2008 Programs Helping Producers Even More
Allison Jones &
Cathy Darling, Communication Specialists, Agricorp
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Important
Deadlines Important
Deadlines |
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Farmers
across Ontario are gearing up for another busy planting season, co-ordinating
field activities and trying to get as much accomplished in as little time
as possible. Despite their best efforts and planning, the business of
farming is unpredictable at best and time is limited. An effective risk
management strategy protects the time that the farmer has invested. Agricorp’s
suite of business risk management programs is designed to provide peace
of mind and help Ontario’s producers proactively manage risk and
focus on the crucial details of farming. Agricorp delivers Production Insurance (PI) and AgriStability on behalf of both the federal and provincial governments, while the Risk Management Program (RMP) is delivered on behalf of the Government of Ontario. By participating in all three programs, producers can take full advantage of the protection available from government risk management programs. New information on all of these programs is set to hit producer mailboxes in March so Ontario’s producers can select the coverage that best suits their unique business needs. This year, Agricorp is combining PI and RMP for RMP participants into one envelope. Improved
Production Insurance Coverage for 2008 |
Other highlights
include:
• A new coverage level of 85 percent for White Beans and Spring Grain
• Separate insurance plans now available for each of soft white, soft red,
and hard red winter wheat
• New PI plans for organic winter wheat and organic winter spelt
If you have planted
winter wheat, organic winter wheat, or organic winter spelt that is not currently
covered by Production Insurance, you can still apply for coverage without winterkill
by calling Agricorp in the spring before May 1, 2008. An Agricorp adjuster
will inspect the crop to determine if it qualifies for Production Insurance.
Unseeded Acreage
Benefit (USAB)
Producers who insure all of their springseeded grain and oilseed crops under
Production Insurance qualify for the Unseeded Acreage Benefit (USAB). USAB provides
compensation if an insured peril other than drought prevents a large number
of growers in one area from planting or seeding all or part of their acreage.
Producers should call Agricorp by May 1, 2008 to make sure they have this free
coverage.
2008 Risk Management
Program Renewals
The Risk Management Program (RMP) is a three-year price support program designed
to help Ontario grain and oilseed producers offset losses caused by low commodity
prices. RMP renewal packages are being sent to 2007 RMP participants in March
along with their PI renewals.
What’s
new for 2008:
• Producers can choose one of four coverage levels by crop (100, 95, 90
and 85 percent of the cost of production)
• Producers
who were enrolled in RMP in 2007 will be automatically renewed at the 100 percent
coverage level and maximum premium rate
• Producers are required to pay a premium for 2008, which corresponds to
their chosen coverage level
• Participants can leave RMP but will not be eligible to participate in
2009 if they do
Producers who
did not participate in 2007 may still enrol for 2008. Since 2007 RMP participants
will be rolled over at the 100% coverage level, they should assess whether this
coverage level best suits their individual business needs for the 2008 crop
year. Participants have the flexibility to lower their RMP coverage level. The
deadline to enrol or choose a different coverage level is May 1, 2008.
With predictions of a strong market for the 2008 crop year, producers themselves
need to decide whether to participate in RMP, based on the individual needs
of their operations. Producers may want to lower their
RMP coverage level instead of leaving the program completely. This will ensure
their eligibility for RMP for the 2009 crop year.
To be eligible
for RMP, producers must also participate in Production Insurance and AgriStability.
Agricorp Now
Delivers AgriStability
Starting with the 2007 program year, the coverage previously provided by the
Canadian Agricultural Income Stabilization (CAIS) program is now available through
two programs: AgriStability and AgriInvest. Agricorp delivers
AgriStability, which provides coverage when your production margin drops to
less than 85 percent of your reference margin. Agriculture and Agri-Food Canada
delivers AgriInvest, which replaces the previous CAIS coverage for margin declines
of 15 percent or less.
To be eligible
for 2008 AgriStability, producers must:
• Pay their 2008 AgriStability fee
• Submit their 2008 AgriStability information to Agricorp by June 30, 2009
(Agricorp will mail personalized 2008 AgriStability forms in early 2009)
• Submit their 2008 T1163 (individuals) to the Canada Revenue Agency (CRA)
by June 15, 2009, or their 2008 Statement A (corporations) to Agricorp by
xJune
30, 2009
