Canadian Federal Government Taking Measures to Reduce Impact of COVID-19 on Agriculture

On April 13, the Canadian Federal Government announced the distribution of federal funds to assist farms in paying temporary workers. This monetary assistance helps compensate workers during the quarantine.

Canada, especially Western Canada, is grappling with the new reality of the COVID-19 pandemic and its impact on the 2020 growing season. Western Canada accounts for over 80% of farmable land, and the industry is heavily reliant on beef and pork exports, especially to the United States. With production and processing facilities shut down, companies are experiencing complications in distribution, which may have a significant impact on the supply chain in the upcoming months.

Labour shortages are the main issue for most farms, both in the field and in processing facilities. Many enterprises are reliant on migrant farmworkers, who travel seasonally to Canada, primarily from Mexico and Jamaica. With many farms experiencing a delay in worker arrivals and a decrease in the number of workers available, perishable crops are especially susceptible to production issues down the road.

Labour Shortages

Over 60,000 temporary, seasonal workers migrate to Canada annually for employment. Many workers are employed by the same farm year after year, receiving industry-specific training from vegetable production to winemaking. For farmers who rely on this labor, the past few weeks have been incredibly difficult. Especially when dealing with perishable crops, labor shortages can be the deciding factor in a crop’s. For one farmer, a field of asparagus is worth $40,000. But without the necessary labor to harvest, the crop will go to waste.

Labour shortages in Canadian agriculture are especially tricky because there is no natural alternative. Many farmers already express frustration with the system, since the main reason they employ temporary migrant workers is because it is nearly impossible to find Canadians who want the job. Agricultural labor can be incredibly hard work and involves significant training.

Trained employees are familiar with all aspects of the business, including the proper use of equipment, which can be a tricky skill to master. As unemployment rises in response to COVID-19 business shutdowns, it may seem like an obvious solution to employ people on farms. But most people lack the skills necessary, and farmers do not have the time or resources to train them quickly.

New Funding

As a possible solution, the Canadian Federal Government proposed new funding to assist farms struggling with income disruption as a result of the pandemic. However, the effectiveness of the bailout is debatable. Many farmers argue that it is not enough to make a difference. The money is supposed to help pay workers during the shutdown, specifically workers who have recently arrived and are in quarantine.

Because all incoming employees are subject to a two week isolation period, farms are responsible for supplying resources until work can begin. However, migrant worker activists argue that the funds may be misused, allowing farmers to collect the money without providing adequate income for workers. The distribution method may assist farms in the short term, but it is questionable as to how much it will help in the upcoming weeks.

Production Issues

It is still too early to tell the severity of the impact of COVID-19 on Canadian food production. Certain crops, like wheat and soy, are already operated in industrial systems, requiring minimal human contact. However, fruit and vegetable farmers are warning of production issues if they continue to struggle to find workers. Similarly, in the meat industry, beef processing facilities, like Cargill, may struggle to keep up with demand amidst closures.

Before the announcement of new funds for temporary workers, the Canadian Federal Government had initially temporarily banned incoming migrant workers. This decision was quickly reversed due to outcry from Canadian farmers. While the monetary assistance is significant for farm businesses in the short term, more lasting solutions to the labour shortage problem will be required. Without enough workers, Canada is subject to an incredibly volatile market, where production and distribution issues may impact food supply both domestically and internationally.

Next Steps for Canadian Agriculture

The Canadian Federal Government is taking measures to reduce the impact of COVID-19 on agriculture, primarily through the distribution of emergency funds to support farmers during the shutdown. Additional solutions, such as alternative labour resources, are also being considered. However, there has been a mixed response to these efforts.

Some farmers feel like the aid is not enough, while others think that the solutions do not apply to them. Additionally, there has been a growing concern by some activist groups concerning the rights of migrant workers. As the situation unfolds, the role of the Canadian Federal Government will be essential to limiting supply chain disruption and production issues in the next few months.

Emily Folk

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Trump Floats Massive Tariffs On John Deere If Manufacturing Shifts To Mexico

Published on September 23, 2024

Todayville

From the Daily Caller News Foundation

By Mariane Angela

Former President Donald Trump issued a warning Monday about imposing 200% tariffs on John Deere products if the company relocates its manufacturing operations to Mexico.

Trump engaged with local farmers and manufacturers during an event in Smithton, Pennsylvania, about the impact of China’s economic policies on the U.S. economy, according to the Associated Press. The former president highlighted his economic strategy against Vice President Kamala Harris by pointing out the potential benefits of tariffs and increased energy production, which he argued could help lower costs and protect local industries.

