Canadian canola farmers need an open and competitive marketing environment to prosper. This includes transparent and accountable government institutions that meet farmers’ needs, balanced grain marketing contracts, and timely pricing and marketing data. CCGA seeks to ensure that all farmers have this right and the necessary tools to market their grain effectively.
CCGA’s policy development efforts in marketing currently focus on the following:
Modernizing the Canadian Grain Commission
Agriculture and Agri-Food Canada (AAFC) is reviewing the
Canada Grain Act and looking at how the Canadian Grain Commission (CGC) can be modernized to better meet the needs of the grain sector. It has been 40 years since the
Act was overhauled. The way we farm as well as the way we sell, deliver, and handle grain has significantly changed.
Canada Grain Act regulates grain quality domestically and for export and provides for a series of producer protections. The CGC is the government agency responsible for establishing grain quality standards, ensuring Canada's international reputation for consistent and reliable grain quality is upheld, and maintaining producer protections.
AAFC consulted with interested stakeholders in spring 2021. The consultation was an important opportunity for farmers to share their thoughts on the future of our grain quality framework and available producer protections. Important elements of the review included: the process for how farmers ask for a second opinion on grade, dockage, and moisture, and at what facilities; whether enhancements to the producer protection program are required; what role the CGC should play in outward inspection; and, more largely, if changes to CGC's mandate to "work in the interest of grain producers" are needed.
Potential Enhancements to Producer Payment Security
Safeguards for Grain Farmers Program provides an important risk management tool to protect farmers against the risk of non-payment when licensed grain companies fail to pay farmers for grain deliveries.
Ensuring the best possible payment security for farmers is a long-standing CCGA policy priority. While a Fund has been raised as an option, it is not well understood. So, with the goals of creating better discussions on potential enhancements and informing future policy development, CCGA commissioned an independent risk analysis and feasibility assessment of a producer payment security Fund as an alternative to the current security-based program.
The report demonstrates that a Fund presents a feasible alternative and, depending on the design, could offer increased payment predictability and transparency.
Canola Dockage and Grading
CCGA works to ensure farmers receive the best value for their canola. Our
KnowYourGrade.ca site provides information about representative sampling, dockage, grading, and available producer protections.
Practical Guide to Navigating Grain Contracts
Knowing what’s in (and what’s not in) your grain contract is critical for farmers. With the goal of assisting farmers in contract negotiation and interpretation, CCGA collects contracts from the major purchasers of grain for this summary of common clauses used in grain marketing contracts.
You can find
the guide in full here, last updated in October 2022.
Want to know more?
- The 2021 growing season tested farmers' resilience prairie-wide and left many with tough decisions on the state of their crop. Read CCGA's Hub Post
Drought have you concerned about contract shortfalls?
- As of July 2020, under CUSMA, all grain deliveries to a licensed facility must be accompanied by a declaration that the variety being delivered is registered in Canada. Canola farmers will need to sign a declaration or agree to contractual language when delivering canola to both primary elevators and processors.
- As of August 2014, all grain marketing contracts with a stipulated time frame
must contain a provision to compensate farmers for grain not accepted within the defined delivery terms.
- Short situation — as part of an ongoing initiative to help farmers get the best value for their crop,
CCGA investigated possible options for farmers who are short or unable to fill their contracts.