In wake of dry conditions throughout the province and worries over livestock feed, the Alberta government has declared a disaster.
The Alberta Cabinet met on Thursday, August 20, and made the declaration that. “…agricultural economics losses and hardship resulting from extreme weather conditions to be a disaster, in accordance with section 7 of the Fiscal Management Act.”
Oneil Carlier, Alberta Agriculture Minister tells The Mail that the declaration will allow Alberta Financial Services Corporation (AFSC) to respond to producers’ needs.
“It’s been a tough year for farmers, with low moisture content, right from when the snow melted. So what happened is the Order in Council allowed Alberta Financial Services Corporation to access the funds they have in reserve," Carlier tells The Mail. “It helps AFSC access their funds.”
He explains that this will give AFSC the ability to respond to insurance claims.
“Thankfully the slate of the programs that AFSC has is well subscribed to, we have a bit over 80 per cent of our producers in the province subscribing to the insurance program.
Rick Strankman, MLA for Drumheller-Stettler and agriculture critic is wary of declaring a blanket disaster when not all producers are facing extreme hardship.
“To make a government policy that is applicable from High Level to Foremost, is onerous at best, because there is always unintended consequences when the government is involved,” he said.
Carlier says he has no concern about the province declaring a province-wide disaster.
“It’s the nature of weather patterns. Right across the province, there are some counties that are doing better. There are some farmers doing well in one spot, while down the road the other is not doing well, so it is spotty,” He said. “The declaration is for AFSC to access funds, that’s all it did, so the people that are hardest hit will be able to access their insurance policies.”
Cattle producers and lack of feed appear to be the most affected by the drought conditions. Strankman says that their pasture insurance is not well subscribed to.
“Even though hay is a major supplement for cattle, there are other options available and innovative producers can use something other than hay, and unfortunately, the pasture and hay insurance under AFSC is only received by 8-10 per cent of Alberta producers, so there needs to be some reworking of these programs,” he said.
Wider concerns about the economy could dictate what kind of help producers get.
“I am so guarded by the financial position the province is in right now, with falling oil prices etc., I don’t think there will be anything forthcoming,” said Strankman. “Agriculture is easily renewable, easily sustainable and we understand that markets fluctuate, let's continue on,” he said.
