Winnipeg, Manitoba -- Canola farmers will benefit from several important trade and taxation initiatives that were announced in Tuesday’s federal budget. The budget, tabled by Finance Minister Joe Oliver, included an increase in the lifetime capital gains exemption for qualified farms to $1 million, as well as a $30 million investment in Canada’s market development and market access programming, with an aim to support economic growth through exports.
“Farming is a capital-intensive business and growers typically invest earnings back into the growth of their farms,” says Brett Halstead, President of the Canadian Canola Growers Association (CCGA). “Expanding the lifetime capital gains exemption to $1 million means hard-working farmers will be more likely to reinvest in their operations, knowing they will be able to retain more of their savings upon retirement.”
Canada’s canola industry services food and feed customers around the world with high quality seed, oil and meal. The industry relies on an open trading environment, with 90% of canola products exported outside of Canada. Two initiatives announced in the budget will invest in trade priorities that are important to canola farmers.
An $18.1 million investment to expand the Market Access Secretariat will support new agricultural trade commissioners, who will focus on promoting and supporting international science-based standards. This is an important step in supporting trade for agricultural products like canola. “We have been asking for a sharper focus on the issue of science-based regulation and decision-making at the international level for some time,” says Rick White, CEO of CCGA. “The commitment in yesterday’s budget to this issue is an important step forward for canola farmers.”
The federal budget also outlined a $12 million investment over two years for Canada’s AgriMarketing Program to promote Canadian agricultural products internationally. “The nutritional benefits of canola offer opportunities for customers in many regions of the globe,” says Halstead. “Investments into programs that can help agricultural industries more effectively reach those markets are important in helping our industry grow and farmers succeed.”
CCGA represents more than 43,000 canola farmers on national and international issues, policies and programs that impact farm profitability.
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Contact:
Kelly Green
Director of Communications
Email: kellyg@ccga.ca
Phone: 204.789.8821