been raised by the industry regarding the complexity, timeliness and
predictability of AgriStability. The Office of the Auditor General, among other
commentators, has noted that there is a need to better communicate to producers
the program design trade-offs and inherent challenges for delivery. A program
based on operating margins of individual farm operations will always have a
level of complexity that will lead to timeliness and predictability challenges.
Government, in collaboration with its provincial and territorial counterparts,
will continue to review AgriStability and other Business Risk Management
programs with regard to their ability to respect the key principles identified
in Recommendation 17.
Committee recommends that AgriRecovery’s disaster relief framework include a
clear and meaningful definition of “disaster” with specific criteria so that
relief can be delivered consistently across the country.
Government acknowledges this recommendation and will take it into consideration
as it develops the next policy framework, Growing Forward 2 (GF2), in
collaboration with its provincial and territorial (PT) counterparts.
the current suite of Business Risk Management (BRM) programming, AgriInsurance,
AgriStability and AgriInvest are designed to be the first lines of defence for
farm operations. The AgriRecovery Framework is a mechanism to be used for the
development of initiatives that work with the other existing programs to
effectively respond to “disaster events.” The current guidelines define a
“disaster” as a natural event (e.g., weather, diseases and pests) that is
collective in scope and has had, or has, the potential for significant negative
impacts on a sector. Using this definition, the Framework has enabled
Governments to provide meaningful assistance in times of disaster.
federal government will work with its PT counterparts, as part of the renewal
of the BRM suite of programs under GF2, to pursue opportunities to further
refine how and when the AgriRecovery Framework will be used to respond to
Committee recommends that Agriculture and Agri-Food Canada study the
possibility of establishing price insurance programs across the country.
Government agrees with the recommendation of studying the possibility of
establishing price insurance programs across the country and expects to be
seeking expert and stakeholder input in this issue in the near future.
Agriculture and Agri-Food Canada has been
studying the potential risks, benefits and costs of price insurance in Western
Canada, in collaboration with provincial and territorial governments. Alberta
is currently administering unsubsidized price insurance programs for cattle and
hogs, and federal, provincial and territorial (FPT) governments have been
assessing the feasibility of administering similar programs in other provinces
and whether there would be sufficient demand.
in the Saint Andrews Statement in July 2011, FPT Ministers of
Agriculture identified the development of insurance-like approaches and private
risk management tools as a priority area under Growing Forward 2.
Government is thus committed to reviewing all types of insurance-based
risk-management tools, in collaboration with its provincial and territorial
Committee recommends that Agriculture and Agri-Food Canada review the Advance
Payments Program to consider the possibility of providing more flexible
Government agrees with the Committee’s recommendation that Agriculture and
Agri-Food Canada (AAFC) undertake a review of the Advance Payments Program
(APP) to consider the possibility of providing more flexible repayment options.
purpose of the APP is to improve marketing opportunities for agricultural
products of eligible producers by providing advances to them as a means of
improving their cash-flow, with the understanding of guaranteed repayment. The
APP is not intended to provide long-term loans to producers.
per the legislation, AAFC is currently conducting a five-year review of the Agricultural
Marketing Programs Act, which encompasses the APP. As part of the review,
broad stakeholder consultations have taken place across the country. All ideas
and viewpoints will be reviewed and analyzed and will provide a basis for
possible program adjustments going forward.
is the Government’s goal to identify potential improvements to the APP, while
respecting the core principles and parameters of the program.