Ontario Grain Farmer December 2024 / January 2025

11 ONTARIO GRAIN FARMER DECEMBER 2024/JANUARY 2025 De Dell Seeds The Leaders in Non-GMO Corn De Dell Seeds • 7095 Century Drive • Melbourne, ON • N0L 1T0 P: 519-264-CORN (2676) • F: 519-264-2672 info@dedellseeds.com • www.dedellseeds.com We are confident you will make MORE PROFIT growing De Dell seed corn. Vince Trudell, President are to support farmers who face declining margins driven by lower commodity prices of primary crops. Furthermore, the new U.S. Farm Bill, pending passage, is aiming to considerably increase funding for Title I commodity and crop insurance programs. The Congressional Budget Office estimates an additional US$47 billion more will be spent on the two programs over the next 10 years (until 2033), which will be a 77 per cent increase over the current funding level for those programs. The funding increase will support an increase in crop insurance premium subsidies and an increase in the reference prices of the PLC/ARC programs, which are set to increase between 11-15 per cent. The higher reference prices will enable the programs to trigger more often. It is important to highlight the differences in risk coverage between the U.S. and Canada as they affect the respective global competitiveness of the two groups of farmers. Whenever U.S. farmers have suffered, the American government has acted quickly to compensate them. In fact, research suggests that payments from the Market Facilitation Program—an ad hoc payment initiative created by the U.S. government to compensate corn and soybean farmers during the U.S.-China trade wars—may have exceeded the losses those farmers incurred. Improving business risk management programming is the number one priority for Grain Farmers of Ontario. This includes increasing the funds available to pay out claims for Ontario’s Risk Management program and improving the AgriStability program so that it is more responsive to grain farmers in Ontario. Sankalp Sharma, PhD, is Grain Farmers of Ontario’s senior economist. It is important to highlight the differences in risk coverage between the U.S. and Canada as they affect the respective global competitiveness of the two groups of farmers.

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