Ontario Agriculture

The network for agriculture in Ontario, Canada

The CFFO Commentary: Future Safety Net Design Drawing Attention

By Nathan Stevens

The next Growing Forward agreement is starting to loom on the distant horizon and farm groups are developing new options that differ from the current program. James Rude of the Department of Rural Economy at the University of Alberta was recently in Guelph to share his insights into Canadian Business Risk Management Programs, and what the key priorities are for government and farmers.

In his view, Canadian safety net programs are attempting to accomplish two different goals with one broad program. The first is a desire to redistribute income in a more equitable fashion for farmers. The second is to address market failures when they occur. The result is the inability to adequately address either goal properly to the satisfaction of farmers.

Government has three main concerns with safety net programming. The first is that there ought to be a predictable amount of money spent on programming, especially within the context of budgetary deficits. The second is the need to recognize the impact government intervention in the marketplace may have on trade obligations. The third key concern is ensuring support programs have a minimal impact on the production choices made by farmers.

On the other hand, producers are dissatisfied with the level of complexity involved in Agristability. Rude asserted that farmers are more interested in an income transfer than in risk reduction. At the same time, they want program payments that reflect their individual operation and they want the payment quickly. These desires are at odds with each other. Rude asserted that if farmers really want timely income transfers then they would be best served by direct payments to farmers. However, this type of payment should be targeted and require cross-compliance with other policy goals, such as environmental standards.

Finally, Rude asked a very tough question regarding safety net design. Should business risk management programs address the issue of long-term decline in a commodity price or should they stabilize fluctuations that occur around the long-term decline?

In Rude’s opinion, the future holds continued trade-offs between socially acceptable safety nets and minimizing distortions for producers. To him, this means that the farming community is in for more of the same from government programming, unless there is a convincing argument put forward to head in a new direction.

Nathan Stevens is the Research and Policy Advisor for the Christian Farmers Federation of Ontario. The CFFO Commentary represents the opinions of the writer and does not necessarily represent CFFO policy. It can be heard weekly on CKNX Wingham and CFCO Chatham, Ontario and is archived on the CFFO website: www.christianfarmers.org. The CFFO is supported by 4,200 farm families across Ontario

Views: 57

Comment

You need to be a member of Ontario Agriculture to add comments!

Join Ontario Agriculture

Agriculture Headlines from Farms.com Canada East News - click on title for full story

Canadian Cattle Young Leaders announce 2026 Finalists

The Canadian Cattle Young Leaders (CYL) Program, a national youth initiative of the Canadian Cattle Association (CCA), is pleased to announce its 16 finalists for the 2026–2027 program year. The annual CYL Selections Competition took place on August 18, 2026, at the Canadian Beef Industry Conference in Winnipeg, Manitoba. During the competition, impressive semi-finalists from across Canada, involved in various roles within the beef supply chain, competed for a spot in the 2026 mentorship program year. Through the Selections Competition, semi-finalists rotated through discussions with their peers at six roundtables, each facilitated and judged by representatives from the program’s sponsors and industry. Semi-finalists put their skills to the test during thought provoking discussions about timely beef industry topics such as education, succession planning, leadership, public trust, innovative technology and international trade. Each finalist will be awarded a $3,000 budget for beef i

Breeding Barley for an Uncertain Water Future

Western Crop Innovations breeder Yadeta Kabeta explains how new barley varieties are helping Prairie farmers manage drought, improve water-use efficiency and maintain yield stability in an increasingly unpredictable climate. Few production challenges occupy prairie farmers’ minds more consistently than water. Some years it’s too little. Other years it’s too much. Even when total rainfall looks adequate, the timing often isn’t. Moisture may arrive after the crop’s most critical growth stages have passed, or disappear altogether during grain fill. For Yadeta Kabeta, barley breeder with Western Crop Innovations (WCI), that increasing variability has become one of the defining challenges facing Prairie crop production. “Low moisture availability or variability in moisture is currently probably a top concern for producers,” says Kabeta. “In recent years there has been so much variability in the amount of rainfall and in the patterns of rainfall. Sometimes it doesn’t come when crops need

Wheat, Barley Groups Partner to Reshape Canadian Breeding System

The Canadian Wheat Research Coalition and Canadian Barley Research Coalition have entered a formal strategic partnership aimed at strengthening and modernizing Canada’s wheat and barley breeding system. Announced Thursday, the agreement brings the Canadian Barley Research Coalition (CBRC) formally into ongoing discussions between the Canadian Wheat Research Coalition (CWRC), and Agriculture Canada on the future of cereal breeding. CWRC chair Jocelyn Velestuk said the partnership builds on a history of collaboration between the two organizations and reflects the common challenges facing wheat and barley breeding. “Many farmers grow both wheat and barley, and the breeding systems for both crops face similar challenges that we can now address collaboratively,” said Velestuk in a statement. The discussions grew out of a CWRC review of Canada’s wheat breeding innovation system, which examined potential risks and opportunities and how the system can continue developing high-performin

Saskatchewan Yield Estimates Mixed as Harvest Reaches 18% Done

Saskatchewan’s 2026 crop is shaping up with lower yields than last year for many major crops, although durum, peas, and mustard are notable exceptions, according to the latest provincial crop report on Thursday. The province currently estimates the average spring wheat yield at 52 bu/acre, down from Statistics Canada’s final 2025 Saskatchewan yield of 55.8 bu. Barley is pegged at 74 bu./acre versus 78.2 last year, while oats are estimated at 94 bu/acre, down from 101. Canola is estimated at 38 bu/acre compared with 44.4 in 2025, while flax is projected at 26 versus 27.8. Durum is estimated at 44 bu/acre, up from 39.6 last year, while peas at 39 bu./acre are slightly above the 2025 yield of 38.6. The average provincial lentil yield is currently estimated by the province at 1,361 lbs/acre, below last year’s 1,705 lbs. Canary seed is pegged at 1,266 lbs versus 1,623 in 2025, while chickpeas at 1,501 pounds are down sharply from 1,985. Mustard is the exception, with the 2026 estimate

Global Food Commodity Prices Up Again in August

Global food prices rose for a second consecutive month in August, reaching their highest level since late 2022, as adverse weather, geopolitical tensions and trade disruptions increased concerns about supplies of major agricultural commodities. The Food and Agriculture Organization of the United Nations said Friday that its Food Price Index averaged 133.3 points in August, up 1.9% from a revised July reading and 2.5% above a year earlier. The index had risen 0.6% in July after declining 0.3% in June. Despite reaching its highest level in about four years, the index remained roughly 17% below the all-time high of 160.2 points reached in March 2022 following the Russian invasion of Ukraine Cereal prices were among the main drivers of the August increase. The FAO cereal price index averaged 116.3 points, up 2.2% from July and reaching its highest level since May 2024. Prices increased across all major grains amid strong demand, weather concerns and continued uncertainty surrounding

© 2026   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service