Minister Ritz Defers Interest on CAIS Overpayments

WINNIPEG, MANITOBA--(Marketwire - Dec. 21, 2007) - The Government of Canada has deferred collection of interest on overpayments under the Canadian Agricultural Income Stabilization (CAIS) program until December 31, 2008, which will benefit approximately 8,200 farmers who still have to repay CAIS funds. The announcement was made by the Honourable Gerry Ritz, Minister of Agriculture and Agri-Food and Minister Responsible for the Canadian Wheat Board.

"This will help all farmers but particularly those with cattle and hogs who are having a tough time right now," said Minister Ritz. "We are working side by side with industry and provinces to make sure we are doing everything possible with existing programs to offer some relief."

This announcement applies in provinces where the federal government delivers the program (British Columbia, Saskatchewan, Manitoba, Nova Scotia, New Brunswick, Newfoundland and Labrador and the Yukon territory). Collection of interest is also being deferred in Alberta, Ontario and Prince Edward Island, where the program is delivered provincially.

Farmers are encouraged to consider assistance available now through AgriStability and to enroll before the December 31, 2007 deadline. In particular, livestock farmers are encouraged to enroll so they can receive assistance to help them with the serious pressures they are facing. AgriStability will replace the coverage under the Canadian Agricultural Income Stabilization (CAIS) program for margin declines of more than 15 per cent.

Enrolment notices went out to farmers in mid-November. Those who have not yet received a notice can contact the program administration before the December 31 deadline for information on how to participate (see below). Farmers who did not participate in CAIS in 2006 are still eligible for 2007 AgriStability.