Saskatchewan gov’t provides funding for livestock producers

The Government of Saskatchewan is providing financial support to livestock producers, whose industry has been affected by COVID-19.

The province announced Thursday it’s giving producers $10 million — $5 million for Saskatchewan’s share of the costs associated with participation in the national AgriRecovery set-aside program and $5 million to partially offset higher premium costs under the Western Livestock Price Insurance Program (WLPIP).

“Our livestock sector is facing tremendous challenges, with producers facing higher costs to feed animals that cannot move along the supply chain as they normally would,” Agriculture Minister David Marit said in a media release.

“Participation in the AgriRecovery set-aside program will compensate producers for the cost of temporarily holding cattle back from market until supply more evenly matches demand and processing capacity.”

According to the government, approximately 3,500 steers and heifers typically are shipped from Saskatchewan to meat-processing plants in Alberta every week at this time of year. In recent weeks, because of COVID-19 outbreaks at those plants, the number of cattle shipped was under 400.

The funding announced Thursday covers the province’s 40 per cent contribution to the AgriRecovery set-aside program. The federal government previously put up its 60 per cent.

Saskatchewan producers now can access a total of $12.5 million under the program.

As for the WLPIP, its premiums have increased since the end of February due to the uncertainty caused by COVID-19. The provincial government now will cover 40 per cent of the increased premium costs, dating back to Feb. 25.

As well, the deadline for obtaining calf price insurance though the WLPIP is being extended to June 18.

The province said the premium adjustments will be in place until Sept. 1, at which time it will review the situation.