OFA Commentary 4109
Time to create the future
By Bette Jean Crews, President,
Ontario Federation of Agriculture
October 9, 2009 - Much of the world is reporting signs of a recovery from the economic slump that did so much damage to many sectors within Canada. One of the consequences of that slump was the need for government to inject stimulus money into the hardest hit sectors. This has left the Ontario government facing a deficit, and we’re expecting Finance Minister Duncan to tell us Ontario’s deficit will be 20 billion dollars when he presents his economic update on October 22.
Moving the province into deficit required a certain amount of courage by the provincial government to help turn things around. We applaud this courage and strongly recommend that bold and decisive action remain the policy choice of our government when it comes to agriculture.
In the past, agriculture has seen governments attack deficits through farm program cuts. The Ontario Federation of Agriculture will be first in line to advise the Ontario Government that cuts to investments in agriculture would be the wrong strategy to follow at this time. In keeping with the stimulus concept, now is the time to reinvest in agriculture.
Ontario farmers, in a number of sectors, are seeing their returns dwindle to near fatal lows. Pork, for instance, is an industry on the brink. Our government needs to look at investments it can make to sustain a viable pork sector in Ontario. The horticulture sector also needs government investment to strengthen the industry, to help stabilize returns from the impacts of a huge and sudden rise in input costs.
Veal and other cattle producers have been waiting a long time for bankable programs that will contribute to stability. They are still weak from the BSE attack earlier this decade, and reeling from currency fluctuations. Now, strong sector support in other provinces is further undercutting the Ontario market.
Likewise, our pork producers face serious challenges wrought by unfair competition and demand flattened by the H1N1 virus. The industry has recognized and is responding to these challenges but complete solutions will need a solid industry-government partnership.
Our government needs to invest in agriculture. It is proven to be a wise investment. Research suggests that the multiplier factor for dollars invested in agriculture is five at the top end. When we consider the related jobs in such areas as food processing, grocery stores, restaurants, and transportation, it becomes easy to understand how agriculture is so critical to a healthy economy.
Minister Duncan should consider the essential role agriculture plays in keeping the rural economy strong.
Without a healthy agriculture sector, the province would lose the driving force that makes Ontario a strong and attractive place to live and work.
We also know the contributions a healthy agriculture sector provides to our environment. The sector is just beginning to realize its potential for contributing to Ontario’s energy supply – and importantly the green energy supply. Agriculture helps improve air and water quality, and farmers are the best stewards of the land.
By investing more in Ontario agriculture, Minister Duncan can do much for the economic and environmental health of the province.
OFA believes agriculture is at a crossroad in this province. It can live and flourish with the proper nurturing through strategic government investment, or it can wither and die with neglect. It is a choice that needs to be made – soon!
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www.ofa.on.ca 
