Governments Of Canada And Saskatchewan Partner To Invest $485 Million In Saskatchewan Under The New Five-Year Sustainable Canadian Agricultural Partnership

Released on March 20, 2023

Today, Gudie Hutchings, Federal Minister of Rural Economic Development, on behalf of Marie-Claude Bibeau, Federal Minister of Agriculture and Agri-Food, and Saskatchewan Agriculture Minister David Marit, announced $485 million for strategic agricultural initiatives in Saskatchewan under the new five-year Sustainable Canadian Agricultural Partnership (Sustainable CAP).

“Through the Sustainable Canadian Agricultural Partnership, we are investing in the economic, social and environmental sustainability of the agriculture sector, while ensuring the resilience of supply chains,” said Hutchings. “These programs and initiatives will create new ways for producers in Saskatchewan and processors to continue to improve their competitiveness while protecting our environment.”

"The Sustainable Canadian Agricultural Partnership will help build on the great work already happening in the agriculture industry in Saskatchewan," Marit said. "This investment will see enhancements to existing programs and the introduction of new programs to position us to continue on our sustainability journey, while ensuring the sector continues to grow, prosper and remain competitive."

The Sustainable CAP is a five-year $3.5-billion investment by federal, provincial and territorial governments to strengthen competitiveness, innovation, and resiliency of the agriculture, agri-food and agri-based products sector. This includes $1 billion in federal programs and activities and $2.5 billion in cost-shared programs and activities by federal, provincial and territorial governments.

Through the five-year Sustainable CAP, $89.4 million will be invested annually in strategic programming for Saskatchewan farmers, ranchers and agri-businesses, a 25-per-cent increase from the $71.2 million in the previous federal-provincial partnership. Under the new agreement, there is a continued focus on agricultural research and increased support for water development, with an increased funding cap in the Farm and Ranch Water Infrastructure Program and a larger per acre payment under the Irrigation Development Program.

The federal government contributes 60 per cent and the province funds 40 per cent of each dollar spent.

The suite of programs will drive outcomes in five priority areas over the next five years:

1. Building Sector Capacity, Growth and Competitiveness: $176.6 million investment to build the agriculture sector capacity, ensuring growth and competitive advantages.
2. Climate Change and Environment: $53.4 million to support the long-term resiliency and sustainability of the sector.
3. Resiliency and Public Trust: $40.2 million to support the sustainability of the sector by anticipating, mitigating and responding to risks while building public trust.
4. Market Development and Trade: $2 million to assist industry in expanding domestic and international trade opportunities.
5. Science, Research and Innovation: $175 million invested in research and development activities, enhancing the diversification and profitability of agriculture.

An additional $37.8 million will be allocated over the course of the agreement to support national activities delivered by the federal government including the AgriMarketing and AgriAssurance programs.

Canadian producers also have access to an enhanced suite of business risk management (BRM) programs to help them manage significant risks that threaten the viability of their farms and are beyond their capacity to manage. Demand-driven, business risk management programs are estimated to provide $3 billion in support to Saskatchewan farmers over the lifespan of Sustainable CAP.

On March 6, 2023, Minister Bibeau announced that applications are now being accepted for federal programs under the Sustainable Canadian Agricultural Partnership that will go into effect on April 1, 2023. The new agreement is effective April 1, 2023, and will be in place until March 31, 2028. Details on Saskatchewan's Sustainable CAP strategic programs and application forms will be posted on www.saskatchewan.ca in the coming weeks.

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