(Alice McFarlane/farmnewsNOW Staff)

By Alice McFarlane

Canadian canola

Farmers wait for advance payment program

May 24, 2019 | 12:31 PM

It appears the Chinese market may be closed to Canadian canola for some time yet.

The Canola Council of Canada held a webinar this morning to update producers and industry on the trade situation with China.

Federal Agriculture Minister Marie-Claude Bibeau talked about her brief meeting with Chinese Agriculture Minister Han Changfu and how she is concerned China hasn’t provided any evidence to back its claims that Canadian canola exports were contaminated.

Bibeau said she is aware the United States government announced subsidies for American growers to the tune of $15 billion. Producers questioned Bibeau if the Canadian government would provide additional support if the trade dispute carries on for an extended period of time.

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“We think working in a way that we can give you stability and predictability is a much higher value,” Bibeau said. “We are afraid this could create distortion in the market and we believe it’s more important to work together.”

A number of producers focused on the changes to the Advance Payment Program (APP) where available credit will be expanded to $1 million and up to $500,000 interest-free for canola production. They wanted to know when they will be able to apply for APP.

Bibeau couldn’t give a definitive timeline as the regulations haven’t been completed.

“You can imagine that we have to go through some administrative process to get it done so we are moving as fast as we can in terms of regulation,” Bibeau said. “We have to sign agreements with your 36 administrators but I can tell you we are moving on fast forward. We want it done as quickly as possible.”

The Canadian Canola Growers Association (CCGA) administers APP.

CEO Rick White said CCGA is prepared for the moment when the government gives them the go ahead.

“It’s still a question mark. It’s going to take more time. We’re ready on our end. We are challenging the government to speed it up on their end knowing there’s a lot of process they have to go through, but at the same time very much understand the urgency,” White said. “We’ve expressed that urgency to get this done and getting it running and available to farmers. We understand how much pressure is on people out there and the government is well aware of that through our direct correspondence with them so we are pushing as hard as we can and we’re ready to go on our end.”

Chinese regulators said Canadian canola shipments were contaminated with five different weed seeds and two plant diseases, one being blackleg. China then suspended the licences of Richardson International and Viterra, Canada’s two biggest canola seed exporters.

The Canadian Food Inspection Agency has challenged those claims saying it does not match up with the samples taken in Canada.

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alice.mcfarlane@jpbg.ca

On Twitter: @AliceMcF