Farm optimism wanes – Ag Ministers’ meeting must deliver results for producers
Regina, July 7, 2010 - Today, the Canadian Federation of Independent Business (CFIB) released its Monthly Agriculture Business Barometer which shows the confidence of the agriculture sector retreated in the month of June to an index of 51.0, well below the national average of 66.4. As Federal, Provincial and Territorial (FPT) Agriculture Ministers meet this week in Saskatoon, Saskatchewan; the CFIB is calling for a concrete plan to deal with farmers' serious concerns with AgriStability and the challenges facing many provincial farm economies.
"Given the significant challenges in the Canadian agricultural sector, such as the extensive flooding in Western Canada, it is not surprising to see optimism dip eight points since this spring," said Marilyn Braun-Pollon, CFIB's vice-president of agri-business. "There is no better time to address the problematic areas within AgriStability and make immediate improvements to the program."
CFIB's recent report: AgriStability or Aggravation, detailed farmers' frustrations with the current programming but also identified what role government should play in assisting producers in managing risk. "Addressing actions of foreign governments was the top priority, but it's pretty clear that farmers also believe government should assist in managing risks beyond a producer's control (e.g. flooding)," noted Braun-Pollon. "While government cannot, and should not, be there at every turn, they do have the opportunity to fuel optimism by making these risk management tools more responsive, more timely, less complicated and more predictable."
We are hopeful the Ag Ministers are also serious about inspiring innovation and creativity in the agri-business sector," said Braun-Pollon. "CFIB has long called for the burden of red tape to be lifted off the shoulders of the agriculture sector, as well as a competitive tax environment in which farmers and agri-business owners operate."
"FPT Ministers have been reviewing business risk management programs since July 2008 and CFIB farm members say it is time for action. Our members believe many changes could be implemented to improve AgriStability," concluded Braun-Pollon. "Tangible results must be delivered this week."
CFIB's index is measured on a scale between 0 and 100, an index level above 50 means owners expecting their businesses' performance to be stronger in the next year outnumber those expecting weaker performance. Further details can be found at: www.cfib-fcei.ca/english/barometer
CFIB's Marilyn Braun-Pollon will be available for comment following the Ag Ministers' meetings July 7 and 8. If you would like further information or to arrange an interview with Braun-Pollon, please call 1-800-992-2342 or visit www.cfib.ca
CFIB is the business voice for agriculture, representing 7,200 independently owned and operated agri-businesses in the country, the majority of which are primary producers.
