The Canadian Grain Commission is proposing to reduce its user fees as of August 1, 2017, in response to a $100 million surplus that has been accumulated over the years.
The benefit to affected stakeholders of the proposed fee reduction is $9.99 million for the 2017–2018 fiscal year, a cost decrease of 15 per cent. The benefit is expected to be around $15 million thereafter. The accelerated reduction is ahead of the original schedule of new user fees which would have started April 1, 2018.
Grain Growers of Canada President Jeff Nielsen said the move is in line with the group's recent calls to Federal Agriculture Minister Lawrence MacAulay and the Commission to prevent the further accumulation of the surplus.
“We applaud this regulation and look forward to working with government on the consultations around the new fee schedule and use of the current surplus. As an industry, it is important to know that government is listening to the needs of farmers and decisions such as this demonstrate that our voices are being heard in Ottawa.”