Digitized by the Internet Archive in 2012 with funding from Agriculture and Agri-Food Canada - Agriculture et Agroalimentaire Canada http://www.archive.org/details/agricultureagrif03cana FOOD AGRICULTURE AND MOVING A G R I Strong Foundation Building a for Rural Canada i*i Agriculture Canadian Agriculture Library Canada BibliothequecanadiennedeI'agriculture Ottawa K1A 0C5 cJ n SFP 1997 c.3 1*1 mac la The Government is committed to the economic renewal of rural Canada. The Government will address the problems facing rural Canadians in a way that is tailored to their needs. Speech from the Throne, February 1996 Strong rural communities are essential for the social and economic health of Canada. Rural communities with robust economies provide a solid foundation for a vibrant trading nation. The federal government is focussing on the economic renewal of rural Canada through a variety of initiatives. The Minister of Agriculture and Agri-Food (AAFC) has been designated as the lead Cabinet Minister in the promotion and facilitation of rural economic renewal and has been working closely with his colleagues to coordinate efforts across the federal government in order to better serve rural Canadians. Through its Rural Secretariat, AAFC is a federal focal point on rural Canada. The secretariat performs an important role, bringing together federal government departments, regional agencies and rural stakeholders to raise the profile of rural issues, increase understanding and sensitivity to the challenges faced by rural Canadians, and promote rural economic opportunities. Rural Canada is much more than the agriculture and agri-food sector, but our farm and food industries are pivotal in forging a vigorous rural economy AAFC's branches and agencies deliver a broad range of programs and services that, together, will position Canada's agri-food sector as a national and international leader. Generating more investment, innovation, and value-added production will lead to more trade and more jobs for rural Canadians, and greater opportunities within their own communities. Enhancing Access to Capital The Farm Credit Corporation is one of to ventures such as on-farm processing, the federal government's vehicles for bed and breakfasts, aquaculture and In the bid to strengthen and renew investing in rural enterprises. The Farm forestry projects. The 1997 federal bud- our rural communities, healthy busi- Credit Corporation Act was changed in get provided the corporation with a nesses are key. The proportion of rural 1993, allowing the federal farm lender further $50 million in equity to help Canadians employed in small businesses to better serve rural communities by meet the demand for existing financial is almost double the proportion of broadening its client base and increas- products, as well as develop new ones. urban employees working in small firms. ing the range of activities eligible for Small businesses are responsible for loans. Now, FCC can lend to part-time Partnerships with Rural significant job creation in Canada. farmers, finance value-added agri- Communities cultural ventures, and accept other forms The federal government is making more of security in addition to land, allowing Through partnerships with rural com- investment capital available to rural it to finance equipment purchases. munities, Agriculture and Agri-Food businesses through regional develop- Meanwhile, AAFC continues to investi- Canada is facilitating the growth and ment agencies that strike partnerships gate and consider new equity instru- revitalization of rural Canada. with the private sector to leverage loan ments that might be developed to aug- capital above and beyond what is ment existing loan programs for farmers. CARD Programs traditionally available. The effect has been to help rural businesses expand, From April 1993 to October 1996, FCC The Canadian Adaptation and Rural while maintaining responsible control lent about $114 million for farm-related Development (CARD) Fund is a $60- over taxpayers' dollars. business and on-farm diversification million-per-year fund to aid the agricul- projects. The loans have been used to tural and rural sectors in responding finance a wide variety of projects, rang- to change. Initiatives help farmers and ing from inland grain terminals, straw- other agri-food sector participants to board plants, and rural infrastructure develop new income-generating oppor- tunities through the adoption of new ADAPTATION COUNCILS: PARTNERSHIPS FOR ACTION technology and production techniques, improved business management and Key to our approach is building strategic alliances and partnerships marketing practices, and implementation with industry and rural Canadians, to lay the foundation for of structural changes to the industry. future growth and adaptation. Many CARD initiatives are delivered by industry-led councils, allowing programs The basic direction for adaptation programming was set through round-table to be tailored to local needs. In this consultations with industry that took place across Canada. way, the federal government encourages economic growth, cross-sector alliances, Industry said it wanted more decision-making and program delivery to be and grassroots decision-making. undertaken by grassroots organizations. The argument was made that industry delivery of programs can reduce federal costs and enhance flexibility CARD also funds national initiatives In response, the CARD Fund is approaching adaptation programming including: from a new perspective. • The Canadian Farm Business Management Program to help farmers Industry-led adaptation boards or councils are being established in each upgrade their business management province. These councils set priorities, make decisions about how money will skills. This is a cooperative program, be spent and manage their province's share of the CARD funds themselves. with participation from the agricultural Accountability is built in through the participation of federal officials and industry, provinces and the federal established mechanisms for reporting spending and performance. government. • Business Planning for Agri-Ventures, Industry councils operate at a provincial level. Councils are encouraged to a program administered by the Farm share information to help maximize allocations. By identifying common interests Credit Corporation, which provides and priorities, and fostering greater inter-provincial collaboration, each council's advice to farmers and agri-business funding will be used more efficiently and effectively. operators who want to establish, expand or diversify their businesses. • The Canadian Agriculture Safety responsive to rural development needs. over three years. Producers are using Program (CASP), designed to reduce Since 1993, PFRA has been delivering this money to invest in new business farm injuries and fatalities in rural federal-provincial programs such as opportunities. Canada. the Canada/Saskatchewan Agri-Food • An enhanced financial review and Innovation Fund (AFIF), Canada/ Since the elimination of the Western mediation service for farmers, replacing Manitoba Partnership Agreement Grain Transportation Act, $1.6 billion the Farm Debt Review Boards. on Municipal Water Infrastructure has been paid out under the Western • Financial support for the Canadian (PAMWI) and Green Plan programs Grain Transition Payments Program. 