FPT Ministers of Agriculture Take Action to Strengthen Sector

NIAGARA-ON-THE-LAKE, ONTARIO, Jul 10 (MARKET WIRE) --
Editors note: A photo is included with this press release on Marketwire's
website.

Canada's federal, provincial and territorial Ministers of Agriculture
held their annual meeting in Niagara-on-the-Lake this week to discuss
issues affecting the sector and their ongoing support for farmers and the
agricultural and agri-food sector across the country.

Ministers discussed developments in agricultural policy and global
economic challenges, as well as domestic factors such as adverse climate
conditions, and how these factors are affecting farmers' sustainability
and profitability. They stressed the importance of ongoing collaboration
to ensure that agriculture policies and programs continue to respond and
support the sector in addressing challenges and seizing opportunities.

Ministers discussed the situation of the pork industry and how current
programming is responding. Proposals put forward by the Canadian Pork
Council were also reviewed. Ministers are working with the industry to
address the current challenges and move towards a sustainable and
profitable industry.

Growing Forward programs are up and running in all provinces and
territories addressing local needs and regional realities while
contributing to our national objectives. These initiatives will help the
sector during these tough economic times and contribute to a profitable
and innovative industry. The Government of Canada and the provincial and
territorial governments are cost-sharing on a 60:40 basis, $1.3 billion
in program funding to support farmers and the agricultural sector across
the country. The federal government is also investing $1.05 billion in
innovation, competitiveness, environment and food safety initiatives.

Ministers discussed the steps taken by governments to strengthen the
Canadian food safety system to protect and enhance public health,
maintain consumer confidence at home and ensure international
competitiveness. Ministers agreed to take a national, science-based
approach on food safety and directed officials to advance work in three
key areas: enhanced surveillance, pathogen reduction in meat and poultry,
and common meat hygiene standards. These actions will build on progress
made by federal, provincial and territorial governments in upgrading and
improving their systems. Ministers will take stock on progress at their
next meeting.

(i) Ministers committed to move forward on a comprehensive national
traceability system for livestock and poultry, which is critical for
managing animal health and food safety issues, as well as expanding
market access and driving efficiencies. They agreed that a mandatory
comprehensive national system for livestock will be in place by 2011 and
that implementation will be supported by national funding and regulatory
framework. Ministers committed to engage key industry groups on the
timing of implementation for each species. The Growing Forward policy
framework and Agricultural Flexibility Fund will provide support for key
elements of the national system. Ministers also discussed the need for
traceability for all sectors.

Ministers acknowledged the positive steps taken to engage trading
partners on key market access issues facing the livestock, beef, pork and
other agricultural sectors.

Ministers expressed support for the Market Access Secretariat as a key
initiative, including federal-provincial-territorial engagement and
cooperation on market access priorities. Ministers committed to working
together and with industry in identifying and taking full advantage of
market access opportunities, and addressing bilateral and multilateral
trade matters, including trade restrictions related to H1N1, U.S.
country-of-origin labeling (COOL) and South Korea's treatment of Canadian
beef exports. Ministers also reiterated support for advancing Canada's
trade interests at the World Trade Organization (WTO) and in bilateral
Free Trade Agreement negotiations, notably with the European Union, to
benefit Canada's entire agricultural sector, including export-oriented
and supply-managed industries.

Ministers discussed the business risk management (BRM) strategic review,
which is being undertaken to assess current objectives and programs.
Ministers directed officials to identify: potential objectives and
principles for future BRM programs; the roles and responsibilities of
industry and governments in managing risk; and the range of possible
program design options. Ministers expect to review and decide on these
matters in early 2010. Ministers also directed that an industry
engagement strategy be developed for their consideration as soon as
possible.

Ministers also discussed the issue of livestock insurance and directed
officials to bring forward possible approaches, within existing fiscal
capacity, to move forward on this for discussion at their next meeting.

Ministers discussed the roll out of the $500 million Agricultural
Flexibility Fund announced as part of the Government of Canada's 2009
Economic Action Plan to support partnering with the provinces,
territories and industry on non-BRM measures that will reduce the cost of
production, improve environmental sustainability, promote innovation and
respond to market challenges. The federal Minister updated provincial and
territorial colleagues and discussed potential programming. Provincial
and territorial ministers welcomed the opportunity to work with the
federal government on this initiative.

Ministers of Agriculture will hold their next annual meeting in
Saskatoon, Saskatchewan, in July 2010.

(i) With the exception of Saskatchewan.

Contacts:
Agriculture and Agri-Food Canada
Ottawa, Ontario
Media Relations
613-759-7972
1-866-345-7972

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