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Canadian farmers celebrate their role in providing consumers with a safe and affordable food supply
February 9, 2010
On February 12, 2010, the average Canadian will have enough income to pay his or her individual grocery bill for the entire year.
“Farmers are very proud of their role in providing high quality food produced at the highest food safety and environmental standards,” said Laurent Pellerin, CFA President.
Food Freedom Day is occurring on the same day as it did in 2009, which is slightly later than in previous years, due to the effects of the recession on disposable income and an increase in the price of food. The calculation is a simple comparison of Canadian’s disposable income and the amount they spend on food.
For Food Freedom Day 2010, the CFA looked back at food prices over the past 30 years at both the farm gate and retail levels. This research highlighted the hard work farmers do in ensuring Canadian’s receive great value for their food dollar.
“While the prices Canadian consumers pay for food has been steadily increasing over the past 30 years, the amount that returns to the farm gate is relatively small,” said Pellerin.
The Farmers’ Share, a recent study commissioned by prairie members of the CFA, showed that, on average, only 27 per cent of the cost of an entire week’s worth of groceries for a family of four goes back to the farms where the food is produced.
To ensure that consumers are able to identify Canadian food products and support our agriculture sector, the CFA will continue to advocate for effective ingredient-based ‘Product of Canada’ guidelines that are both informative to the consumer and practical to the agri-food sector.
Interpreting a non-report By Mark Wales, OFA Vice-President
Traditionally, Agriculture and Agri-Food Canada issues its forecast for farm incomes each February – in time to give farmers an opportunity to better understand our industry situation and develop business plans taking the projections into account. In short, this government data is a part of our business planning process.
Without explanation, there was no forecast of farm incomes for 2010 from federal authorities.
In previous years, there was usually some good news. In 2008, net cash income was projected to rise by six per cent to $7.5 billion; for 2009 an increase of four per cent was projected. Some other figures contained in the report showed Realized net income going up by 16 per cent from 2007 levels to $2.5 billion in 2008, and then up another four per cent in 2009.
Total net income was forecast at a record $5.1 billion in 2008, but then dropping to $1.2 billion in 2009. The report indicated total family income per farm family remaining stable for 2008 and 2009.
Net value added is agriculture’s contribution to the national economy’s production of goods and services. For 2008, that was projected to increase by 49 per cent, but to fall by 27 per cent in 2009.
The report has significance as it projects operating expenses – something that’s very important to farmers. As an example, farm operating expenses were predicted to increase by 13 per cent in 2008 over the previous year, and then fall by three per cent to $36.9 billion in 2009.
Without at report for 2010, farmers are left without an official benchmark as they plan their production for the year. Program payments to producers were projected to drop by three per cent in 2008, but increase by two per cent in 2009. With no report for 2010, farmers and their organizations are left guessing what might happen – not a comfortable situation.
In an overview of the Canadian Agriculture and Agri-Food System in 2009, the report said agriculture “continues to play an important role in the federal and provincial economies, making a significant contribution to Gross Domestic Product (GDP) and employment.” For 2008, the sector provided one in eight jobs in Canada and accounted for 8.1 per cent of total GDP.
Summer is known by most people as the time when farmers are busiest planting, growing and harvesting crops in their fields. There’s another responsibility many farmers will be working on over the next few months – working the fields of politics, seeking ways to improve the business environment for farming in Ontario.
Politicians at both the federal and provincial levels will be back in their ridings, attending barbecues and meeting their constituents, attempting to solidify support for the next elections.
This is when leaders of the Ontario Federation of Agriculture, its staff and its members get to work meeting the politicians, going over the issues that are critical to agriculture. The list is widely varied ranging from market shortfalls to regulatory concerns to environmental and business sustainability. Some issues are new and some linger.
The need for improvements to risk management tools from both levels of government still tops the list of what farmers will be seeking when they meet their MPs and MPPs. Ontario commodity organizations have calculated a need for improvements to the AgriStability program retroactive to 2008. That necessary change would inject more than $100 million per year into Ontario farm businesses and help stabilize the farm community and our rural economy.
The implementation of Business Risk Management Plans across those commodities wishing it would further sustain these sectors through the years to come.
Farmers and their businesses would also benefit from changes to the property tax system in Ontario. Farm organizations have developed a simple definition of farming activities that include value-retention activities, but we are still pushing for the adoption of that definition to clearly identify when the farm property tax class applies. These activities include everything from production of maple syrup to pitting and sugaring of cherries to packaging vegetables. Without these activities, there is no market for such products. That simply means they are farming activities.
