Minister's briefing notes, 2023-24 Main Estimates, May 17, 2023

AAFC's 2023-24 Main Estimates are $1.827 billion. What is this funding for?

Value statement

This year, we will help the sector take advantage of market opportunities, strengthen its competitive edge by investing in innovation, and support sustainable growth. Of the $1.827 billion 2023-24 Main Estimates funding:

• $769 million will go to producers for business risk management programs;
• $259.3 million for the Agricultural Climate Solutions and Agricultural Clean Technology programs will enable the Canadian agricultural sector to contribute to the reduction of greenhouse gas emissions and build resilience;
• $157.6 million will go toward supporting the supply-managed dairy, poultry and egg producers and processors;
• $82.4 million will support Canadian wineries as they adapt to the repeal of the excise duty exemption on 100% Canadian wine.

Takeaway

Compared to 2022-23, AAFC's 2023-24 Main Estimates is $1.7 billion lower mostly due to the sunsetting of the Canadian Agricultural Partnership (CAP) and the Dairy Direct Payment Program (DDPP). Once the Sustainable Canadian Agriculture Partnership (Sustainable CAP) and the renewed DDPP are approved, they will be reflected in Supplementary Estimates.

What are the highlights for Agriculture and Agri-Food Canada's planned spending in the 2023–24 Departmental Plan?

Value statement

The 2023-24 Departmental Plan reflects a stronger focus on efforts toward a more environmentally, economically, and socially sustainable agriculture and food system that can meet growing global demand.

• Over the period of 2020-2021 to 2025-2026, spending varies from a high of $3.6 billion forecasted for 2022-23, to a low of $1.6 billion planned for 2024-25 and 2025-26.
• Planned spending starting in 2023-24 is lower than previous years as funding authorities for the new 5-year Sustainable Canadian Agricultural Partnership (2023-2028) were not approved in time to be included in the Departmental Plan.
• This funding will be reflected in the 2023-24 Supplementary Estimates, the 2024-25 Departmental Plan, and the 2023-24 Departmental Results Report.

Takeaway

Agriculture and Agri-Food Canada will continue to support the sector with programs and services adapted for current and future realities.

Producers and processors are facing challenges, how will the commitments made in Budget 2023 benefit the agriculture and agri-food sector?

Value statement

Budget 2023 announced:

• $333 million to establish the Dairy Innovation and Investment Fund, which will support projects that add value to solids non-fat
• $10 million to top up the Local Food Infrastructure Fund to strengthen food security in Northern, rural, and Indigenous communities
• $34.1 million to the On-Farm Climate Action Fund to help farmers adopt nitrogen management practices and diversify away from Russian fertilizers
• $13 million to provide targeted inflation relief by increasing the interest-free limit for loans under the Advance Payments Program in 2023-24
• $57.5 million (and $5.6 million ongoing) to establish a foot and mouth disease vaccine bank for Canada
• Investments to renew AAFC's research facilities
• A new investment tax credit for clean technology manufacturing and expansion of the existing Clean Technology Investment Tax Credit to include geothermal energy systems

Takeaway

Budget 2023 outlines investments in disease preparedness, innovation, and clean technology that will enhance the sector's competitive edge, drive environmentally sustainable production and strengthen food systems.

What is the status of the work on the Sustainable Canadian Agricultural Partnership with the provinces and territories and how will it support producers and processors with current challenges and longer-term issues, including achieving stronger outcomes on the environment and climate change?

Value statement

The Sustainable Canadian Agricultural Partnership was launched on April 1, 2023 and will help producers and processors in all regions address challenges and seize opportunities.

• It establishes a vision for the sector to be recognized as a world leader in sustainable agriculture and agri-food production.
• Five focus areas: Climate change and environment; Building sector capacity, growth and competitiveness; Science, research and innovation; Market development and trade; Resiliency and public trust.
• Key aspects: improvements to Business risk management (BRM) programs, targets for greenhouse gas (GHG) emission reductions, increased sector competitiveness, and more participation of Indigenous peoples, women and youth.
• $3.5 billion in funding, with $500 million in new funds to include: establishment of the Resilient Agricultural Landscapes Program support ecological goods and services provided by the sector.

Takeaway

The Sustainable CAP will increase investments in the sector allowing for more significant action to reduce GHG emissions, support sector resiliency, and assist producers and processors meet the growing global demand for Canadian food.

We've heard from many stakeholders that the current suite of business risk management programs is not working. What will you do to assure Canadian farmers that BRM programs will provide support that is simple and easy to understand to meet their challenges?

Value statement

We are continually working with our FPT partners to ensure that the BRM programs provide the support producers need.

• Beginning in 2023, FPT ministers agreed to increase the AgriStability compensation rate from 70% to 80%.
• Ministers also agreed to launch a review considering the financial implications of climate change on BRM.
• Provinces committed to implement a pilot on AgriInsurance rebates for beneficial management practices.
• Starting in 2025, large farms will need to have a valid agri-environmental risk assessment to be eligible for AgriInvest payments.
• BRM programs provide approximately $1.7 billion per year, on average, in government support to producers.

Takeaway

I am committed to improving BRM programs to be more environmentally oriented, equitable, simple, and timely.

Why is the AgriInsurance estimate reduced so significantly (from $623 million in 2022–2023 to $243 million in 2023–2024)?

Value statement

The AgriInsurance Program's funding for Main Estimates 2023-24 reflects a decrease of $380 million compared to 2022-23.

• The funding for the business risk management (BRM) programs, such as AgriInsurance, has two sources: ongoing base funding and additional funding identified for each agricultural policy framework.
• The $243 million identified in the Main Estimates is the ongoing base funding for AgriInsurance.
• With the subsequent approval of the Sustainable Canadian Agricultural Partnership (Sustainable CAP), the additional funding for BRM programs will be reflected in Supplementary Estimates (A).

Takeaway

Due to the timing of Sustainable CAP's approval, only the base funding has been identified in the Main Estimates.

Additional BRM funding related to the Sustainable CAP agreement will be identified in Supplementary Estimates (A), and once known, we anticipate the funding will be greater than under CAP.

What is the objective of the AgriScience Program?

Value statement

Under Sustainable CAP, the AgriScience Program aims to accelerate the pace of innovation in the Canadian agriculture and agri-food sector.

• $325 million program providing funding for pre-commercial science and research.

Two components:

• Clusters component: brings together industry; federal and provincial governments and academia to address challenges that are national in scope through collaborative research activities.
• Projects component: supports specific shorter-term research activities to help industry overcome challenges and realize opportunities.

Three new priority areas, aligned with core elements of the Guelph Statement:

• Climate change and environment;
• Economic growth and development; and
• Sector resilience and societal challenges.

Favourable cost-share ratio of 70:30 for not-for-profit applicants focusing primarily on GHG or Carbon Sequestration.

Takeaway

Given its importance, the government supports research and innovation for the agriculture and agri-food sector.

When will you announce the details of compensation measures related to the impacts the trade agreements?

Value statement

Details of compensation measures related to the impacts of Canada—United States—Mexico Agreement (CUSMA), Comprehensive Economic and Trade Agreement (CETA) and Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) have been announced.

