The governments of Canada and Alberta, through the Canadian Agricultural Partnership, are adjusting the crop insurance program.

The low yield allowance is an integral part of the production insurance program and is intended for situations of extreme heat and severe drought. Alberta doubles the low yield threshold to allow recovery of additional grains or legumes for livestock feed. For example, the barley harvest threshold will be reduced from 150 to 300 kg per acre.

Since mid-June, there has been a significant deterioration in crops across the province. Current weather conditions are not improving and the industry expects crops to deteriorate further.

In collaboration with the federal government, Alberta is adjusting crop insurance that will allow farmers to use more poor quality crops for livestock feed, helping to alleviate food shortages for livestock. livestock during the current drought.

This adjustment encourages producers to act quickly to recover crops for livestock feed rather than having their fields deteriorate further and risk harvesting nothing. As these crops would otherwise be covered by crop insurance, there will likely be minimal additional payments resulting from this decision.

As part of the Federal-Provincial Partnership for Shared-Cost Agriculture, there are a number of business risk management programs offered by the Agriculture Financial Services Corporation (AFSC) to help Alberta producers manage the significant risks facing them. threaten the viability of their farms, including crop insurance.

The Alberta AFSC has a total of 119 active adjustment team members following the addition of 21 new members in December 2020 and April 2021. The government has advised crop adjusters to be flexible and carry out early assessments of affected crops and hay lands; for example, providing an alternative use of crops to deal with anticipated feed shortages in our livestock industry.

Last week, Alberta, along with Saskatchewan, Manitoba and Ontario, received a verbal commitment from the federal government that a joint AgriRecovery program will be launched to support drought-affected producers ahead of an election. federal. Assessments are currently underway in these provinces.

Alberta announced a 20 percent reduction in the cost of crop, pasture and forage insurance premiums earlier this year, which protects against weather-related production losses. As a result:

• Almost 400 additional farmers and herders have signed up for crop, pasture and fodder insurance.
• Almost 1,400 farmers and herders have increased their level of insurance coverage for crops, pastures and fodder.
• Nearly 230 customers have re-registered for crop, pasture and fodder insurance after canceling their subscriptions in 2020 or in previous years.

The adjustments to crop insurance are in addition to measures already taken by the Government of Alberta to ensure that farmers are supported during this difficult time. The other steps include:

• Formally request the federal government to launch an AgriRecovery assessment.
• Call on the federal government to ensure that all significantly affected municipalities are included as eligible in the designation of the federal livestock tax deferral provision. This would allow farmers who sell part of their breeding herd due to drought in a prescribed drought region to carry over part of the proceeds from the sale to the following year.
• Increase the percentage paid on interim payments under AgriStability.

Make a Complaint: It is extremely important that before customers switch a crop to another use, they speak to their AFSC branch. Priority will be given to customers who wish to use the crops for immediate grazing or to customers who wish to ensile or baling the crops.