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THE CITIZEN, WEDNESDAY, JANUARY 24, 2001. PAGE 11.
Ont. farmers can't compete with foreign subsidies
Ontario grains and oilseed
growers need $300 million in
government support to be able
to compete with heavily-
subsidized competitors in the
U.S. and Europe, Bob Down,
past president of the Ontario
Corn Growers told a
combined meeting of Huron
County's corn, soybean and
wheat producers in
Holmesville, Jan. 17.
Down, who has
spearheaded a co-ordinated
effort by all commodities to
win federal government
support, said there is a $63 an
acre difference in government
support between the U.S. and
Canada. He personally met
with Paul Martin, federal
finance minister, prior to the
election and came away
convinced help was on the
way. "We're still waiting . . .
and waiting . . and waiting,"
Down said.
As the wait continues there
are concerns farmers won't
survive until help arrives,
Down said. "We need an
immediate cash infusion."
With new producers
coming on line for traditional
Ontario crops, and
competition with heavily
subsidized growers in the
U.S., identity preserved crops
could be the niche for Ontario
farmers, said Marty Huzevka
of the Hensall Co-op.
Speaking to growers
attending the combined
annual meeting of Huron
County's corn, soybean and
wheat producers, Huzevka
said Western Canada is taking
over crops like white beans
while Brazil and Argentina
continue to expand in
soybean production.
Ontario producers and
proCessors must play to their
strengths, and that means
value-added crops like food-
grade soybeans and new
identity preserved corn
varieties coming down the
line, Huzevka said. Ontario
producers have experience in
handling food-grade crops
like white beans and our
processors have the facilities
needed to segregate food-
grade products, he says.
Food grade soybeans offer
potential for growth, Huzevka
said. Soybeans contain
isoflavones which research is
showing can reduce heart
disease and cancers of the
colon, prostate and breast as
well as menopausal
symptoms and osteoporosis.
"That means to me we are
in the right niche," Huzevka
said. "We have the
qualifications to be a major
supplier of food-grade
soybeans."
But to win Japanese
customers it's essential to
convince them • there is a
quality control, identity
preserved system in place that
allows a crop to be traced
right from planting to
delivery..
Huzevka said he is leaving
for Japan this week to talk to
customers and bring them up
to date on Hensall Co-op's
identity preservation
It's not just the dollars
available to U.S. farmers, said
Liam McCreery, vice-
president of the Ontario
Soybean Producers. It's also
the design of the U.S. support
programs. The American
program pays farmers
whatever money they lose
below the support price,
meaning there, is no incentive
to do a better job marketing
their crops.
But not only Canada's
federal government is letting
down farmers, said Down.
Compared to Alberta and
Quebec, Ontario farmers are
not getting the provincial help
needed. Quebec farmers got
$230 million in support from
the province last year while
Ontario gave out $120 million
for all programs, despite the
fact Ontario produces more
farm goods than Quebec.
Down was asked how much
longer producer organizations
would continue to patiently
wait for government
assistance. He said the plans
of the commodity groups are
facilities. His presentation
will show buyers the lengths
to which the Co-op goes
to ensure there will be no
cross-contamination of the
product.
flexible and can change to
more aggressive tactics if the
situation warrants it.
"On the other hand, there
are indications that there is
mo,vement (from the
government)," he said.
Meanwhile, in reviewing
the past year for corn
producers, Down said Ontario
had only about 80 per cent of
a normal crop and the corn
was often of lower grade than
normal. "The bottom line is
we haven't produced enough
corn by any means to satisfy.
the needs of corn
manufacturers," he said, so
corn will have to be imported.
Jack Stafford, zone directoi'
for the soybean producers,
reported on increased drying
charges approved by the
board because of the special
circumstances caused by
higher energy prices.
Hopefully the processors will
remember how farmers
helped them out, Stafford
said.
Acreage for soybeans in
Ontario continues to expand
and both exports and imports
grew last year. "We target
export markets that are value-
added," Stafford said, and
import crushing-quality
beans. Iran is the largest
single market but Japan
doubled its purchases last year
and Indonesia, thanks to
federal government trade
efforts, made a big jump in
purchases.
Acreage in soybeans was up
in 2000 but yields were down
from 1999. Huron County
represents eight per cent of
the provincial production with
1,591 growers averaging 43
bushels per acre.
Murray Thompson, zone
director for the Ontario Wheat
Producers Marketing Board,
reported on the move of the
board's head office from
Chatham to Guelph.
There had been a
phenomenal increase in direct
marketing contracts with
2,800 contracts signed for
22,000 tonnes of wheat, he
said.
The groups combined to
pass seven resolutions.
The Soybean Growers
requested that premiums for
specialty soybeans not be
included to arrive at the
average price calculations for
Market Revenue Insurance
purposes.
The Wheat Producers
requested the OWPMB to ask
Agricorp to review the policy
regarding loss,of income due
to low quality due to such
problems as fusarium.
All groups directed their
provincial board to lobby the
provincial government to be
proactive by introducing an
interim enhancement to the
Market Revenue Insurance
Program without waiting for
the federal government,so that
Ontario farmers can be
competitive with their
counterparts in Alberta,
Quebec, and the U.S.
The Environmental Farm
Plan funding is slated to end
March 31. This has been a
successful program, doing a
lot of good for the
environment. A resolution
was passed that the provincial
boards lobby the appropriate
governments to reinstate
funding for this program,
increase the dollar amount
available to each applicant,
and allow farmers who have
already completed the plan, to
reapply for projects that could
not be finished because of
lack of funding.
Since the Healthy Futures
program is ending in 2002,
and the current environmental
component of this program is
not addressing the overall
approach to environmental
rehabilitation, a resolution
passed requesting all
provincial farm organizations
lobby the provincial
government for a long-term
program that will help finance
effective long term
environmental rehabilitation
and pollution prevention.
The three commodity
groups also passed a
resolution to support Huron
County's application to
Healthy Futures for Ontario
Agriculture for funding to be
used to implement the
adoption of best management
practices for water quality in
the county.
The last resolution
cautioned farm organizations
to study very carefully the
implications of agreeing to
any use of agricultural land as
a carbon sink.
Elections were conducted
by OMAFRA Regional
Information Co-ordinator
Jane Muegge.
Elected for the year 2001
for the Corn Producers
delegates were: Evert Ridder,
chair; Peter Postl, secretary;
Bob Down, zone 10 director;
Larry Lynn and Chris
Weernink; as alternates
Wayne Hamilton, Bob
Hallam, Brian VanAaken,
Bob Fotheringham and Neil
Vincent.
Elected for the Soybean
Growers: Bob Hallam, chair;
Achim Stoecher, secretary;
John Stafford, zone 7 director;
John Arts; Maurice Hallahan;
Steve Hallahan; John King;
John Oke and Fred Phillips.
Elected for the Wheat
Committee: Peter Heinrick,
chair; Neil Stapleton,
secretary; Stuart Alton; John
Baan; Achim Stoecher; Al
Hoggart; Maurice Hallahan,
Don Kerslake; John Gaunt;
Chris Weernink; Mike
Ondrejicka; John King; and
Doug Walker.
PaRTIC/Pat17017
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