CGC moves on surplus allocation opposed by AWC
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LETHBRIDGE — The Canadian Grain Commission’s (CGC) decision to spend part of a 130-million-dollar surplus on programs and services isn’t sitting well with some Alberta agriculture groups.
The surplus built up over five years and happened because grain delivery volumes turned out to be higher than predicted. The CWC announced it would invest 90-million dollars in “strategic investments,” including grain quality science and innovation.
However, Tom Steve, the general manager of the Alberta Wheat Commission (AWC) and Alberta Barley, says that money belongs to farmers and not the commission.
During stakeholder consultations in the spring of 2017 the majority of proposals agreed the surplus funds should directly benefit farmers.
AWC and Alberta Barley want to see reduced service fees to farmers for a fixed period of time. The commissions also suggested, “updates to the CGC’s forecasting methodologies to more accurately reflect grain volumes to alleviate future overcharges and prevent future surpluses.”
As well, the AWC wants the CGC to move away from its dual role as both a regulator and service provider. In order to ensure the lowest costs for farmers, the AWC and Alberta Barley believe all inspection services should be open to competition from private inspection companies and not restricted to the CGC.
