Careful what you wish for: commodity groups ditch Sustainable Agriculture Strategy

[blackpowder]

Some of the members aren't related to productivity at all.
If we talked to the 20% of producers who were responsible for the 80% of production, or 10/90, who would be on the list and what on the agenda?
Mandates without reason. Sound familiar?
If your biases were not so severe, you would admit we are quite sustainable here already comparatively. And that economics drive us to be ever more efficient.
Hence the often made misconception that you do not actually farm yourself.

[blackpowder]

And let's not forget.
How a carbon reduction agenda at all cost was the only goal.
Tying crop Insurance payouts to this?
Just say more carbon less rain if that's what you mean.
Suggested mandates as written today, will reduce payouts?

[furrowtickler]

Payouts are high only because of decent crop prices the past 4 years since the drought conditions in 2021and the initial Russia / Ukraine conflict.
Crop production was much worse in the 2001 to 2004 crop years but crop prices were dismal and coverage levels were far lower
same as the late 80’s drought and others in the 20 year cycle
my guess is , if one follows the 20 year cycle crop insurance payouts will drop significantly in the next few years and possibly 10 years.
reminds me of the comparisons of hurricane damage in the southern US . Property values have increased 10 fold over several decades so no doubt the financial damage increases over time , not necessarily the physical damage

[Landdownunder]

Come to oz where its sink or swim no insurance here.

Doesn't it drive price of land up in marginal areas?

[Landdownunder]

Context you can farm marginal areas in Canada , knowing full well you will get a payout or is premium getting prohibitive in lower yielding areas?

[AlbertaFarmer5]

Come to oz where its sink or swim no insurance here.

Doesn't it drive price of land up in marginal areas?

I would agree that 100% of all subsidies/safety nets end up as higher land rent or purchase prices. Rip off the bandaid.

[Old Cowzilla]

Context you can farm marginal areas in Canada , knowing full well you will get a payout or is premium getting prohibitive in lower yielding areas?

Can't speak for other provinces but in Manitoba continued crop failures will reduce coverage and increase premiums. Just like any other ins. Also reduced coverage to new customers at first to control change of company names after a few bad years. Funny thing our worst years for claims have been wet years not drought like you would think it would be. Improved farming practices have been game changers.

[sumdumguy]

Farm groups ditch sustainable agriculture ? They will ditch anything Trudope. Good Job! Out mit the shcrap!!!!

[shtferbrains]

The did get the 30% nitrogen reduction gone

[ajl]

Context you can farm marginal areas in Canada , knowing full well you will get a payout or is premium getting prohibitive in lower yielding areas?

I do farm marginal land and claims reduce your coverage. Had small claims during 2017 through 2020 on at least one crop during that period and quite a large one in 2021 due to drought. Good crops in 2022 and 23 started to rebuild coverage. 24 was mediocre with everything coming in at 10% over guarantee so no payout. Given that 24 yields were slightly less than long term average, it will slightly depress coverage in future years again. This is in Alberta.

[chuckChuck]

I don't think taxpayers want to be subsidizing safety nets for the Monettes or any other very large scale corporate farm that is using foreign investors to drive up the price of land that drives smaller farms out of business.

You gotta laugh at the farmers who complain about safety net programs and then deny the ever increasing cost of climate change and severe weather events.

They will accept increasing payments in subsidized programs but continue to deny that climate change is a threat? Go figure!



"The financial numbers, however, illustrate why governments are stepping up to lead the sustainability discussion. Production volatility is becoming more expensive for taxpayers as well as farmers.

Federal government payments devoted to stabilizing the sector — which totalled $6.5 billion in 2023 — have more than doubled in the past five years and tripled over the past decade. An increasing proportion of that spending is going to crop insurance payments to compensate farmers for weather-related production shortfalls caused by drought, excess moisture or killing frost.

Between 2019 and 2023, crop insurance payouts have averaged 56 per cent of total direct federal payments. In the five years previous, that average was 44 per cent. In the five years before that, they averaged 34 per cent. At this pace, it won’t be long before propping up the status quo consumes the entire agriculture budget. That’s unsustainable."

[Hamloc]

I don't think taxpayers want to be subsidizing safety nets for the Monettes or any other very large scale corporate farm that is using foreign investors to drive up the price of land that drives smaller farms out of business.

You gotta laugh at the farmers who complain about safety net programs and then deny the ever increasing cost of climate change and severe weather events.

They will accept increasing payments in subsidized programs but continue to deny that climate change is a threat? Go figure!



"The financial numbers, however, illustrate why governments are stepping up to lead the sustainability discussion. Production volatility is becoming more expensive for taxpayers as well as farmers.

Federal government payments devoted to stabilizing the sector — which totalled $6.5 billion in 2023 — have more than doubled in the past five years and tripled over the past decade. An increasing proportion of that spending is going to crop insurance payments to compensate farmers for weather-related production shortfalls caused by drought, excess moisture or killing frost.

Between 2019 and 2023, crop insurance payouts have averaged 56 per cent of total direct federal payments. In the five years previous, that average was 44 per cent. In the five years before that, they averaged 34 per cent. At this pace, it won’t be long before propping up the status quo consumes the entire agriculture budget. That’s unsustainable."

As Furrow pointed out higher commodity prices in 2022-2024 have increased crop insurance payouts.
As far as the continually fluctuating weather goes the most practical thing I can do as a farmer is do my best to conserve moisture, continue to manage spending on inputs as carefully as possible and only go in debt for appreciable assets.

What I don’t get Chuck2 is what your point is!? Are you attempting to say that a federal government that spends roughly $500 billion a year can’t continue to help pay $3-4 billion towards crop insurance? Food producers aren’t worth 1% of federal expenditures? Please clarify?!