• Up to $3.2 billion for dairy producers
  • $250 million through Dairy Farm Investment Program
  • $2.9 billion through Dairy Direct Payment Program
• Up to $803 million for poultry and egg farmers
  • $759 million through the Poultry and Egg On-Farm Investment Program
  • $44 million through the Market Development Program for Turkey and Chicken
• Up to $497.5 million for processors
  • $100 million through the Dairy Processing Investment Fund
  • $397.5 million through the Supply Managed Processing Investment Fund
• Up to $333 million for the Dairy Innovation and Investment Fund (DIIF), a new program announced in Budget 2023 to support the dairy sector in managing and adding value to a growing surplus of solids non-fat.

Takeaway

The launch of the Dairy Innovation and Investment Fund (DIIF), expected in Fall 2023, is the last step to fulfill the Government of Canada's commitment for full and fair compensation for the impacts of recent trade agreements.

Can you share with us some of those investments in research and innovation?

Value statement

Our Government is investing in research and innovation that will help increase the competitiveness and sustainability of the agriculture and agri-food sector in Canada.

• $649 million federal-only initiatives under Sustainable CAP supports pre-commercial science activities and cutting-edge research and commercialization, adoption, and/or demonstration of innovative products
  • Additional $250 million cost-shared funding allows PTs to increase investments in key priority areas including science, research and innovation
• $185 million ACS — Living Labs program establishes Canada-wide network of living labs to accelerate development and adoption of innovative practices and technologies by Canadian farmers that sequester carbon and reduce GHG emissions
• $150 million ISED-funded Protein Industries Canada Global Innovation Cluster supports growth in Canada's plant-based proteins sector and reduces GHG emissions from agriculture and agri-food production
• $100 million federal granting councils supports post-secondary research in developing technologies and crop varieties for a successful agriculture sector in the net-zero economy and uncertain climate of the future
• $495.7 million Agricultural Clean Technology (ACT) Program supports farmers and agri-businesses through the research, development and adoption of clean agricultural technologies
• $116 million Budget 2023 Laboratory Asset Renewal helps restore AAFC research facilities to bolster science infrastructure, meet legislative and policy requirements, reduce GHG emissions, and enable delivery of foundational agricultural research

Takeaway

Our investments directly support the growth and development of a competitive, innovative, and sustainable Canadian agriculture and agri-food sector.

Can you provide an update as to the status of the fund and how the department is measuring success with how those funds have rolled out? Are there future plans to maybe continue it?

Value statement

The Local Food Infrastructure Fund (LFIF) is a $60 million initiative supporting community-based, not-for-profit organizations to reduce food insecurity.

LFIF establishes and strengthens local food systems.

• Initial intake: August 15, 2019 to November 8, 2019. 362 projects approved, with over $6.6 million in funding.
• 2nd intake: June 9, 2020 to February 12, 2021. 281 projects approved, with over $21.1 million in funding.
• 3rd intake: July 12, 2021 to September 3, 2021. 178 projects approved, with over $8.8 million in funding.
• 4th intake: June 1, 2022 to July 22, 2022. 80 projects approved, with over $19.6 million in funding.
• Budget 2023 announced an additional $10 million for fiscal year 2023-24.

Takeaway

Government is committed to ensuring vulnerable Canadians have increased access to healthy and nutritious foods within their community.

Food waste is an important problem. What are you doing to tackle it?

Value statement

The Government is playing a leadership role in making food waste reduction a priority, convening stakeholders to drive meaningful reduction throughout the food system and stimulating innovative solutions.

• In November 2020, we launched the $20-million Food Waste Reduction Challenge to spark new ideas and challenge innovators to deliver game-changing solutions that prevent or divert food waste.
• Business Models Streams include solutions ready for commercialization that prevent or divert food waste. Grand prize winners will be selected in fall 2023.
• Novel Technologies Streams include solutions at the prototyping or testing phase that extend the life of perishable food or transform food waste. Grand prize winners will be selected in Spring 2024.
• The Challenge will inform the development of a No-Waste Food Fund to help all players along the food supply chain to commercialize and adopt ways to eliminate, reduce or repurpose food waste.

Takeaway

The Government of Canada is stimulating innovative solutions to reduce food waste that can help save consumers and businesses money, reduce greenhouse gas emissions and strengthen our food systems.

The wine industry would like an update on support that was announced in Budget 2021. Can you speak about the new wine program?

Value statement

The $166-million Wine Sector Support Program will provide short-term financial support to licensed Canadian wineries as they adapt to ongoing and emerging challenges that impact the financial resilience and competitiveness of the wine industry.

• The program had one closed application period in 2022-2023. This year's application intake period opened on April 17, 2023. The program ends on March 31, 2024.
• The program will provide grants to Canadian wine licensees based on their previous years' production of bulk wine fermented in Canada from domestic and/or imported primary agricultural products.
• Individual financial support through the program will be based on each applicants' eligible wine production from the previous year, multiplied by the program's per litre payment rate for that year.
• The program began releasing 2022-23 payments in December 2022.

Takeaway

We remain committed to helping strengthen the future of the Canadian wine sector so that wineries continue to thrive domestically and in the global marketplace.

Can you speak about the Agricultural Clean Technologies program?

Value statement

Our government committed over $1.5 billion to accelerate the agricultural sector's progress on reducing greenhouse gas emissions and to remain a global leader in sustainable agriculture.

• The ACT Program is a $495.7 million program that was launched in 2021.
• Funding was originally $165.7 million for the program, but was increased by $330 million following Budget 2022.
• It supports the development and adoption of clean technology in Canada's agriculture and agri-food sector, through two streams.
  • The Research and Innovation Stream supports research, development, demonstration and commercialization of clean technologies and expansion of current technologies.
  • The Adoption Stream supports the purchase and installation of commercially available clean technologies.
• As a result of support provided through ACT, it is anticipated that greenhouse gas emissions will be reduced by up to 0.8 megaton each year.

Takeaway

The $495.7 million Agricultural Clean Technology Program will help the sector mitigate climate change impacts and support the sector's resilience.

How does AAFC support the 2 Billion Trees Program and the ornamental horticulture?

Value statement

Through the Natural Resources Canada 2 Billion Trees Program (2BT), the Government of Canada is committed to planting an additional two billion trees over the next 10 years as part of the Natural Climate Solutions Fund (NCSF) horizontal initiative.

• AAFC is an active participant in the NCSF through the Agricultural Climate Solutions Program, regularly coordinating program activities with 2BT.
• Tree planting activities, such as shelterbelt establishment, may be supported through cost-shared programs under the Sustainable Canadian Agricultural Partnership, including through the Resilient Agricultural Landscape Program. Programs are designed and delivered by provinces and territories.
• A range of AAFC programs and initiatives support the advancement of the Canadian ornamental horticulture sector, including the AgriScience Ornamental Cluster, the AgriInnovate Program, the AgriMarketing Program, the Canadian Agricultural Strategic Priorities Program, as well as via the Horticulture Sector Engagement Table.
• Additionally, the suite of business risk management programming, such as AgriInvest and AgriStability, is available to producers of ornamental horticulture.

