Meetings on Drought Conditions Continue

Agriculture and Marketing Minister Ed Lorraine reports that deputy minister Alan Steel, department staff and the executive of the Nova Scotia Federation of Agriculture continue to meet to discuss issues and opportunities facing the agriculture industry, including current drought conditions.

"A few weeks ago, I asked a group of federation and department staff to work together to do an assessment of the current drought situation in the province," said Mr. Lorraine. "Today I received an interim report that gives a snapshot of the hurt as it stands right now. This morning, I took it to cabinet, caucus and the premier.

"We will not know the total losses due to drought until the harvest is completed in November. At that time, department and federation staff will submit a final report on what kind of shortfall there will be, which I will then take back to cabinet. I will also be travelling with the federal minister of agriculture over the next two weeks, and I certainly plan on giving him a copy of the report and discussing the seriousness of the situation."

Over the past few months, the minister has been touring the province with area MLAs to meet with producers, hear their views and discuss challenges and opportunities.

Laurence Nason, chief executive officer of the Nova Scotia Federation of Agriculture and a member of the group that developed the interim report, said the department is on the right course.

"It's a first step and it defines the problem as it is right now," he said. "The hurt can't be totally defined until November. I don't know what more the minister can do right now. He can't respond in a responsible manner until the problem has been fully defined. The federation certainly plans on working closely with the department to deal with the situation."

Last year, the department and the federation worked together to develop a number of programs and services to offset the impact of last summer's dry weather, including:

• establishing a toll-free hay listing, which was re-established this year
• conducting a forage survey to assess damages in all areas of the province
• establishing a $3-million to $7-million short-term loan program for beef producers to deal with the impact of the weather-related forages
• successfully lobbying the federal government to implement Section 80.3 of the Income Tax Act allowing those livestock producers forced to reduce their breeding herds to defer part of their income
• establishing the Loss Loan Provision Program, which made available almost $4 million in interest relief to producers acquiring loans to deal with the impact of the drought (at a set maximum annual interest rate of 7.5 per cent, $4 million in interest relief represents $26.7 million in loans)

These programs and services are in addition to regular safety nets such as crop insurance and the Net Income Stabilization Account programs, and the individual advisory services provided by department agricultural representatives and specialists in such areas as farm management and production practices.

"Dealing with a drought situation is never easy," said Mr. Lorraine. "But contrary to what has been said, the department and federation worked hard for affected producers last year, and we will continue to work together on behalf of producers again this year."