The Agricultural Producers Association of Saskatchewan (APAS) says the federal carbon tax is hurting the province’s farmers.
APAS has released updated estimates on the financial impacts of the federal carbon tax. On average, the organization expects farmers to lose eight per cent of total net income this year.
“Federal Minister of Agriculture Marie-Claude Bibeau has asked the agriculture industry for evidence of what the carbon tax is costing Canadian farmers,” said APAS President Todd Lewis in a press release. “We’ve responded with estimates that are backed up by producer bills in 2019.”
APAS’ costing review considers all major farm expenses not currently exempt from the carbon tax. This includes grain drying, rail transportation, heating and electricity, and truck hauling.
According a press release, this equates to an $8,000 to $10,000 bill for households managing a 5,000-acre grain farm. As the carbon tax increases to $50/tonne in 2022, farmers can expect to pay between $13,000 and $17,000.
APAS is advocating for a carbon tax exemption on all farm expenses, including those from 2019.
“Our hope is that this is the evidence the Minister is looking for,” said Lewis, “and that the Federal Government will step in to help farmers.”