Takeaway

AAFC programming is available to the Canadian ornamental horticulture sector. Program details are available on AAFC's website.

Why is there a record increase in the price of food, and what does the Government intend to do to ensure that food remains affordable for Canadians and that food retailers are not taking advantage of Canadians?

Value statement

The Government has minimal involvement in managing food prices and is focused on supporting Canadians as inflation continues to rise. The price of food is driven by many factors, including input costs, trade, and transportation.

• Under the Food Policy for Canada, we invested $134.4 million and announced a $10 million top-up in the 2023 Budget to strengthen food systems and improve access to food.
• We are making life more affordable with investments in child care, housing and support measures for those who need it most, including the new Grocery Rebate to provide targeted inflation relief.
• Canada needs to ensure competition in our grocery sector and the Competition Bureau is studying this issue.
• We are supporting industry to develop a Grocery Code of Conduct to strengthen supply chain relationships.

Takeaway

We are focused on ensuring a fair and competitive marketplace and are working to provide Canadians with access to food at reasonable prices.

Why has a grocery code of conduct not been implemented?

Value statement

The Government of Canada shares concerns about fair market practices, and remains committed to ensuring that Canada has the right conditions for all businesses to thrive.

• Industry leaders have developed a proposal for a Grocery Code of Conduct and a dispute resolution framework.
• Efforts to build support across the food supply chain continue and industry-led consultations will conclude in the coming weeks.
• Federal, provincial and territorial Ministers of Agriculture are closely monitoring industry progress to ensure timely implementation.
• A code of conduct created by and for industry will result in a practical and sustainable solution. It will improve transparency, predictability and fair dealing in supplier-retailer relationships, which will have positive effects across the supply chain and ultimately benefit consumers as well.

Takeaway

I continue to support the industry-led process, and encourage broad consultation followed by swift implementation to build off the significant momentum.

What is the Government doing to ensure a strong and stable food supply chain?

Value statement

Canada's supply chains have shown resiliency in the face of many challenges, including severe weather, Russia's war against Ukraine, and labour shortages. The Government is working to identify solutions, including:

• Allocating $603.2 million in Budget 2022 to help build more resilient supply chains, bringing total funding for the National Trade Corridors Fund to $4.6 billion;
• Supporting the Minister of Transport to establish a Transportation Supply Chain Office to work with industry and other orders of government to respond to disruptions and increase capacity, efficiency, and reliability of the supply chain infrastructure;
• Introducing amendments to the Canada Transportation Act for a temporary extension, on a pilot basis, of the interswitching limit in the prairie provinces to strengthen rail competition; and,
• Supporting the development of an industry-led grocery code of conduct.

Takeaway

We are committed to ensuring a strong and stable food supply chain by responding to challenges, including extreme weather events and other ongoing supply chain challenges.

What is the Government doing to address labour shortages in the sector?

Value statement

The Government recognizes how critical reliable access to labour is for the sector and the economy.

• Workforce Solutions Road Map has been extended until October 30, 2023, and is making the Temporary Foreign Workers (TFW) Program more accessible and efficient, increasing cap to 30% for low-wage TFWs in seven sectors, including food processing.
• Budget 2022 and 2023 included investments of over $204 million to enhance the TFW Program, including a Recognized Employer Model and new program for agriculture and fish processing.
• Working toward a federal housing standard.
• Working with partners on an Agricultural Labour Strategy to advance longer-term labour solutions to address chronic labour shortages.
• Changes to Express Entry and Immigration Levels Plan will expand pathways for agricultural TFWs.

Takeaway

The Government is strengthening the TFW program, while making progress on the Agricultural Labour Strategy to ensure a sustainable workforce and stable supply chain in the long-term.

What are the impacts on global food security and the agricultural sector due to Russia's war against Ukraine and why is the Government of Canada undercutting Canadian poultry producers by opening its market to the import of tariff-free poultry products from Ukraine?

Value statement

The Government remains committed to supporting global food security and supporting Ukraine during this difficult time.

• Russia's war against Ukraine resulted in increased price volatility for key commodities such as grains, oilseeds and fertilizers.
• Adjustments to the Advanced Payments Program assists producers with purchasing inputs for 2022-23.
• $52 million to respond to Ukraine's need for grain storage capacity and diagnostic testing equipment.
• Committed $320 million in humanitarian assistance.
• Participating in existing multilateral efforts to support and advance global food security, such as the G7, G20 and OECD.
• Temporarily waived tariffs on imports from Ukraine for a period of one year. In effect since June 9, 2022.
• Established regulatory processes were followed while approving Ukrainian meat inspection system.
• Committed to monitoring level of imports for supply-managed goods and working with industry stakeholders.

Takeaway

We are committed to supporting Ukraine's economic resilience, contributing to global food security and supporting the sector.

What steps is the Government taking to develop a national school food policy?

Value statement

The Government is committed to further strengthening Canada's food systems to provide social, health, environmental, and economic benefits in support of vibrant communities across Canada. This includes developing a National School Food Policy and to explore how more Canadian children can receive nutritious food at school.

• Emergency Food Security Fund has provided approximately $26.6 million in funding to support over 1,500 food projects in schools.
• Consultations on the policy have begun with provinces and territories, Indigenous partners and stakeholders. To date, over 200 stakeholders have shared their views through a series of roundtable discussions and written submissions and more than 5,200 responses were received through an online public questionnaire.

Takeaway

The Government of Canada has heard from stakeholders and partners of the many benefits school food programs can have for the health and well-being of children as they learn and grow, leading to better futures for them and Canada. The Government of Canada is committed to developing a national school food policy that will achieve these benefits and build healthier, more sustainable food systems.

What is the Government of Canada doing to ensure the agriculture and agri-food sector contributes to climate change mitigation and improves environmental sustainability?

Value statement

We are committed to supporting farmers to implement climate change solutions. More than $1.5 billion invested in climate change initiatives for the agriculture sector in 2021 to 2023:

• $495 million for the Agricultural Clean Technology program.
• $704.1 million for the On-Farm Climate Action Fund.
• $100 million to federal granting councils to support emissions reduction research.
• Sustainable Canadian Agricultural Partnership — climate and environment as key priority areas, including $250 million for Resilient Agricultural Landscapes Program.
• Canada aims to reduce GHG emissions from fertilizer by 30% below 2020 levels by 2030.
• These programs and initiatives will help bend the GHG emissions curve by 2030.
• Some proceeds from price on pollution returned to farmers in backstop jurisdictions. Estimated at $100 million in 2021-22.
• Sustainable Agriculture Strategy — long-term vision for climate and environment action.

Takeaway

Farmers are on the frontlines of climate change and we are investing to support the development and adoption of climate-smart practices and technologies that further reduce GHG emissions and protect the land, water and air that farmers depend on for the long-term sustainability and resilience of the sector.

What is the impact of pollution pricing on-farm families?

Value statement

We have committed to working with farmers to find win-win solutions for reducing GHG emissions while at the same time helping farm families and enhancing farm productivity.

