Thank you, Mr. Chair and members of the committee.
My name is Jeff Harrison. I farm in Quinte West, Ontario, and I serve as chair of the Grain Farmers of Ontario, representing Ontario's 28,000 corn, oat, soybean, barley and wheat farmers.
Today I want to talk about a simple reality. Canada cannot have food security if farmers cannot afford to farm. Grain farmers are doing everything they can to keep producing crops for food, feed and other products, but many of the challenges faced today cannot be solved at the farm gate. They will require government action.
Risk is not new to farmers. Weather and markets pose a significant enough challenge, but the rising costs for equipment, fuel, fertilizer and other farm inputs are on an upward trajectory that is not sustainable. Today the farm input price index sits at record levels. Meanwhile, the prices that farmers receive for their crops have not kept pace with the cost of producing them.
Fertilizer is a perfect example. Without fertilizer, production is threatened. It is not optional for the vast majority of farmers, and it is the food that crops need to grow. Retail fertilizer prices remain high, and farmers remain deeply concerned about both affordability and reliable access to supply as we prepare for 2027.
Supply at all cost is not a solution for our farmers, farmers who are expected to be globally competitive. Farmers in Ontario, Quebec and Atlantic Canada depend on imported fertilizer sourced from regions around the world. When supply chains are disrupted, these farmers feel the impact almost immediately.
Four years ago, Canada imposed tariffs and sanctions on fertilizer imported from Russia and Belarus, two countries that had historically supplied significant portions of the fertilizer used by farmers in eastern Canada. The cost of that decision was passed directly on to farmers, and it does not take much of an understanding of economics to know that these tariffs are negatively impacting our farmers.
The Canadian government has created exemptions for other products. My question is simply this: Why can't exemptions be made for a product such as fertilizer, a product that helps feed Canadians and supports our food system? Removing tariffs on fertilizer imports from Russia and Belarus would be a practical, immediate step that could help reduce costs and improve supply security for Canadian farmers.
Fertilizer is only one challenge. Business risk management programs are supposed to protect farmers from the things we cannot control: droughts, floods, trade disruptions, geopolitical instability and market shocks. That is exactly what these were designed to do.
Canada has invested in business risk management programs, but for grain farmers, AgriStability simply does not work well enough when we need it most. When crop prices fall below the cost of production, farmers need meaningful protection. Unfortunately, AgriStability fails to provide the support required to bridge that gap.
Grain farmers in eastern Canada have spent years telling governments this. We have participated in reviews, provided recommendations, built coalitions and commissioned research because we knew there would eventually be a tipping point. That tipping point has arrived.
At the same time, our competitors in the United States benefit from responsive risk management programs and billions of dollars in supplemental support payments. They have also taken steps to secure fertilizer supplies and protect farm profitability during periods of market disruption. As a result, American farmers are often better positioned to withstand the same challenges Canadian farmers face.
For Ontario grain farmers, the most effective long-term solution is clear. The federal government should partner with Ontario in supporting the Ontario risk management program. This program is straightforward. It calculates the cost of the production of crops, compares that cost to market returns and provides support when prices fall below the cost of production.
The Ontario government has made significant investments in this program. It helps farmers manage risk when margins are squeezed by high input costs and low commodity prices. Most importantly, it gives farmers confidence that they can continue producing food, doing what they do best for Canadians. If farmers cannot manage risk, they cannot continue farming. When farmers disappear, the consequences extend far beyond agriculture. When that happens, Canada loses food-producing capacity.
Business risk management programs are not simply farm programs. They are food security programs. A country that cannot support its farmers cannot guarantee its food security.
The issue of food affordability, food sovereignty or food independence—whatever term you want to use—is a very complex situation. Farmers are not the cause of this situation we find ourselves in as a nation, but they are an integral part of the solution. This will need to be a Canadian commitment—