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VICTORIA – The B.C. government responded today on one element of the federal government’s plan for repositioning the Canadian cattle industry in the face of continuing impacts of the US border closure due to BSE, Minister of Agriculture, Food and Fisheries John van Dongen announced today.
“The provincial government is prepared to participate immediately in a plan to provide ranchers with advance payments under the Canadian Agriculture Income Stabilization program (CAIS) for registered breeding livestock to be cost-shared with the federal government,” said van Dongen. “The overall national strategy, and the provincial approach will take some time to consider and implement, but we need to take whatever actions we can today to sustain this vital industry and ensure that our ranchers remain solvent.
The proposed advance payment plan will enable producers to apply for $100 per breeding cow and $50 for other ruminants. These payments would be recovered from producers when they make their 2004 claim under the CAIS program for compensation due to the impacts of BSE and the continuing US border closure to Canadian livestock. The total value of advance payments to B.C. producers could exceed $30 million this year. The costs will be shared between the federal government and the Province with the federal government paying 60 per cent.
“We recognize that our producers are suffering financially and are facing considerable uncertainty this fall as to what the market will provide as a price for their calves,” van Dongen said. “This initiative, of itself, will not correct the impacts of the US border closure, but it will provide our producers with a much needed cash flow while they consider their options as we move forward”.
On September 10 in Calgary, the federal government announced a national strategy for repositioning the nation’s cattle industry with four key elements: continuing efforts to reopen the US border, increasing ruminant slaughter within Canada, taking measures to sustain the cattle industry and expanding access to markets for both livestock and beef products. Minister van Dongen indicated at the time that the provincial government generally supports the framework but suggested it required additional focus, particularly in the area of increasing processing capacity.
“The framework is broad enough for provincial governments to adapt their programs to industry needs, and that is precisely what we are doing in B.C.,” he said. “While that work is underway, this is an immediate step we can take to respond to the serious financial circumstances our cattle producers are facing. We are also considering other financial initiatives such as a set aside for young livestock but have not finalized a decision.”
Additional information on the Special CAIS advance is available at:http://www.agf.gov.bc.ca/ahc/bse/index.htm online.
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