• The majority of greenhouse gas emissions from agriculture are currently exempt from federal carbon pricing, but some on-farm fuel use is not.
• All farm operations in federal backstop jurisdictions will receive a portion of the proceeds from the price on pollution paid by farmers through a refundable tax credit which is estimated to be [$100] million in the first year of the tax credit, in addition to the Climate Action Incentive Payment.
• To support farmers with new technologies and farming practices we have also invested over [$1.5 billion] to reduce GHG emissions and improve farm performance.

Takeaway

We are investing in ways that support the efforts Canadian farmers and their families continue to make in the fight against climate change.

What will the Federal Government do to support producers in contributing to the national fertilizer emissions reduction target?

Value statement

Our Government is working with the agriculture sector to expand the voluntary use of on-farm practices that will reduce emissions from fertilizers while maximizing yield and profitability.

• Nitrogen fertilizers play a critical role in growing crops and contributing to food security, but they are also an important and increasing source of greenhouse gas emissions.
• Canada aims to reduce greenhouse gas (GHG) emissions from fertilizer application by 30% below 2020 levels by 2030.
• Efforts to reduce emissions are supported through investments totalling over $1.5 billion.
• Feedback from stakeholders on the challenges and opportunities ahead were published in a What We Heard Report in March 2023.
• Will continue a collaborative approach through an industry-government working group under the Sustainable Agriculture Strategy.

Takeaway

We are committed to working with all partners and stakeholders to reduce national fertilizer emissions while not compromising yields. We are using feedback from consultations and engagement and building on expert, science-based advice to develop a collaborative, voluntary approach to reducing emissions.

The sanctions and tariff imposed on Russian goods since its invasion of Ukraine have threatened Eastern Canada's fertilizer supply at a time of high global prices. What is your department doing to ensure sufficient and affordable fertilizer for Canadian farmers in 2023?

Value statement

The Government of Canada continues to monitor Canada's fertilizer supply to ensure farmers have access to the fertilizer they need to continue feeding Canadians and the world during this time of global food insecurity.

• Close contact with key Eastern Canadian distributors who have been successful in securing non-Russian supplies for 2023 and a shortage is unlikely.
• To address high prices, we extended the interest-free limit of the Advanced Payments Program to $250,000 for 2022 and 2023 program years.
• Budget 2023 proposed to provide $13 million to further increase the interest-free limit from $250,000 to $350,000 in 2023.
• The program is estimated to provide up to $88.1 million in interest relief.
• Budget 2023 proposed to provide $34.1 million over three years, starting in 2023-24 to AAFC's On-Farm Climate Action Fund to support adoption of nitrogen management practices that will help optimize the use and reduce the need for fertilizer.
• It is also encouraging to see that North American fertilizer prices have declined 38% compared to average prices last year, well below their peak in 2022.

Takeaway

We continue to monitor the situation closely and will be ready to assist our farmers as needed.

What opportunities do the recently published Clean Fuel Regulations offer for the agriculture sector?

Value statement

Biofuels enable our sector to expand domestic and international markets, based on agricultural practices that are sustainable and support biodiversity.

• The Clean Fuel Regulations (CFR) will drive demand for biofuels made from agricultural products like grains and oilseeds, and wastes and residues.
• The CFR will reduce up to 26.6 million tonnes (Mt) of greenhouse gas (GHG) emissions in 2030. This includes more biofuel blending, delivering 6.7 Mt in GHG reductions, beyond existing blend mandates.
• The Land Use and Biodiversity Criteria recognizes the strong sustainability record of Canadian producers.
• The CFR is not expected to raise global biofuel or crop prices and is not expected to result in any changes to arable land use in Canada.

Takeaway

The Clean Fuel Regulations will promote the development and use of low-carbon biofuels while supporting innovation and furthering the sector's contribution to clean growth. We will continue working closely with Environment and Climate Change Canada throughout the implementation of the CFR to allow for the broad inclusion of the agriculture sector.

In August 2021, increases in maximum residue limits (LMR) were postponed, including for glyphosate. When will the Government resume MRL increases that are in line with international standards (codex)?

Value statement

Our government continues to support Canadian farmers' production of safe and nutritious food and strong science-based regulatory decisions.

• We provide ongoing support for research and innovation in sustainable production practices through the use of integrated pest management programs and precision agriculture.
• Farmers are on the front line of food security and environmental sustainability, and need access to safe and effective crop protection tools.
• Food produced by Canadian farmers is among the safest in the world thanks to innovations in agricultural technology and a strong science-based regulatory framework, such as the one provided by Health Canada's Pest Management Regulatory Agency.

Takeaway

We support Canadian farmers as they continue to produce some of the highest quality food in the world while protecting human health and the environment.

The Pest Management Regulatory Agency's (PMRA) decision on lambda-cyalothrin does not align with that of the United States Environmental Protection Agency and threatens to destabilize the North American market. Can the government accelerate its re-evaluation of Lambda-cyhalothrin?

Value statement

Our government takes a rigorous, science-based approach to the regulation of all pesticides, including lambda-cyhalothrin, to ensure that they continue to meet modern health, safety, and environmental standards.

• We recognize farmers' need for effective crop protection tools and continue to support research to identify alternatives to chemical pesticides.
• PMRA officials are prioritizing the lambda-cyhalothrin review of data recently submitted to them.
• We are working with our American counterparts to assess any negative impacts of differing MRLs for lambda-cyhalothrin when it comes to importing feed that Canadian farmers rely on.
• The Government worked with pesticide manufacturers who have assured us of the availability, for this season, of alternatives to lambda-cyhalothrin whose use is currently restricted.

Takeaway

We support Canadian farmers' need for crop protection tools as they continue to produce some of the highest quality food in the world while protecting human health and the environment.

How is the Government supporting the agricultural sector to protect and manage water resources in a sustainable manner?

Value statement

Our Government is committed to helping the agriculture sector contribute to protecting water resources and managing them in a sustainable way.

• Budget 2023 included $85.1 million over 5 years to support creation of a new Canada Water Agency, headquartered in Winnipeg, and $650 million over 10 years for a strengthened Freshwater Action Plan that will work together with provinces, territories, Indigenous communities and others to keep our fresh water safe, clean and well-managed.
• Climate change and the environment are priority areas under the Sustainable Agricultural Partnership including supporting adoption of practices that protect water resources.
• Collaborative agricultural science, research and innovation including within the Living Laboratories Initiative.

Takeaway

The Government's continued leadership on agricultural science, programming and collaboration, including through creation of a Canada Water Agency, is critical to protecting water resources and enhancing the sector's resilience to climate change.

What is the Government doing to address New Zealand's and the United States' requests related to dispute settlement on Canada's dairy tariff rate quotas (TRQs) under CPTPP and CUSMA?

Value statement

• Our government is working diligently to defend Canadian interests in the disputes with New Zealand and the U.S.
• The Minister of International Trade and I are working closely together on both the CUSMA and the CPTPP files, along with dairy industry stakeholders, provinces and territories.
• Our government strongly supports the rules-based trading system, the CPTPP, the CUSMA and the relationships we have with our partners in these agreements, including New Zealand and the United States.

Takeaway

Our government will continue to stand up for Canada's dairy industry, farmers and workers and the communities that they support and will continue to preserve, protect and defend our supply management system.

