Agristability plan agreed upon

Farm tractor planting seeds in a field. (Photo courtesy of © Can Stock Photo / chas53)

An Agristability plan is being agreed upon by the federal government and the provinces.

The plan is to remove the reference margin limit retroactive to 2020.

That equals about $95 million that could be paid out to farmers across the country.

The federal agriculture minister and ministers from the provinces and territories met Thursday and came to the agreement which has been on the table since last November.

The objectives in making the change include simplifying the program and help farmers in need by increasing the level of support for agricultural operations with lower allowable expenses. Officials say the change is an important step towards making the program easier to understand, more bankable, more accessible, and more fair for some sectors.

Costs for the removal of the reference margin limit will be shared, as outlined in the Canadian Agricultural Partnership; 60% by the federal government and 40% by provincial and territorial governments.