Ontario Grain Farmer August 2021

28 IF CANADA AND Ontario are to maintain their reputation for high-quality grain and stay competitive in global markets, getting two current federal regulatory reviews right is a must. As part of a regulatory reform agenda that came out of the 2018 budget, Ottawa is currently looking to modernize the Canada Grain Act and the Seeds Act. In some cases, it has been decades since the rules have been overhauled. “The way government interacts with industry has changed dramatically — where in the past, there were very prescriptive rules about how things ought to be or are done, now regulators tend to focus on results and outcomes,” says Tyler Bjornson, executive vice president of the Canada Grains Council. CANADA GRAIN ACT Agriculture and Agri-food Canada is currently reviewing the Canada Grain Act, which has not been substantially changed in 50 years. This legislation underpins the country’s grain quality assurance system, provides protections for grain farmers, and governs the Canadian GrainCommission (CGC). Extensive consultations were held from January to April this year. “Now that the consultation period is over, the industry would like to know what the plan is to get the changes across the finish line,” says Erin Gowriluk, executive director of the Grain Growers of Canada (GGC). There have been numerous attempts over the years to update the legislation, and each time Parliament was dissolved or prorogued before work could be completed. Gowriluk points out that one of the major changes that needs to be made is dealing with a $148 million surplus from grain inspection and weighing fees paid indirectly by farmers. The surplus has been mounting and accumulating interest since 2017. The industry consensus is to distribute the surplus back to farmers in the form of reduced fees. “There’s also a strong desire to see inspection and weighing services move to third parties under the accreditation of the Canadian Grain Commission,” she says, noting that, even with a reduction in fees in the spring of 2021, private, third party services are still less expensive than what the Commission charges. Updating the rules HELPING GRAIN FARMERS COMPETE GLOBALLY Lois Harris Grain Farmers of Ontario is among the supporters of this move, and it provided input into the GGC submission to the government. While the influence of the Act is not as pronounced in eastern Canada as in the west, there are a few areas that the organization weighed in on. “It’s important that Ontario’s and eastern Canada’s voice is heard and that there is a recognition of the differences — including variety registration — that we have from the west,” says Rob Gamble, Grain Farmers of Ontario’s chief economist. Gamble says another notable difference is the Ontario Grain Financial Protection Program, a check-off program which protects grain farmers in cases where licenced grain dealers or elevators can’t meet their payment or storage obligations. He says that any alterations coming out of this review should not adversely affect the program, which operates well and is appreciated by farmers. Gowriluk says that, given the way the industry is evolving, there is a need to build a regular review — say every five or seven years — right into the Canada Grain Act. She also mentions the need for greater market transparency. “We had a number of resolutions that pointed to the need for Canada to provide weekly export sales numbers by commodity and volume, like they have in the U.S.”, she says. “It would give farmers a better line of sight for planning.” SEEDS ACT The Seeds Act is another important piece of legislation that has not been reviewed in decades. According to the Canadian Food Inspection Agency (CFIA), which is conducting the current review, the main purpose of the Act and its regulations is to “protect producers and consumers from misrepresentation, prevent the use of low-quality seed, and to create a level playing field for companies and individuals involved in seed production.” Government Relations