How will Canada's Indo-Pacific Strategy and the new Indo-Pacific Agriculture and Agri-Food Office benefit Canadian farmers and stakeholders?

Value statement

We are investing $31.8 million to establish Canada's first Agriculture and Agri-food Office and increase our presence in the Indo-Pacific region.

• Fastest growing economic region of the world, and Canada's second-largest regional export market, with agri-food and seafood exports valued at $21.5 billion in 2022, an increase of 9.1% since 2018.
• Strengthen partnerships — engaging the region's stakeholders and decision makers, and advancing technical collaboration and sharing expertise.
• New opportunities to diversify exports for Canadian producers, processors and exporters and grow Canada's market share.
• Position Canada as a preferred supplier and partner in key emerging markets.

Takeaway

Expanding our presence in the Indo-Pacific will help Canadian farmers, food processors and exporters diversify their exports and maximize their opportunities.

Is the Government of Canada concerned about the United States' proposed rule on voluntary "Product of USA" / "Made in the USA" labelling?

Value statement

The Government remains concerned about any measures that may cause disruptions to the integrated North American meat and livestock supply chains, including changes to voluntary "Product of USA" / "Made in the USA" labelling regulations.

• Reviewing the recently proposed amendments to change "Product of USA" labelling regulations for meat, poultry and egg products.
• Aware could have adverse effect on the integrated and mutually beneficial Canada—U.S. meat and livestock supply chains.
• Working with stakeholders, U.S. allies, and international partners to oppose regulations.
• Participating in the U.S. rulemaking process to advocate against changes that would restrict trade or disrupt supply chains.
• Firmly oppose any U.S. proposition to renew a mandatory country of origin labelling system.
• WTO allowed Canada to take retaliation measures against the U.S.

Takeaway

The Government is working to defend the continued integration of Canada—U.S. meat and livestock sectors, so both Canada and U.S. can continue to benefit from efficient, stable and competitive markets.

What is the status of the Government's commitment to review the Canada Grain Act?

Value statement

The Canada Grain Act is the legislative framework for Canada's grain quality assurance system and it provides many important safeguards for grain producers. It is critical that the Act is fair, balanced, and responsive to the needs of the sector while ensuring the reputation of Canada's grain and brand around the world.

• Canada Grain Act review consultations were completed in spring 2021, followed by a "What We Heard" report on August 13, 2021.
• The Government continues to consider stakeholder feedback on a wide variety of issues including enhancing producer protections, increasing the operational efficiency of the grain handling system, and closing regulatory gaps and vulnerabilities.
• The last major update of the Act was in 1971. Since then, the ways grain is bought, sold, delivered, and handled in Canada have changed significantly. The Act is now outdated and needs modernization.
• An Act update needs to align its regulatory approach with the realities of a modern grain sector, while ensuring new measures can be effectively implemented with minimal disruption to the sector.

Takeaway

The government is committed to ensuring the Canada Grain Act is aligned with today's sector.

What is the government doing to address mental health in the sector?

Value statement

Ensuring farmers and workers have access to the help they need and identifying when they need it, is of the upmost importance.

• Budget 2017 confirmed $5 billion over 10 years directly to PTs to improve mental health services.
• National survey of farmer mental health funded by AAFC found that many in the sector are struggling.
• Budget 2022 invested $140 million to support Health Canada's Wellness Together Canada portal so it can continue to provide Canadians with virtual tools and services to support their mental health and well-being.
• Supporting the Canadian Centre for Agricultural Wellbeing, including the first ever National Symposium on Agricultural Mental Health.
• Farm Credit Canada is raising awareness through its Rooted in Resilience initiative.
• Mental Health is a priority under the Sustainable Canadian Agricultural Partnership.

Takeaway

This is a difficult subject, but by supporting farmers, encouraging dialogue and ensuring those who are in need get timely help, we can improve the well-being of those working in the sector.

Stakeholders have expressed concerns about the financial health of farms. What is the current farm financial situation in Canada?

Value statement

A financially healthy agriculture sector is important for Canada's economic well-being.

• COVID-19, inflation, 2021 drought, Russia's war against Ukraine, high input costs impacted the sector in 2022.
• Sector wide net cash income forecasted to rise modestly in 2022 following strong increases in 2021 and 2022. Not all commodities or regions fared equally.
• Average net worth per farm is also forecast to have increased in 2022.
• Considerable uncertainty going into 2023 as a result of Russia's war against Ukraine, high input costs and inflationary pressures.
• At this point we still expect the large 2022 grain crop and relatively strong commodity prices globally will support overall profitability in 2023.

Takeaway

While as a whole the sector enters 2023 in good financial health, not all commodities or regions are faring equally well. For those producers that face disruptions, the Government will continue to support them through the Business Risk Management programs.

What is the progress on the Government's commitment to ban the live export of horses for slaughter?

Value statement

The Government of Canada takes the issue of animal welfare seriously and is conscious of the need for the humane treatment and handling of animals throughout all life stages.

• We hear the concerns of Canadians regarding the export of live horses for slaughter.
• Exploring the legal and policy framework to implement the Government's commitment.
• Consulted with Stakeholders sharing different viewpoints, and continuing to do so (industry, provinces, and animal rights advocacy groups).
• Performing our due diligence to minimize unintended consequences related to any changes in policies or regulations.
• In the meantime, the Canadian Food Inspection Agency continues to enforce the Health of Animals Act and Regulations and to verify that the horses are fit to travel and will be transported humanely.

Takeaway

The Government of Canada is actively working to address this commitment, while ensuring its due diligence.

What is the government doing to stop chicken coming into Canada and being fraudulently declared as spent fowl in order to bypass import controls?

Value statement

Our government is taking steps to address concerns of import predictability and effective border controls for supply-managed commodities.

• Working across government to ensure control measures in place remain effective.
• $127,000 in Administrative Monetary Penalties was assessed during the last round of priority compliance verifications led by CBSA. A second round is ongoing.
• Spent fowl imports are at their lowest level in 10 years.
• Traceability and certification requirements have been reinforced by the CFIA since the coming into force of the Safe Food for Canadians Regulations.
• The CFIA is using all existing tools at its disposal and is continuing to explore additional compliance options and mechanisms. This includes working with USDA counterparts.

Takeaway

The government maintains robust compliance verifications of supply- managed goods in Canada.

What is the Canadian Food Inspection Agency (CFIA) doing to protect animals and the food chain from imported biosolids?

Value statement

Biosolids result from the treatment of municipal sewage in wastewater treatment facilities. When treated and applied appropriately, biosolids can be a beneficial source of nutrients (fertilizer) in agriculture. Biosolids can however contain residues of chemicals commonly used in households or in industrial operations including PFAS (perfluoroalkyl and polyfluoroalkyl substances ("forever chemicals").

• The Canadian Food Inspection Agency (CFIA) is currently looking at options to protect Canadian agricultural land from biosolids that have high PFAS content.
• The CFIA regulates fertilizers imported into and sold in Canada to ensure that they are safe.
• When treated and applied appropriately, biosolids can:
  • be a beneficial source of nutrients (fertilizer) in agriculture
  • divert organic waste from landfills
  • reduce greenhouse gas emissions from farm operations
• The Government of Quebec published proposed regulations to ban the use of imported biosolids on its agricultural land.

