No Mention of Buyout in Federal Budget

Source from:  Daniel Pearce SIMCOE REFORMER Wednesday February 27, 2008 02/28/2008

'To say we are angry and disappointed is an understatement': tobacco board chair Tobacco farmers are angry at being left out of yesterday's federal budget but remain undaunted in their push to get a buyout program for their dwindling industry, says their leader. "We will continue to fight and pursue our issue and we will not give up," said Tom McElhone, chair of the Ontario Flue-Cured Tobacco Growers' Marketing Board. The board had pinned its hopes on hearing of an exit package for its growers in yesterday's budget announcement in Ottawa, especially, McElhone said, after federal agriculture minister Gerry Ritz said in the house recently he would "do more" for tobacco farmers than the Liberals did. "To say we are angry and disappointed is an understatement," McElhone said. The board, however, believes buyouts for its farmers are still possible, he added. "All indications are that there is a program in the near future. The time and amount is what is not known." The industry is facing another year of dwindling crop size and prices. Fields will be planted this spring with about one-seventh of what was grown a decade ago -- not enough to sustain the number of growers, farmers warn. The board meanwhile has been trying to secure an exit program for many months without success. Local MP and minister for citizenship and immigration Diane Finley noted that Ritz has pledged to continue to "work with the board," but added that growers "will have to evaluate their own circumstances and make some pretty tough business decisions this year. "Farmers are business people and business people have to make these types of decisions every day," she added. Finley said the tobacco board's buyout proposal faces "challenges," and pointed to the $50 million in aid given in this budget to pork producers. "There are 10 times as many hog farmers (than tobacco growers) and they were seeking less than one-tenth of what tobacco farmers are looking for," Finley said. "That's one of the challenges." Local federal Liberal candidate Eric Hoskins said "there's just nothing there" in the budget for Haldimand and Norfolk counties. Hoskins criticized the Conservatives for not giving tobacco farmers a buyout or providing economic help for Caledonia or for offering money for upgrades to municipal infrastructure. "It's one more example that more needs to be done for this community," Hoskins said, calling the budget "urban focused." In its attempt to appeal to different types of voters, the Conservatives have created a budget that is "a mile wide and an inch deep," Hoskins added. But Finley said a number of measures are good for the riding, especially one measure that will allow low and moderate income seniors to make up to $3,500 a year before it is taxable. The ceiling used to be $500 a year. "That's worth $50 million to our riding," she said. She also pointed to the aid for hog producers, which will help 60 farms in the riding. They will benefit from the Harper government's pledge of $50 million to help cull Canada's over-sized pig population. Bob Vogelzang, president of the Haldimand-Norfolk Hog Producers, said the losses in his industry are "staggering" -- about $50 per hog by his estimate. Farmers, he said, are suffering under the weight of record high prices for feed, a high dollar (which increases the price of exported pork to the U.S.), and low hog prices in the U.S. "Are we going to have an industry down the road? We've got imports coming in that are cheaper than we can produce it. Just like tobacco farmers." Enditem