Thanks, Mr. Chairman.
I'd like to welcome everybody to this part of Grey County at the edge of Bruce County.
I'm a full-time farmer. We farm in the south end of Bruce County. We own and operate a beef grazing and finishing feedlot. We sell approximately 1,400 head of fed cattle annually. I'm a graduate of the University of Guelph, and I try to manage our business by using cost-effective programs based on strong science and strong record-keeping and management decisions.
I firmly believe there's a future in farming. The road is not a smooth one; however, with properly addressed regulations, policy, and the development of new markets, both local and globally, farming will evolve into a very dynamic industry.
Young farmers need a plan. I believe that plan includes profitability, bankable consistent programming, trade—all markets are important—a level playing field, an insurance program for cattle producers, financial programs, regulations that are harmonized with our trading partners, and a food policy.
Expanding on those a bit, profitability is mentioned. All mentioned areas are important to assist in increasing profit potential. Young farmers will invest in agriculture if the industry can supply a fair return on their investment and labour.
Programs must be bankable, reactive to market conditions and developments. The industry has made many suggestions to current APF; however, the government now wants to consult the industry. Action is needed, not more consultations.
I recommend funding the environmental farm plan at 100%. It's an excellent landowner stewardship program that supplies benefits to all of society. Countries like Switzerland pay for environmental programs, not production-based programs.
With respect to trade—local, provincial, federal, and global—all markets are important to maximize the value of agricultural products. All producers, whether supply managed or not, benefit from open markets. The dairy industry, for example, sells breeding stock genetics, which are called cows on the open market. In Bruce County we have businesses that export food grade soybeans to over 20 countries around the world. These premium crops increase the revenue to assist young producers in their income.
We need a level playing field, a national-based program. In the beef industry we currently have a mishmash. Alberta and Saskatchewan either have, or they are working toward, a price insurance program. Agriculture Canada should lead the price and base its insurance policy development analysis on the adaptation of this process. We have to hold imported products at the same standard as the domestic production.
On insurance programs for cattle producers, there have been promises to have something similar to crop insurance developed for the livestock industry since the APF started in 2003. To date, nothing substantial has happened in that area. There needs to be an effective, affordable form of price and basis insurance for cattle producers across Canada.
With respect to financial programs, there are breeder and feeder cooperatives based in Ontario. I know there are other programs across the country, in other provinces. These are excellent programs to provide options apart from the regular type of financial institutions. In 2009, over 100,000 head of cattle were purchased through those cooperatives here in Ontario. Locally--basically Grey and Bruce counties--upwards of a quarter of the members are made up of producers under the age of 35. The cash advance program is currently under a stay of default. Nothing really has changed in the last year. I'm involved in that program, and I feel it needs to be extended for another year.
On regulations, government needs to harmonize regulations with major trading partners. SRM regulation differences between Canada and the United States are well known. And then what do we do? We turn around and import U.S. meat. That comes back to that harmonization.
The high Canadian dollar and all regulatory imbalances irritate that and are very costly to producers.
As a matter of food policy, does Canada want Canadian-produced food products? If so, producers need a fair return from the marketplace. A profitable agricultural industry will attract young farmers. Retailers need to recognize provincial inspection in provinces as equal to federal inspection. This will add more Canadian local products to our store shelves.
Thank you.