Government Introduces Marketing Freedom for Grain Farmers Act
October 20, 2011

Ottawa, Ontario, October 20, 2011 – “Finally, Western Canadian wheat and barley farmers will have the same freedom to market their grain as Eastern Canadian farmers have enjoyed for years,” said Leon Benoit, Member of Parliament for Vegreville-Wainwright. “I am looking forward to seeing the true economic potential of the prairie grain sector unleashed by The Marketing Freedom for Grain Farmers Act, which was tabled this week by Agriculture Minister Gerry Ritz”.

Benoit explained that an open grain market will attract investment, encourage innovation, create value-added jobs, and build a stronger economy for all Canadians. “Our Government is delivering on our long-standing promise to give Western Canadian grain farmers marketing freedom, just as they have when selling their canola or pulses,” he stated.

“The CWB monopoly was imposed on Western Canadian farmers by Parliament in 1943 when Canada was committed to supplying inexpensive wheat to Britain during World War II,” outlined Benoit.  “The problem is, it was never removed!  Bill C-18 will finally do that and give marketing choice to all Canadian farmers.”

Farmers will have the choice of whether to sell on an open market or through a voluntary CWB. The legislation will allow an interim Board to act as a voluntary marketing entity, supported by the federal Government while it transitions to full private ownership. The Bill will also immediately allow farmers and companies to forward contract for the delivery of grain after August 1, 2012.

Additionally, as part of our ongoing commitment to farmers and the importance of the Port of Churchill as a shipping option, the Government committed to:

  • provide an economic incentive of up to $5 million per year for five years to support shipments of grain, including oilseeds, pulses and special crops, through the Port of Churchill;
  • provide support through funding of up to $4.1 million over three years to maintain the Port during the transition period;
  • extend the port infrastructure project presently funded through an agreement with the Churchill Gateway Development Corporation to 2015; and
  • in consultation with all stakeholders, explore options for the future of Churchill and the Port of Churchill.

“As always, the economy is the top priority of our Government,” said Benoit. “Our comprehensive plan will provide farmers with the marketing freedom they want, entrepreneurs with the opportunity they deserve, and support for the Port of Churchill as it continues to play an important role for farmers and for the North. We will work with Western Canadian grain farmers, their organizations and provincial partners in order to ensure an orderly transition to market freedom which includes a viable, voluntary pooling entity, as part of an open and competitive Canadian grain market.

Additional information can be found at www.agr.gc.ca/freedom.