Takeaway

The CFIA is working with Environment and Climate Change Canada, Health Canada and provincial governments to assess the risks and develop a coordinated approach to protect the safety of Canadian agriculture and human health.

What is the Government doing to address the threat that the global spread of African Swine Fever poses to the swine industry?

Value statement

The Government is working with provinces and industry to take every necessary precaution to prevent the introduction of African Swine Fever (ASF) and to be ready should an outbreak occur. The Government is currently working on:

• Strong import controls.
• Encouraging industry to enhance their biosecurity measures to mitigate the spread.
• Planning, preparing and testing responses with industry and stakeholders, including provincial governments.
• Improving rapid ASF detection through surveillance.
• Negotiating the recognition of zoning approaches with trading partners.
• Planning for surplus hog management resulting from trade disruptions.
• Developing communication plans to address prevention, preparedness, and response and recovery actions.
• Investing $45.3 million, including up to:
  • $23.4 million through the African Swine Fever Industry Preparedness Program (ASFIPP) to support the pork industry's prevention and mitigation; and
  • $19.8 million for prevention, and emergency response planning, enhancing laboratory capacity, establishing zoning arrangements, and contributing to international efforts to develop an ASF vaccine.

Takeaway

ASF prevention and preparedness is a priority of the Government of Canada.

What is the Government of Canada doing to keep pace with technology and improve transparency in plant breeding?

Value statement

To address the advent of gene editing technology, the CFIA has updated guidance to strengthen transparency and clarify which plants require approval from the CFIA before being released into the environment.

• Canada's science-based approach provides choice to farmers.
• Editing allows for precise changes to the DNA sequence. It can help plant breeders combine useful traits more easily without introducing anything new into the plant.
• The Government has updated guidance to keep pace with technology and improve transparency.
• Updated guidance will help developers know when to apply for an assessment of a novel product.
• To support farmer and consumer choice, the Government is has worked with a wide range of industry stakeholders to improve transparency for edited seeds.

Takeaway

Improved guidance and transparency will support the agri-food sector in having access to the latest technologies while upholding Canada's standards for safety and quality.

What is the Government of Canada doing to ensure the long-term sustainability of the Canada organic regime?

Value statement

Canada maintains rigorous organic production systems to:

• enable organic farmers to promote and adopt climate-smart practices, data collection and reporting to further Canada's commitment to sustainability
• protect consumers and producers against fraud / unsubstantiated product claims
• ensure that all stages of production and processing comply with the organic standards
• harmonize Canadian provisions with international systems through equivalency arrangements to facilitate access to high-value export markets

Takeaway

The Government of Canada is actively exploring options to ensure the long-term sustainability of mechanisms essential to maintaining the Canada organic regime. Some of this work is being done in collaboration with national organic industry organizations.

What is the Government of Canada doing about the recent cases of avian influenza in Canada?

Value statement

Our government is working to help stop the spread of highly pathogenic avian influenza while minimizing the impact of these outbreaks on Canadians. This Government's actions include:

• Reminding poultry owners to protect their flocks by practising strict biosecurity measures and reporting any signs of illness.
• Quarantining implicated premises and imposing movemement control in the control zones to help prevent further disease spread.
• Actively engaging with industry, federal departments, the provinces, territories, and Indigenous partners on response and recovery actions.
• Working with affected producers to provide timely compensation.
• Offering poultry producers additional help to manage risks to their farms through the Business Risk Management programs, including AgriStability.
• Negotiating with key trading partners to accept control zones and help minimize trade disruptions
• Imposing strict requirements on the import of animals and animal products from countries where avian influenza is known to exist.

Takeaway

• Highly pathogenic avian influenza occurs globally. Our government is working with our key trading partners and stakeholders to help eliminate the disease, prevent further spread, minimize the impact on trade, and compensate affected producers.
• Total number of birds affected as of May 3 is 7,547,000.
• Estimated operational expenses for the Agency (as of March 2nd): $63.1 million
• Compensation paid to date: $105.1 million

What are you doing to support PEI potato growers impacted by trade disruptions due to potato wart?

Value statement

The Government continues to work with PEI potato growers to mitigate the risk of spread of potato wart and help maintain current market access to the U.S.

• Following the detections of potato wart in October of 2021, a Ministerial Order was put in place to mitigate the risk of spread.
• The Government announced up to $28 million in funding for the diversion and destruction of surplus potatoes to support PEI potato producers.
• In Budget 2022, the Government announced an additional $28 million to assist in stabilizing the potato sector and accelerate the completion of ongoing potato wart investigations.
• Following the November 2021 closure of the U.S. border to PEI fresh potatoes, on April 1, 2022, imports of PEI table stock and processing potatoes were allowed into the U.S.
• Seed potatoes from PEI cannot be exported to the U.S. at this time and no timeline for resumption of trade has been offered.
• On October 14, 2022, the U.S. published its pathway risk assessment suggesting the need for enhanced surveillance and monitoring for potato wart in PEI.
• Since October 2021, over 35,000 samples have been analyzed.
• Additional sample collection will resume in spring 2023 as a result of the detection of potato wart in December 2022.

Takeaway

The Government will continue to engage with the U.S. and Canadian stakeholders to increase their confidence in our control measures and minimize potential impacts to trade. The Government will also continue to work with growers to support the long-term sustainability of potato production in PEI.

What is the Government doing to address the threat that Foot and Mouth Disease poses to the bovine and swine industry?

Value statement

The Government is working with federal, provincial, territorial, and industry representatives to help prevent the introduction of Foot and Mouth Disease (FMD) and to ensure we are ready should an outbreak occur

• Maintaining strong import controls.
• Enhancing biosecurity measures to mitigate the spread.
• Collaborating as a member of the North American Foot and Mouth Disease Vaccine Bank.
• Budget 2023 announced $57.5 million over 5 years (2023-24 to 2027-28) and $5.6 million ongoing to establish a Canadian Foot and mouth disease Vaccine Bank that will seek to secure sufficient doses of FMD vaccine.
• Planning, preparing, and updating protocols for deploying the vaccine from the North American Vaccine Bank and a Canadian Vaccine Bank in a disease outbreak scenario with members of Animal Health Canada's working group.
• Planning for surplus cattle and hog management resulting from trade disruptions.
• Developing communication plans to address prevention, detection, response, and recovery actions.

Takeaway

FMD prevention and preparedness is a priority of the Government of Canada.

In light of recent concerns about the declared origin on wine labels from wines produced in the West Bank and sold in Canada, what is the Government doing regarding the origin labelling of food products from contested territories?

Value statement

All food sold in Canada must be properly labelled, including in a way that is not false or misleading. This includes any indication of origin.

• It is the responsibility of regulated parties, including those who import food, to comply with food labelling requirements.
• The requirement for a country of origin indication on a food label does not apply to products that originate from a non-recognized country.
• However, if industry provides an indication of origin on a label, the information must not be false or misleading.
• The Canadian Food Inspection Agency (CFIA) provides general information and guidance to industry to promote statutory and regulatory compliance with food labelling.