Trump highlighted John Deere’s recent decision to move some manufacturing to Mexico, and he threatened a 200% tariff on the company should it proceed with its plans under his potential administration, the AP reported.

JUST IN: Donald Trump points at the tractors behind him, tells John Deere that if they move their business to Mexico he is going to put a 200% tariff on them.

🔥🔥🔥

The comments came while Trump was speaking to farmers in Pennsylvania.

“I will tell you that I just noticed… pic.twitter.com/5wpEAuTEo4

— Collin Rugg (@CollinRugg) September 23, 2024

“I just noticed behind me John Deere tractors, I know a lot about John Deere. I love the company, but as you know, they announced a few days ago that they’re gonna move a lot of their manufacturing business to Mexico,” Trump said, according to a video posted on X. “I’m just notifying John Deere right now. If you do that, we’re putting a 200% tariff on everything that you wanna sell into the United States. So that if I win, John Deere is gonna be paying 200%.”

John Deere previously announced that it will lay off roughly 610 employees across three of its plants in Illinois and Iowa. The company announced on May 31 that it will relocate skid steer and compact track loader production from Dubuque, Iowa, to Mexico by the end of 2026 as part of a broader strategy to enhance efficiency and manage rising manufacturing costs amidst changing business conditions.

Agriculture

Farm for food not fear

Published on September 15, 2024

Todayville

From the Frontier Centre for Public Policy

By Lee Harding

Fall harvest is in the storehouse. Now, let’s put away all proposals to cap fertilizer inputs to save the earth. Canadian farmers are ensuring food security, not fueling the droughts, fires, or storms that critics unfairly attribute to them.

The Saskatoon-based Global Institute for Food Security (GIFS) did as fulsome an analysis as possible on carbon emissions in Saskatchewan, Western Canada, Canada, and international peers. Transportation, seed, fertilizer and manure, crop inputs, field activities, energy emissions, and post-harvest work were all in view.

The studies, published last year, had very reassuring results. Canadian crop production was less carbon intensive than other places, and Western Canada was a little better yet. This proved true crop by crop.

Carbon emissions per tonne of canola production were more than twice as high in France and Germany as in Canada. Australia was slightly less carbon intensive than Canada, but still trailed Western Canada.

For non-durum wheat, Canada blew Australia, France, Germany, and the U.S. away with roughly half the carbon intensity of those countries. For durum wheat, the U.S. had twice the carbon intensity of Canada, and Italy almost five times as much.

Canada was remarkably better with lentil production. Producers in Australia had 5.5 times the carbon emissions per tonne produced as Canada, while the U.S. had 8 times as much. In some parts of Canada, lentil production was a net carbon sink.

Canadian field peas have one-tenth the carbon emissions per tonne of production as is found in Germany, and one-sixth that of France or the United States.

According to GIFS, Canada succeeds by “regenerative agriculture, including minimal soil disturbance, robust crop rotation, covering the land, integrating livestock and the effective management of crop inputs.”

The implementation of zero-till farming is especially key. If the land isn’t worked up, most nutrients and gases stay in the soil–greenhouse gases included.

Western Canada has been especially keen to adopt the zero-till approach, in contrast to the United States, where only 30 percent of cropland is zero-till.

The adoption of optimal methods has already lowered Canadian carbon emissions substantially. Despite all of this, some net zero schemers aim to cut carbon emissions by fertilizer by 30 percent, just as it does in other sectors.

This target is undeserved for Canadian agriculture because the industry has already made drastic, near-maximum progress. Nitrates help crops grow, so the farmer is already vitally motivated to keep nitrates in the soil and out of the skies–alleged global warming or not. Fewer nutrients mean fewer yields and lower proteins.

The farmer’s personal and economic interests already motivate the best fertilizer use that is practically possible. Universal adoption of optimal techniques could lower emissions a bit more, but Canada is so far ahead in this game that a hard cap on fertilizer emissions could only be detrimental.

In 2021, Fertilizer Canada commissioned a study by MNP to estimate the costs of a 20 percent drop in fertilizer use to achieve a 30 percent reduction in emissions. The study suggested that by 2030, bushels of production per acre would drop significantly for canola (23.6), corn (67.9), and spring wheat (36.1). By 2030, the annual value of lost production for those crops alone would reach $10.4 billion.

If every animal and human in Canada died, leaving the country an unused wasteland, the drop in world greenhouse gas emissions would be only 1.4 percent. Any talk of reducing capping fertilizer inputs for the greater good is nonsense.

Lee Harding is a Research Fellow for the Frontier Centre for Public Policy.