The Ontario government unveiled a $100-million increase to its Risk Management Program (RMP), which also includes the Self-Directed Risk Management Program (SDRM), during an announcement made in Eden, Ont. on Tuesday, January 28, 2025.
Officials said the investment will be phased in over the next three years and will bring the annual funding from $150-million to $250-million by 2027, starting with a $30 million increase in 2025.
The RMP for beef, pork, sheep, veal and grain farmers, and the SDRM for fruit and vegetable growers, is a provincial insurance program designed to help Ontario farmers manage risks tied to unpredictable markets (such as sudden price drops for livestock and field crops), adverse weather conditions, and other uncontrollable factors that can disrupt production and profitability.
Mark Eddy, a local cattle farmer who is enrolled in the RMP, said that farmers who participate in the program pay premiums based on their production levels and the amount of insurance coverage they require.
“It’s not like a free hand out from the government or anything like that. Each year you pay a premium and it enrolls you in the RMP so it’s kind of farmer-funded as well, but it was always under funded so this is good news,” he said. “The RMP kind of just ensures a bit of economic stability for the farmers when things happen that are out of your control. You never know what’s going to happen out in the world, let alone production issues on the farm, and so it kind of takes a little bit of that risk out of the market, and makes farming more sustainable for us long term.”
Eddy added that himself and many other beef farmers were happy to hear the news about the increase.
“We were excited to hear Minister Flack announce the increase to the program. The Beef Farmers of Ontario have been asking for this for quite some time now so it was really nice to see it actually happen,” said Eddy. “This kind of guarantees production for all Ontario and it helps to guarantee the production of food because, I mean, there’s less and less people farming all the time, and it’s one of those programs you can kind of rely on if something happens.”
Rob Flack, Ontario’s Minister of Agriculture, Food and Agribusiness, said that the increase is a sign that the provincial government is motivated to ensure the resiliency of farmers across the province.
“Our government promised farmers we would continue to expand and enhance RMP, and with this historic investment, we have delivered,” said Flack in a media release. “To Ontario’s world-class farmers, know that our government remains focused on strengthening your resilience and competitiveness, no matter what headwinds may come our way.”
The increase is something industry representatives such as the Ontario Federation of Agriculture (OFA) and the Ontario Agriculture Sustainability Coalition (OASC), which is comprised of the Ontario Fruit and Vegetable Growers’ Association, Grain Farmers of Ontario, Beef Farmers of Ontario, Ontario Pork, Ontario Sheep Farmers, and the Veal Farmers of Ontario, have been advocating for since the last $50 million increase in 2020.
Tara Terpstra, a Huron County hog farmer and Chair of Ontario Pork, said the announcement is wonderful news.
“There’s been a lot of collaboration with all of our groups in order to move this file forward for Ontario producers, and it’s just wonderful. We’re all a little different based on our commodities, but this funding increase will allow us to face those unique challenges within each of our industries,” said Terpstra. “I would say the RMP plays a crucial role in supporting our producers and will probably help them focus on creating more farm jobs, new market growth opportunities, and investing in greater innovation. Things like extreme weather or global market fluctuations, are all outside of our control and so the RMP definitely provides more of a safety net for our producers so we can weather all those unforeseen challenges without compromising Ontario’s food security.”
She added that because Ontario has such a large agricultural sector, the increase will likely have a multiplier effect on the province’s economy.
“You’re keeping farmers in business in a real vital sector because we’re producing food, but it also fosters growth in our rural infrastructure, both services and even secondary businesses that we deal with,” said Terpstra. “I think it means just an overall stronger provincial economy and it’s a win for everybody.”
Kimberly De Jong’s reporting is funded by the Canadian government through its Local Journalism Initiative.The funding allows her to report rural and agricultural stories from Blandford-Blenheim and Brant County. Reach her at kimberly.dejong@brantbeacon.ca.
