REGINA, Sask-NFU members and officials met today with Saskatchewan Minister of Agriculture Eric Upshall. The NFU outlined a plan to provide financial assistance to farmers in southeast Saskatchewan and southwest Manitoba with flooded, unseedable land. An estimated 1.5 million acres in Saskatchewan, and an equal area in Manitoba, will not be seeded this year due to high rainfall and flooding.

"Farmers who can't seed a crop this year won't be farming next year unless the government provides immediate, adequate support. Both levels of government need to provide support to these farmers who, through no fault of their own, face serious problems," said NFU Saskatchewan Coordinator Stewart Wells.

The NFU plan is simple. It uses the existing Crop Insurance system-production shortfalls are best dealt with by Crop Insurance. It is an option for all farmers and is capped to ensure fairness. The NFU plan calls for:

1. A permanent Crop Insurance enhancement up to $75/acre on unseeded land. It would pay nothing if the farmer was able to seed at least 75% of average seeded acres; $25 per unseeded acre if the farmer was able to seed 50% - 75%; $50 per unseeded acre if the farmer was able to seed 25% - 50%; and $75 per unseeded acre if the farmer was able to seed less than 25% of his or her average acreage.
   
2. Farmers not currently enrolled in Crop Insurance would be allowed to "opt in" and receive full benefits.
   
3. The cost of the enhancement would be shared equally by the provincial and federal governments and farmers. Farmers would be subject to a surcharge similar to hail insurance.
   
4. Farmers would commit to participate in Crop Insurance for at least five years. This ensures that farmers who receive benefits contribute to the program.
   
5. Payments would be capped at 1,000 to 1,500 acres per farm.

The NFU plan would cost each government $10-$20 million. During the droughts of the late 1980s, federal and provincial governments paid out nearly $600 million through Crop Insurance. Wells also pointed out that through cuts to the Crow Benefit and other programs, the federal government has cut its agricultural spending by $4 billion since 1992. "In light of that $4 billion cut and with the future of hundreds of farm families hanging in the balance, $10-$20 million is not an unreasonable investment," said Wells.

Wells concluded: "Partly because of government actions and inactions, grain prices have been extremely low for the last 15 years and net farm incomes are at depression-era levels. There simply have not been the good years necessary to carry farmers through the bad ones."

For More Information:

• Stewart Wells, Sask. Coord.: (306) 773-6852
  
• Fred Tait, Vice-President: (204) 252-2773
  
• Darrin Qualman, Exec. Sec.: (306) 652-9465