REGINA - The province is providing $220 million to farmers in an effort to help them salvage what they can from one of the worst droughts in recent memory. The aid will be distributed to both livestock and crop farms.

Livestock farms in the province could see up to $70 million in aid, with $20 million in direct assistance and $50 million in drought assistance loans. Crop farmers may see their aid in the form of early crop insurance advance payment totalling $150 million province-wide.

"We have closely monitored the dry conditions facing Saskatchewan producers since last winter," Deputy Premier and Agriculture, Food and Rural Revitalization Minister Clay Serby said. "We pressed the federal government for an improved crop insurance program for 2002 that would adequately protect crop and livestock farmers from drought. Saskatchewan put more funds into the program, but we were unable to make significant improvements."

Additional funding will include

• A herd retention program where livestock farmers in designated drought areas have the option to sell their breeding stock for $12 to $25 per animal. The price will be determined by the degree of drought. Livestock includes cows, horses, sheep, and game animals
• A livestock drought loan program which offers $50 per breeding animal
• Farmers with crop insurance may be eligible for an advance payment totalling 50 per cent of their claim.
• Farmers whose crops are unlikely to make it to the fall harvest can have an appraisal done to reaffirm this. After this appraisal they will then be able to have the crop grazed or baled and have it declared as a zero yield.

"While today's announcement will put much-needed cash in farmers' pockets ­ up to $75 per animal for cattle producers in the worst hit areas ­ it also points out the urgent need for federal government support to improve crop insurance in 2003," Serby said.

The herd retention and livestock drought programs will be available starting August 6th, 2002. For more information call 1-877-874-5365. Application forms will be available on-line at www.agr.gov.sk.ca. The deadline for applications is December 31st, 2002.

Crop farmers looking for information on the Crop Insurance assistance program can contact their local customer service branch or the head office in Melville at 1-888-935-0000.

 

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