The provincial government has declared an additional $10 million of funding to support livestock producers as they navigate market disruptions caused by COVID-19.
The additional funding includes $5 million to cover costs for Saskatchewan to participate in the national AgriRecovery program, a set-aside framework offered through a provincial and national partnership designed to help producers financially while they hold onto slaughter-ready cattle.
With this additional funding, Saskatchewan will fund the 40 per cent provincial contribution to take part in the AgriRecovery framework, while the federal government will provide the remaining 60 per cent contribution.
Saskatchewan farmers will be able to access a total of $12.5 million from the set-aside program. The program will be delivered by the Saskatchewan Crop Insurance Corporation.
An estimated 3,500 head of market-ready cattle would normally be headed from Saskatchewan to processing facilities in Alberta, but the pandemic has caused a number of closures that have greatly reduced that number. Recently, a weekly total of less than 400 head of cattle have been processed in Alberta facilities.
“Our livestock sector is facing tremendous challenges, with producers facing higher costs to feed animals that cannot move along the supply chain as they normally would,” said agriculture minister David Marit, in a press release.
The remaining $5 million in new funding will be provided to offset higher premium costs under the Western Livestock Price Insurance Program, making livestock price insurance more easily attainable to producers.
WLPIP premiums saw an increase at the end of February, due to the pandemic, and the provincial government will now be providing 40 per cent of the increased premium costs dating back to Feb. 25.
“Today’s funding to offset increased livestock price insurance premium costs will help ensure our risk management programs meet the needs of Saskatchewan producers,” Marit said. “The Government of Saskatchewan is taking steps to ensure livestock producers have the support they require during this unprecedented period.”
The deadline to apply for calf price insurance from the WLPIP has also been extended to June 18.
Premium adjustments will remain in place until Sept. 1, when the provincial government will review and assess the industry’s needs.
The Saskatchewan Government continues to work alongside the federal government, other western provinces, and the livestock industry to provide help to producers.