Takeaway

The CFIA is working with federal partners on a consultation approach and plans to engage stakeholders in a consultation process in the next year.

What is the Government doing in the face of concerns from industry around the new humane transportation regulations?

Value statement

The Government is committed to the humane treatment of animals in Canada and takes the issue of animal welfare very seriously.

By way of example:

• Updated animal transport regulations came into force in February 2020. These updates were the result of 10 years of consultations with farm groups, industry, other stakeholders and the Canadian public.
• Animal transport research continues in Canada, and the CFIA reviews all relevant animal welfare research and considers it when making regulations.
• The CFIA takes enforcement action as required, and exercises discretion especially during emergencies, such as flooding and unforeseen circumstances as long the regulated parties make decisions that are in the best interest of their safety and animal welfare.

Takeaway

The CFIA continues to verify compliance with animal transport regulations.

What is the Government doing to assist businesses who trade interprovincially?

Value statement

In 2021, the federal, provincial and territory agriculture ministers agreed to pursue interprovincial trade solutions and develop pilot projects to enhance domestic trade.

• In order to prepare meat for interprovincial or international trade, a federal licence is required under the Safe Food for Canadians Act.
• The Government of Canada is working with provinces and territories to explore possible opportunities to address their concerns related to interprovincial trade.
• For cities like Lloydminster that are split by provincial boundaries, doing local commerce can necessitate meeting federal interprovincial trade requirements.
• Addressing this challenge requires regulatory change.
• The CFIA has published a notice of intent to amend the Safe Food for Canadians Regulations to address the interprovincial context of the city of Lloydminster.

Takeaway

The CFIA is exploring opportunities with provinces and territories to examine how the flexible, outcome-based nature of the Safe Food for Canadians Regulations can enhance interprovincial trade.

What is the Government doing to harmonize Canada's bovine spongiform encephalopathy (BSE) Specified Risk Material (SRM) list with the US?

Value statement

Since the World Organisation for Animal Health (WOAH) improved the risk categorization for bovine spongiform encephalopathy (BSE) from "controlled" to "negligible" in May 2021, there has been growing interest by the cattle industry in harmonizing Canada's BSE Feed Specified Risk Material (SRM) list with the United States.

• An analysis is underway to determine if changes to the BSE Feed controls would pose risks to human and animal health or to Canada's negligible BSE risk status.
• Based on Canada's negligible BSE risk status, some trading partners (Singapore, Qatar, Brazil, Bahamas, Guatemala) have removed remaining BSE restrictions on Canadian beef.
• Trade in beef and beef products with China and South Korea remain disrupted.
• Canada will continue to inform trading partners of its improved WOAH negligible risk status for BSE and work on expanding market access for Canadian beef and beef products globally.

Takeaway

Canada is recognized by WOAH as a country with negligible risk for BSE.

Canada continues to maintain its safeguards in order to prevent the introduction and recycling of cattle tissues capable of transmitting BSE.

What measures has the CFIA instituted to ensure the consistent application of regulations in meat processing and slaughter facilities?

Value statement

The Canadian Food Inspection Agency (CFIA) is responsible for verifying that federally-regulated establishments comply with Canada's stringent Safe Food for Canadians Act and Regulations.

• Meat slaughter and processing operations require effective preventive controls and inspection oversight.
• The CFIA ensures that inspectors have the training, supervision, support and guidance they need to verify compliance with regulations in a fair and consistent manner across all of Canada.
• When non-compliance is detected, the CFIA inspectors apply appropriate enforcement actions.
• The Inspector General's Office assesses the delivery of inspection activities for consistency and adherence with requirements.
• The CFIA is engaged with industry stakeholders to help businesses better understand the regulations and associated requirements.

Takeaway

In its role as a federal regulator, the CFIA works to enable consistent national application of its regulations and enforcement procedures. This supports the effective delivery of the Agency's mandate, and adherence to international obligations and expectations of standard-setting bodies.

Why is the Government of Canada undercutting Canadian poultry producers by opening its market to the import of tariff-free poultry products from Ukraine?

Value statement

A remission order has been in effect since June 9, 2022, to temporarily provide relief of customs duties tariffs on imports from Ukraine. The remission of duties applies for one year, set to end on June 9, 2023.

• All CFIA established processes were followed while approving the Ukrainian meat inspection system and the official sanitary certificate for imports into Canada.
• We continue to monitor the level of imports, including the over-access supply-managed goods tariff lines.
• As of May 9, 2023, Ukraine has sent pre-export notifications for a total volume of 816,465 kg of poultry, which should have limited impact on Canada's supply management system.
• CFIA inspects imported shipments to verify that products meet Canadian standards and requirements and the agency takes action to address any non-compliances.

Takeaway

The Government stands with Ukraine as it fights to maintain its sovereignty, territorial integrity, and independence.

What is the Government doing to address concerns from industry and the public regarding the importation of dogs into Canada?

Value statement

The Canadian Food Inspection Agency (CFIA) is responsible for regulating the importation of animals into Canada to prevent the introduction and spread of certain regulated diseases that have the potential to harm animal and human health.

• As of September 28, 2022, the CFIA implemented a new measure aimed at prohibiting the entry into Canada of all commercial dogs from countries at high-risk for dog rabies.
• The CFIA is exploring options for imposing additional conditions on the entry into Canada of personal pet dogs and assistance dogs from countries at high-risk for dog rabies across Africa, the Americas and Caribbean, Asia and the Middle East and Eastern Europe.
• In May 2021, changes were made to conditions for the import of commercial dogs under eight (8) months of age (for breeding, show/exhibition (permanent stay) and resale/adoption) to ensure dogs, and the kennel they originate from, meet minimum health standard.
• The Government will continue to take enforcement action against importers of dogs that are not compliant with Canada's requirements.

Takeaway

The Government of Canada is committed to preventing the introduction and spread of diseases that could negatively impact the health of animals and humans.

What is the Government doing to address Chronic wasting disease in Canada?

Value statement

The Government of Canada is working to protect animal health and control the spread of chronic wasting disease (CWD) in Canada while minimizing potential human exposure.

• In Canada, CWD is a reportable disease under the Health of Animals Act, and all cases must be reported to the Canadian Food Inspection Agency (CFIA). The CFIA responds to all cases of confirmed chronic wasting disease in farmed cervids.
• Canadian federal control programs are available to deer and elk producers who take precautions to prevent chronic wasting disease from entering their farms.
• While there is no direct evidence to date to suggest that CWD may be transmitted to humans, Health Canada recommends taking a precautionary approach. Any known infected animals are prevented from entering the food chain.
• In collaboration with provincial and territorial partners, the Government of Canada continues to raise awareness about chronic wasting disease.

Takeaway

The Government of Canada is working with provinces, territories and industry to control the spread of chronic wasting disease and to minimize human exposure.

What is the Government's approach to Private Member's Bill (PMB) C-275?

Value statement

PMB C-275 seeks to amend the Health of Animals Act to prohibit entry, without lawful authority or excuse, into a building or other enclosed place where animals are kept, knowing or being reckless that the entry could expose the animals to a disease or toxic substance that could affect or contaminate them.

