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RURAL ECONOMIC GROWTH OPPORTUNITIES

Released on March 27, 2002

Agricultural initiatives in the 2002/03 budget are aimed at providing

opportunity for economic growth, diversification and jobs in rural

Saskatchewan.



In addition to exempting the fuel tax on ethanol which will stimulate both

agriculture and the economy, the province has added $14 million into the

Crop Insurance Program to maintain our status quo cost share, provided $3.9

million for farmers participating in the Conservation Cover Program, and

$4.35 million for the Farm Family Opportunities initiative.



"The continued commitment in the 2002/03 budget to one of our most

important industrys demonstrates our belief in the future of agriculture

and food," Deputy Premier and Agriculture and Food Minister Clay Serby

said. "The Action Committee on the Rural Economy has told us this industry

has the most potential for economic growth and job creation in rural

Saskatchewan. This budget demonstrates the continuing commitment of this

government to that goal."



The Conservation Cover Program was very successful in 2001 with the acres

seeded to forage being almost double the original forecast. In 2002,

payments will be up to $15 per acre on a maximum of 50 acres - with the

payment made in stages - $7.50 per acre initially and up to $7.50 per acre

as a final payment once the level of participation in the program is known.



The Family Farm Opportunities Initiative will provide help to farm families

to access training as well as make changes on their farm. The program will

have three components:



farm family support of $500,000 for farm families to diversify

their farm, prepare for off-farm employment and to develop new on-

farm businesses;



$1.85 million to help pay for training in agricultural business

management, off-farm employment and non-farm business

opportunities; and



diversification assistance of $2 million to help farm families

access capital.



The program will be targeted at farm families with incomes below $30,000

(all sources) and a net worth of less than $400,000. The maximum support

per family will be $7,500. Details on how farm families can apply will be

available shortly.



The upcoming final report of the Action Committee on the Rural Economy will

present further opportunities for diversification and job creation in rural

Saskatchewan.



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For more information, contact:



Scott Brown

Agriculture and Rural Revitalization

Regina

Phone: (306) 787-4031

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