4-H Program, which helps to enhance in the Western provinces. Through these This program was one of the largest of the long-term viability of the agri-food initiatives, Agriculture and Agri-Food its kind in Canadian history. The money industry by developing the skills of Canada helps community groups and is helping to lay the foundation for a rural youth. entrepreneurs to take advantage of new western agricultural economy - local opportunities to expand their an economy based on diversification, PFRA Activities business or embark on new ventures international competitiveness, greater that bring jobs and economic growth self-sufficiency and teamwork. The Prairie Farm Rehabilitation to their communities. Administration (PFRA) provides eco- Beginning in 1995-96, $300 million was nomic development assistance for rural Adjusting to Transition made available to promote diversifica- communities across the Prairie region tion and value-added growth through by analysing opportunities, developing As farmers adapt to the elimination the Western Grain Transportation ideas and assessing the feasibility of of subsidies under the Western Grain Adjustment Fund. This includes $105 mil- projects. PFRA's network of regional Transportation Act and the Feed Freight lion for producers in Manitoba and and district offices and special centres Assistance Program, the Government eastern Saskatchewan who were enables the agency to extend its reach of Canada is making the transition affected by changes in the freight-cost to rural communities and be more period as stable as possible by provid- pooling system; $45 million to help ing $2 billion in adjustment funds alfalfa dehydration and compressed BIBLIOTHEQUE CANAOIENNf 0E I AGRICULTURE 3 1073 D013b373 D hay processors; and $140 million for Improving Service to Rukal umiauiaw> investment in agricultural infrastructure such as roads, water supply and As rural communities strive to grow and prosper, the federal government treatment facilities across the Prairies. is providing them equitable access to programs and services. The federal government accelerated • Modern communications technology allows rural Canadians to overcome payment of $72.6 million in adjustment the barriers of distance and geography, and the federal government is helping. funds upon termination of the Feed Industry Canada, for example, is connecting rural communities to the information Freight Assistance (FFA) subsidy. In highway through its Community Access and SchoolNet programs. Agriculture and response to advice from the FFA Task Agri-Food Canada has launched the Canadian Rural Information Service (CRIS), Force, the government increased funding developed to provide information of interest to rural Canadians. by $10 million and introduced measures to speed up delivery of payments. • Agriculture and Agri-Food Canada's Electronic Information Service (ACEIS) is another on-line service that offers a single window to timely and accurate Improving the Environment for information about the agriculture and the agri-food industry. The 24-hour service Co-operatives offers access to market and trade data, information on government policies, legislation and regulations, and information about research and development As business organizations, co-operatives activities. contribute significantly to the growth, jobs and economic prosperity of • Other government departments are increasing awareness about their programs communities across the country. They and services, many of which benefit rural Canadians. Human Resources are particularly influential in rural Development Canada has several web sites, which can be reached from communities. http://hrdcdrhc.gc.ca. Industry Canada makes a wealth of information available through its Strategis web site at http://www.strategis.ic.gc.ca. The Government of Canada is working to improve the business environment Also, the Canadian Information Office has a web site about Canada, Canadians for co-operatives by modernizing the and their federation, that, among other things, enables users to participate in direct legislation under which they operate. dialogue. Go to www.infocan.gc.ca. After much consultation with the co- operative sector, the federal government introduced the new legislation, Bill C-91, Users have access to CRIS April 1997, Pub in March. The new Canada Co-opera- at 1 888 757-8725 or via CommunicaHor iricultiure tives Act will offer greater flexibility the Internet at andAgri-Food v-un so co-operatives are able to raise new http://www.agr.ca/policy/cris capital. Other enhancements in the e-mail: [email protected] For Publications or Information: new act will provide these organizations fax: (613)759-6643. Agriculture and Agri-Food with the right legislative environment to Canada achieve their potential in contributing The Agriculture Canada Electronic Sir John Carling Building, 930 to the wealth of the country. Information Service (ACEIS) Carting Avenue, Can Be Accessed: Ottawa, ON, Canada K1A0C5 • On the World Wide Web at: http://www.agr.ca TEL.: (613) 759-1000 • Telnet: www.agr.ca (login: guest) FAX: (613) 759-6726 • Electronic BBS (14.4 Computer e-mail: [email protected], modem): 1-800-234-4410 or (613) 759- Internet: http://www.agr.ca 1100 Publication 1932E • Fax-on-demand/Telephone: 1-800-234- Cat No. A22-165/1-1997E 2222 or (613) 759-6650 ISBN: 0-662-25719-7 • ACEIS Help Desk: 1-800-410-7104 ® This brochure was printed with Agri-Food Trade Network vegetable inks. Internet: http://atn-riae.agr.ca Aussi disponible en francais sous le titre de Etabur uneassise soudeau Canadarural I II Ml Mil II II II