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There's mixed reaction from farm groups on the federal budget.

Agriculture and Agri-food Canada's departmental budget will be scaled back by 10 per cent within three years, but it's still unknown what those cuts will be.

"Agriculture is the budget that has the largest percentage cut in it," said Richard Phillips, Executive Director of the Grain Growers of Canada. "We've identified to the government in advance some of what our priorities were that we did not want to see touched, primarily the area of research and the area of trade and market access."

Both the Grain Growers and Canadian Federation of Agriculture are welcoming $44 million over two years to help with the Canadian Grain Commission's transition to a cost-recovery funding model.

"They're doing a study at the Grain Commission, and they've solicited input from farm groups across Western Canada on what services are of value that producers see there, and what services are perhaps not of value, or times have changed and we no longer need that," Phillips added. "They're moving to full cost-recovery and this will actually ease the transition into that."