Released on February 9, 1999
Premier Roy Romanow made the following statement at a news conferencetoday:
I'm here today to make an important announcement, to state a serious
problem, and to issue a challenge.
First, the announcement.
The Government of Saskatchewan decided today to fully contribute to
the federal government's farm aid program.
Saskatchewan will make a full 40 per cent contribution to the federal
farm program.
It's impossible to be certain what this commitment will cost the
taxpayers of Saskatchewan.
As best as we can estimate it today, we are looking at a provincial
contribution in the range of $140 million.
Second, the problem.
We have been forced into a measure that is fundamentally unfair to our
taxpayers.
We have over 40 per cent of the farmland. Three per cent of the
taxpayers. And we are being forced to pay 40 per cent of a program
designed to address international trade distortions caused by the
United States of America and the European Union.
We are doing this because it is clear we have to, in order to ensure
our farm producers get the full benefit of the federal program.
In consequence, Saskatchewan taxpayers will be contributing over
four times more per capita than federal taxpayers, to deal with
an international issue.
The federal government, in effect, is making the victims pay
disproportionately for their own disaster relief.
We're going to do our best to manage this matter within our
budget.
It won't be easy.
Third, a challenge.
We've now done what Ottawa has demanded of us.
The ball is now in the court of the federal government.
I challenge Ottawa to now BEGIN to live up to its
responsibilities to rural Saskatchewan.
As a start, that federal farm aid program had better be good. The federal government is fully responsible for deciding the details of the program, and for administering it. We expect the federal farm income program to properly respond to the challenges facing our producers.
It's time for the federal government to begin to fix the damage it has done to our rural rail system.
It's time for the federal government to begin to fix the consequent damage it has done to our rural road system.
It's time for the federal government to address the issue of spiralling farm input costs.
And it's time for the federal government to live up to its responsibility to speak for Canada in the international trade war depressing prices something it has manifestly failed to do.
At the end of the day, the federal government must convince the
United States and Europe to reduce their agricultural subsidies,
or the federal government must match them without financing
them on the backs of the very people harmed by this situation.
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Honourable Eric Upshall
Minister of Agriculture and Food
Statement regarding Federal Farm Aid Program
February 9, 1999
Farmers continue to face problems from low commodity prices. Those farmers who faced production problems or grew those commodities that had the largest price declines face an even more difficult situation.
Our announcement will ensure Saskatchewan farmers can access the federal disaster program.
We know the federal program has a number of gaps. Many farmers have already told me it will not meet their needs. But it is the only disaster program the federal government is offering Canadian farmers.
I expect the federal government will announce program details by the end of the month. The federal government will be administering the program.
The 60:40 cost-sharing remains a major issue for Saskatchewan.
Our commitment of $140 million to the federal program is significantly more on a per capita basis than any other government in Canada. Our annual commitment is $70 per capita compared
to the federal $15.
Ontario which has committed $40 million annually is contributing $4 per capita. This means that Ontario taxpayers contribute $19 per capita for the disaster program in Ontario ($15 federal and
$4 Ontario). Saskatchewan taxpayers contribute $85 per capita ($15 federal and $70 Saskatchewan). This is not a fair deal!
We also provide more agricultural programming, outside of the disaster program, than any other government over four times the federal government and nearly five times the average of all the
provinces on a per capita basis.
The Government of Saskatchewan has a commitment to agriculture because it is our most important industry.
We have said we will stand behind our agricultural producers in Saskatchewan. That is what today's announcement does.
We are putting the federal government on notice that we demand an injection of fairness on cost-sharing and the other important agricultural policy issues. We will continue to push the federal
government to implement fair policies, that work for farmers in all areas including trade and transportation.
I will ensure I will be there to fight for fairness for Saskatchewan agriculture and Saskatchewan taxpayers 40 per cent of whom are the same people.