Canadian Farmers Give Tobacco Away

Source from:  tr.itsmyiq.com Dec 12, 2007 12/13/2007

Frustrated farmers in Canada have vented their anger at the lack of progress towards an industry buy-out plan by giving millions of dollars worth of tobacco to Six Nations representatives, who have been involved in a long-running dispute of their own over land claims, according to a report by Andrew Fruch for the Times-Reformer. "This product that we brought here today [December 11] has no value to the tobacco farmers," said John Van Daele, president of the Oxford-Norfolk-Elgin Landowners Association. "We are going broke, we are broke, and it only has value to the government." Van Daele said the government collected more than $4,100 in taxes from each bale of tobacco; so, by giving the tobacco to Six Nations, farmers were denying the government an estimated $2 million in tax revenue. The tobacco farmers were protesting at the lack of a suitable buy-out plan after nearly two years of negotiations during which the Ontario Flue-Cured Tobacco Growers' Marketing Board has been working to get government approval for an exit plan. Tobacco farmers are seeking a buy-out of no less than $3.30 per pound of tobacco, or almost $900 million for a 271 million pound quota owned by an estimated 1,500 stakeholders. Enditem