GUELPH, ON (May 2, 2013) – The Ontario government’s commitment to consult with stakeholders on a renewable diesel fuel mandate in the provincial budget announcement is a positive step forward for grain farmers in Ontario.
In the 2013 Ontario budget, the province commits to renewable fuels. We welcome the consultation process to establish a provincial mandate for renewable diesel fuel before the biodiesel tax exemption is repealed on April 1, 2014.
“A 2% mandate in the province of Ontario will create demand for 160 million litres of renewable diesel, which means a potential soybean usage of 680,000 tonnes,” says Henry Van Ankum, Chair of Grain Farmers of Ontario.
Other positive statements in the budget include a re-commitment to the provincial Risk Management Program and the development of the Ontario Corn-Fed Beef Risk Management Fund for greater price stability in the industry.
An additional initiative that will have a positive impact on the agricultural industry is the local food bill that, if passed, will invest $30 million in local food projects over three years.
“Our organization looks forward to working closely with government over the next few months to develop biofuel policy that benefits the province and our members,” says Van Ankum. “We will also work with government to ensure new and existing provincial programs continue to deliver value to Ontario’s grain farmers.”
Grain Farmers of Ontario
Grain Farmers of Ontario is the province’s largest commodity organization, representing Ontario’s 28,000 corn, soybean and wheat farmers. The crops they grow cover 6 million acres of farm land across the province, generate over $2.5 billion in farm gate receipts, result in over $9 billion in economic output and are responsible for over 40,000 jobs in the province.