OFA wants the province to commit to the cost of implementing source water protection plans – an important component of Ontario’s Clean Water Act. We also need government action to overcome delays in approvals for farm drainage work.
The province’s species at risk legislation has inherent costs and difficulties for farmers and rural municipalities. We encourage the province to ensure that the legislation is administered so that protection of habitat is balanced against farm businesses continuing to operate efficiently and for communities to continue to grow and develop. If there is impingement to farming there must be compensation.
Farmers have identified other needs from both federal and provincial governments. The Environmental Farm Plans that so many farming operations have used to mitigate agriculture’s impacts on the environment needs continued and improved funding support.
Our members throughout the Greater Toronto Area want more consideration given to the needs of agriculture. Farmers in the Greenbelt find themselves being ignored by the province with preferential treatment going to environmental groups.
Both livestock and crops producers across the province are demanding more realistic action by the provincial government to stop the carnage of lambs and calves by coyotes and crops by elk, deer and turkeys. To this point, the Ministry of Natural Resources has provided recommendations for protecting livestock from coyotes and are developing an elk hunt, but no tangible action yet that will control the wildlife populations.
OFA members – Ontario farmers have much to discuss with our political leaders this summer. The business of farming and food processing and distribution is big business in Ontario. Our agri-food system needs Ontario farms to survive. Together, we employ 712,000 people across Ontario. That is big. Our governments need to understand that and start taking care of business. It is our job to motivate them to do that this summer.
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Lennox & Addington Federation of Agriculture
Tuesday, December 1st, 2009 @ 8:00pm, Selby Sales Barn
AGENDA
Continue reading Monthly Board Meeting
News Release
October 26, 2009 For Immediate Release
GUELPH – The Ontario Federation of Agriculture (OFA) has received $126,000 in funding from Agriculture and Agri-Food Canada’s Advancing Canadian Agriculture and Agri-Food Program, which is delivered in Ontario by the Agricultural Adaptation Council. The funding will be used to undertake a feasibility study into how a carbon trading system could become a viable business option for Ontario farmers.
“Farmers are always looking for new ways to increase the profitability of their operations,” says Bette Jean Crews, OFA President. “Trading carbon credits could allow them to do that while at the same time contributing to improving the environment for all Ontarians.”
Continue reading OFA awarded grant for carbon aggregator study
The past year has witnessed profound change at the Ontario Federation of Agriculture both structurally and in terms of our policy focus and initiatives.
Following a three -year period of reflection and consultation with members the OFA embarked on a significant change in corporate governance at its Annual General Meeting last November. The AGM marked the initiation of the new governance model, finalizing the move to a Board of Directors of 18 members with a Policy Advisory Council (PAC) of 104.
Continue reading A report by OFA President, Bette Jean Crews — Summary of Events and Activities 2009
Visitors to this year’s Canada’s Outdoor Farm Show north of Woodstock will have an opportunity to witness the growth and evolution of agriculture’s role in Canada’s energy business.
This will mark the first year for the show to host the Canadian Energy Expo, a new feature intended to provide participants with the opportunity to build on the show’s philosophy of research, development and demonstration. September 16th will highlight this Expo in the program. On all three days of the show, visitors will have access to the displays of 50 exhibitors illustrating a range of technologies to harness agriculture’s opportunities with green energy.
Continue reading OFA in the modern energy era By Wendy Omvlee, Executive Member, Ontario Federation of Agriculture
After years of debate and discussions with the provincial government about a definition of a farm and agriculture, we may have moved a bit closer to resolution of the issue recently.
Following a hearing of the Ontario Labour Relations Board in June, the board issued its finding on July 30. While we can’t claim to have won the war, we believe the Board ruling is an indication we have won a battle on the issue of defining a farm and agricultural labour activity.
Continue reading Working on an acceptable definition By Mark Wales, Vice-President, Ontario Federation of Agriculture
News Release
June 18, 2009 For Immediate Release
GUELPH – Ontario Federation of Agriculture (OFA) members across Ontario will experience even more benefits thanks to a joint initiative by TSC Stores and the OFA – benefits valued in excess of the cost of the annual OFA membership fee, the federation announced today.
It begins with OFA ‘Member Days’ at TSC’s 40 locations in Ontario, June 19 to July 2. By showing their 2009 OFA Member Card, farmers will receive a 15 per cent discount on most regular-priced merchandise. To help prepare farmers for this event, TSC Stores mailed a special mini catalogue promoting the savings to OFA’s 37,000 members. The catalogue also offered special savings exclusive to OFA members.
Continue reading TSC, OFA join forces to benefit farmers
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