Budget Bulletin: Funds Advanced for Drought Relief
Nova Scotia farmers will receive additional drought relief this year. A total of $10 million in funding was announced today as part of the 1999-2000 provincial budget.
Finance Minister Neil LeBlanc said the disastrous effects of a third consecutive year of dry weather has made the shift in funding critical.
"Already some funding had been allocated for farmers needing weather relief assistance this year," said Mr. LeBlanc. "But after even more severe conditions, for the third consecutive season, we feel it is absolutely essential to reallocate the funding to relieve the burden on farmers now."
The funds are budgeted from the province's $20-million five-year Weather-Related Relief Program, which began April 1, 1999. Approximately $4 million had been allocated under the program for the 1999-2000 budget year. The additional $6 million has been advanced from program funds reserved for subsequent years as a result of the devastating impact this past summer's dry weather has had on the province's agriculture industry.
"Farmers in Nova Scotia need this additional money now or there will be far-reaching repercussions for the entire agricultural industry, and ultimately for Nova Scotia," Agriculture and Marketing Minister Ernest Fage said. "We know that when industries like agriculture thrive, Nova Scotia as a whole thrives. This advancement of funds will help ensure that an industry that has been a strong contributor to the economy will be in a position to make an even stronger contribution in the future."
Agriculture in Nova Scotia contributes $1 billion a year to the provincial economy and supports 16,000 jobs across the province. In recent years, the industry has been dealing with the challenges of low rainfalls and high temperatures in some areas, notably the Annapolis Valley, where a great deal of the Nova Scotia's agricultural production is located.
Projected total losses for primary agriculture, through reduced crop yields and livestock feed shortages, have been placed as high as $50 million to $60 million for this growing season. The horticultural sector, including apples, berries, vegetables and nursery stock, project a loss of nearly $10 million. For field crops like corn and grains, the estimate is even higher, at close to $25 million.
The Weather-Related Relief Program was designed to offset losses incurred during the 1997 and 1998 growing season and provide ongoing support to the industry as it faced additional weather-related challenges into the new millennium. The advanced funds will be used to assist in the severe losses incurred during the 1999 growing season. Administered by the Nova Scotia Farm Loan Board, the program provides farmers with assistance based on their individual needs.