GRAIN GROWERS OF CANADA | |
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A YEAR IN THE LIFE OF THE GRAIN GROWERS OF CANADA |
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| by Cam Dahl, Executive Director Grain Growers of Canada | Les Producers De Grains
Du Canada |
The Grain Growers of Canada (GGC) has
just completed its Annual General Meeting (AGM) in Ottawa. The meetings saw
a change in the Executive of the GGC. Jim Smolik, a farmer from Dawson Creek,
British Columbia has been elected President. Jim replaces Ken Bee, who has
served as President of the GGC for the past two years. William Van Tassel,
from the Federation des Producteurs de Cultures Commerciales du Quebec, and
Ross Ravelli, from the Canadian Canola Growers Association have been re-elected
as our Vice-Presidents. The GGC extends appreciation to Mr. Bee who has served
with distinction as President. Mr. Bee's dedication and service has significantly
advanced the interests of Canada's grains and oilseed farmers. On a personal
note, I also want to thank Ken. It has been a pleasure working with him and
I know that he very much deserves the respect he is given by politicians,
government officials, and members of our industry. With the completion of
another year, I believe it is appropriate to review what has been accomplished
in the last year.
GGC Principles
This past summer the GGC engaged Strive in a strategic planning session. This work re-affirmed and expanded our principles. As
these are the foundation of all of the policies and positions adopted by the GGC, it is worthwhile beginning a review of the past
year by outlining them for you.
Our principles are:
Farm Income/Safety Nets
Key concerns with the Business Risk Management pillar of the Agricultural Policy Framework (APF) were brought forward in numerous submissions to government, meetings with Ministers and Members of Parliament, appearances before House of Commons Standing Committees and in meetings with government officials. As you are all well aware, the current programs do not mitigate the impact of foreign interference in world markets. This interference is evident to farmers every time they are paid world prices, for their grains and oilseeds. The gap between support in Canada and the distorting subsides paid out by our competitors is evidenced by numbers published by the OECD: o European wheat farmers' subsidies were 46% of their income o U.S. wheat farmers' subsidies were 30% of their income o Canadian wheat farmers received 18% income support. Furthermore the U.S. Institute for Agriculture and Trade Policy recently found that in 2002: o U.S. wheat was exported at an average price of 43% below cost of production, o U.S. soybeans were exported at an average price of 25% below cost of production, and o U.S. corn was exported at an average price of 13% below the cost of production. The GGC has a standing proposal for a Trade Injury Compensation Program (TICP) that will correct this overriding deficiency in the current safety net regime. We will continue to push for the necessary changes and this issue will continue to be a priority for us in the coming year. For example, we have undertaken to review and update the TICP program. This will be accompanied in the first part of 2005. We know that low prices, caused in large part by foreign interference in world markets, continue to hit farmers. This is why the need to reform our safety net programs will continue to be a focus of the GGC.
International Trade
It is in the best interests of Canadian farm families that the world comes to an agreement that would liberalize agriculture trade. The elimination of trade distorting subsidies provided by our competitors would introduce $1.3 billion back into the pockets of Canadian grains and oilseed farmers, while the removal of market access barriers would add $1.2 billion onto the bottom line for wheat, barley, corn, and oilseed farmers. Reductions in tariffs and subsidies that are restricting access to foreign markets would promote the expansion of the Canadian agri-food processing industry and create Canadian jobs, especially jobs in rural Canada. These trade issues have also been key areas of focus for the GGC during the last year. The GGC has represented grains and oilseed farmers' interests at the meeting of World Trade Organization (WTO) ministers. We have forwarded our view to Ministers, officials, and Members of Parliament through written submissions and face-to-face meetings. The ongoing WTO negotiations will continue to be a significant policy area as we move forward in 2005. We will continue to build upon coalitions with like-minded farm groups and industry associations that promote, in a positive manner, the benefits grains and oilseed farmers will receive from significant liberalization. We will also undertake to examine other options that may be available to pursue a level and fair trading environment.
Other Policy Initiatives
Space does not allow me to review all the details of the GGC's initiatives over the past year. However, it is important to briefly give you an overview of our activities. For example, we continue to promote Canada's science-based regulatory system, both here at home, as well as on the international stage. The GGC continues to push for reforms to Canada's grain marketing system that will allow grains and oilseed farmers in all regions of Canada to be given a flexible system, which allows them to take advantage of marketing opportunities such as local farmer-owned, value added processing plants and niche markets. We will also carry on with our efforts to promote the need for Canada to expand opportunities in our bio-products industries. One of our most significant successes in the past year was the development of the Canada/U.S. Summit Group that is facilitating the development of common policies on both sides of the Canada/U.S. border. Co-operation with our American colleagues will increase the efficacy of farm policy in both countries. We will continue to build this relationship. I believe we have had a very successful year. I also believe that without an organization like the GGC, grains and oilseed farmers would have a much lower chance of influencing national government policies. We need your ongoing involvement and support. With your help we can build upon our past successes and meet our future goals.