Goals, Objectives, Strategies and Results — Continued

Goal 5: Reduced impact of income declines for farmers in agricultural sectors affected by disasters.

Outcome/Key Indicator:

Improved overall farm income as a result of programs that reduce the impact of unpredictable, uncontrollable losses.

Core Business Area:

Risk Management.

Weather hazards, natural disasters, diseases, pests and erratic markets pose significant risks to producers of agricultural products. All of these risks can cause losses and lead to income instability in specific commodities. The ministry is fostering a shared-risk management approach with programs that stabilize these fluctuations and allow farmers to continue operating through downturns and remain competitive.

Performance is measured by monitoring farm incomes for sectors affected by disasters. Trend information for affected sectors will be developed by measuring the five-year rolling average for farm cash receipts in the crops and livestock sectors.

Objective 1:

A comprehensive risk management approach for farmers which provides a predictable response to uncontrollable and unpredictable disasters such as weather hazards, natural disasters, disease, pests and market declines, and is consistent with trade obligations.

B.C. is working in partnership with the federal government to develop appropriate insurance products that support effective risk management and to ensure that producers use them. The two key risk management products developed by the ministry are CAISP (Canadian Agriculture Income Stabilization Program) and Production Insurance.

Strategies:

1. Maximize farmer participation through effective communication, marketing and overall delivery of CAISP and Production Insurance so that the combined federal/provincial investment provides a fair and effective level of support.

2. Create partnerships or improve linkages with the private sector to increase the efficiency and effectiveness of risk management tools available to farmers in B.C.

3. Integrate policy development and program delivery of CAISP and Production Insurance to maximize the overall effectiveness and efficiency of risk management programs.

The ministry will measure the extent to which farmers are participating in risk management programs by comparing the total value of insurable crops to the total value of these same crops that are covered by some form of risk management (insurance) product.

Objective 2:

A policy framework for marketing boards that increases B.C.'s share of national allocations, provides better governance, improves market responsiveness, and encourages specialty products and further processing in B.C. over a three-year period.

Regulated marketing is considered an effective risk management tool in stabilizing incomes for specific sectors of the agriculture industry. B.C. has confirmed support for national supply management on the basis of economic benefits to the province in the absence of trade reform at this time. B.C. sees opportunities for growth in its national allocation of supply-managed commodities (dairy, poultry and eggs).

Strategies:

1. Implement the recommendations of the regulated marketing review completed in 2002/03.

A key measure of success is an increase in B.C.'s share of the total Canadian sales of supply-managed commodities. While B.C. accounts for 13.1% of Canada's population, its relative share in the sales of some supply-managed commodities is often lower.