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Story Posted: April 11, 2011 How the Federal Government Can Support the Canola Industry The importance of Canola in Canada: Canola adds more than $14 billion annually to Canada's economy. Canola creates over 216,000 jobs in western and eastern Canada in production, transportation, crushing, refining and food development, manufacturing and service. Canola is the No. 1 source of crop receipts in Canada. In 2010, canola put $5.598 billion in 43,000 farmers' wallets. 1. Continue to invest in public research: Canola's success is built on innovation. The federal government needs to continue to invest in public research and to maintain and build a close partnership with private sector and university research. 2. Support a made-in-Canada biodiesel industry: The newly announced 2 per cent renewable biodiesel fuel mandate is a win-win initiative. It will reduce greenhouse gas emissions and broaden markets for Canadian canola growers. The 2 percent mandate needs to continue through the Gazette process and be finalized on schedule for July 1, 2011 implementation. The next important step is for government to support new canola biodiesel production to help create a Canadian industry, and to ensure that these jobs remain in Canada. 3. Invest in marketing the Canadian agriculture brand internationally: Agriculture and Agri-Food Canada's Agri-Marketing Program has a track record of success in promoting canola in major markets. This industry-government cost shared program should continue. 4. Promote more open markets through trade agreements: More than 80 percent of Canadian canola is exported, so the Canola Council of Canada supports the government's active and ambitious trade negotiation agenda. Free trade discussions, especially with the European community, South Korea and the World Trade Organization are important to industry growth and economic development. 5. Resolve chronic rail service problems: The federal government needs to put a high priority on resolving rail service issues that plague farmers and the entire industry. The solutions need to be implemented swiftly and in a way that creates positive impacts for shippers, farmers and Canadian agriculture. 6. Maintain Canada's seed development and biotechnology regulatory system based on principles of sound science. Innovation is critical to canola. We need a regulatory system which promotes research investment. 7. Business Risk Management Programs must be responsive and trade neutral. A national farm income strategy should afford farmers risk management tools that are transparent, market responsive, bankable and that cover the real risks that farmers face. With a heavy reliance on exports markets, all BRM programs must be trade neutral.
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