• PMB C-275 adds new offence provisions of imprisonment (up to two years for individuals) and/or monetary fines (up to $250K for individuals, up to $500K for corporations).
• It does not create new enforcement authorities for the CFIA. CFIA inspectors do not have authority to intervene in trespassing incidents.
• PMB C-275 poses legal risks. It raises constitutional issues around the federal agricultural power, and may be seen as encroaching on provincial and jurisdiction over property and civil rights.
• There is existing provincial and federal legislation to deal with such incidents, including the Criminal Code.
• The Government supports the spirit and intent of PMB C-275 but notes the legal risks.
• That is why the Government's position is to support PMB C-275 with amendments that would narrow the focus to on-farm biosecurity.

Takeaway

PMB C-275 responds to accounts of activists trespassing farms raising concerns for farmers and health of their animals. The Government looks forward to meaningful discussions on PMB C-275 and to focusing it on supporting on-farm biosecurity.

Will you support Bill C-234, and provide an exemption for propane and natural gas on-farm use from the Greenhouse Gas Pollution Pricing Act?

Value statement

Our pollution pricing policy is designed to grow a clean economy while limiting impacts on the agriculture sector.

• Carbon pollution pricing is an important tool in transitioning to a cleaner economy.
• Majority of agricultural emissions are already exempt from carbon pollution pricing.
• A portion of the proceeds from the price on pollution is directly returned to farmers in backstop jurisdictions– approximately $100 million in the first year.
• An additional $330 million for the Agricultural Clean Technology program to help farmers adopt clean technology, which will reduce the on-farm use of fuels such as natural gas and propane.
• Continue to assess the impacts of the carbon pricing system and exemptions on the agriculture sector, and will seek to balance the benefits of a price signal with the economic realities of producers.

Takeaway

Putting a price on carbon pollution plays a critical role in reducing Canada's GHG emissions. The current system recognizes the unique challenges faced by the agriculture sector. We will continue to work with producers to identify options for reducing emissions while supporting broader economic objectives.

Will the Government Support Private member's Bill C-282?

Value statement

Private member's Bill C-282 proposes to amend the Department of Foreign Affairs, Trade and Development Act to prohibit the Government's ability to concede market access for supply-managed goods in future trade agreements.

• The Prime Minister and I have been clear, Canada will not provide any additional market access for supply-managed goods in future trade agreements.
• The Government of Canada will continue to pursue an ambitious trade agenda and, at the same time, will continue to preserve, protect and defend our supply management system.
• Canada is a trading nation and it is important to find the right balance in Canada's free trade negotiations.

Takeaway

The Government will not concede additional market access in our supply-managed sectors in future trade agreements.

Will the government support Private Member's Bill C-280 to amend the Bankruptcy and Insolvency Act (BIA) and the Companies' Creditors Arrangement Act (CCAA) to provide financial protection for fruit and vegetable farmers?

Value statement

Even before Private Member's Bill C-280 was introduced, the Government has recognized the difficulty of non-payment for produce farmers, and to help the sector, offers a super-priority under the Bankruptcy and Insolvency Act and a single dispute resolution body under the Safe Food for Canadians Regulations. We continue to engage with industry to support the resolution of disputes.

• Fruit and Vegetable Dispute Resolution Corporation ensures adherence
• Continued Perishable Agricultural Commodities Act access in the United States
• Private trade credit insurance offer additional protection options
• Ongoing dialogue with the Fruit and Vegetable Growers of Canada/ Canadian Produce Marketing Association

Takeaway

The Government views Private Member's Bill C-280 as an opportunity to debate the issue of non-payment due to bankruptcy and to examine potential solutions for fresh produce growers.

What is the Government doing to support farmers and ranchers in the transition to a green economy in the Prairies?

Value statement

Our government is committed to supporting Prairie farmers and ranchers in the transition to a green economy by:

• Working with provinces and territories to prioritize the environment and long-term vitality of the sector through the Sustainable Canadian Agricultural Partnership.
• Investing over $1.5 billion in the agriculture sector to accelerate the transition to a low carbon economy.
  • $185 million ACS-Living Labs
  • $670 million ($200 million ACS-OFCAF + $470 million ERP)
  • $495.7 million ACT
  • $150 million RALP (Fed portion)
• Developing a sector-specific labour strategy, including elements focused on skills, training, education, and attracting talent.
• Enhancing opportunities for agricultural products to be transformed into clean, renewable fuels, to add value, reduce waste and contribute to climate change objectives, both in the agriculture and other economic sectors.

Takeaway

Our Government is investing in programs and initiatives that will increase the environmental sustainability of the sector and ensure the long-term vitality of the Prairies.

What is the Government of Canada doing to protect Canadian farmers' interests in Mexico where authorities appear to be making policy decisions that are not based on science and that have the potential to disrupt trade in the North American market?

Value statement

Canada is disappointed with Mexico's recent (February 2023) Presidential Decree which is not scientifically supported and has the potential to unnecessarily disrupt trade in the North American market.

• On March 31st, Canada participated in CUSMA technical consultations.
• The technical consultations provided useful information on Mexico's objectives, on the framework to assess biotechnology product applications and on next steps for the implementation of the measures.

Takeaway

Canada stands by its farmers and the importance of ensuring the sector's competitiveness abroad.

Canada is currently taking stock of the information received during technical consultations.

What is the Government doing to support the growth of the plant protein sector?

Value statement

The Government of Canada is committed to supporting growth and development of the plant-based proteins industry in Canada.

• Through Budgets 2017, 2021 and 2023 the federal government is investing up to $353 million for the creation and activities of Protein Industries Canada (PIC), Canada's plant-based protein Global Innovation Cluster.
• The Pan-Canadian AI Strategy provided $30 million to PIC to drive efficiency and sustainability through AI in plant-based food, feed and ingredients.
• These investments have so far co-funded 52 projects with industry valued at $478M, involved 430 organizations, created 633 products, services/processes and 230 pieces of intellectual property.
• Some examples of these new products include Liven Foods making plant-based fish fillets and other seafood products and Wamame Foods making a high-end plant-based alternative to wagyu beef.
• These projects are driving improvements in crop breeding, sustainable crop technologies, value-added ingredient processing and the creation of consumption ready products.

Takeaway

This commitment from the Government of Canada is transforming the plant-based protein market in Canada and driving sustainable food production for the future.

How will the Government support Quebec pork producers following the planned Olymel plant closure in Vallée-Jonction?

Value statement

The Government of Canada recognizes the important contribution the Quebec pork sector makes to our economy and the difficult context of recent years for pork producers.

• Canada's pork sector depends heavily on export markets, in a global context that is experiencing important shifts.
• I will continue to engage with my Quebec counterpart and sector representatives to monitor the situation.
• I recognize there are complex business decisions and regional operating contexts to consider, and will review the committee's recommendations in detail.
• In the meantime, AAFC will continue to support producers through its existing suite of Business Risk Management programs, designed to protect against income losses.

Takeaway

I understand the concern around this matter. We are thoroughly analyzing the issue and maintaining contact with provincial and industry partners.