Tail-end of hog transition funds to be distributed

Tuesday Jun 15 2010
by Staff, www.manitobacooperator.ca

 

Funds left over from the federal government's hog farm transition program (HFTP) are now on their way to at least some of the producers who didn't make the cut during the program's fourth tender.

The HFTP, budgeted for $75 million when it was set up in late 2009, was meant to help eligible producers exit the sector by providing payments to those who agree to set aside all hog production on their operation for at least three years.

The program, open to all hog producers who were in the business of hog production as of April 1, 2009, saw 420 eligible producers share $70.521 million in funding.

Over the course of four separate tenders, eligible farmers submitted bids on what they'd need to idle an agreed amount of production for 36 months.

In the fourth tender, confirmed in March, 93 successful bidders shared a total allocation of $14.2 million to fold up their hog operations.

"Residual" HFTP funds are now being used to honour bids next in line, the Canadian Pork Council said in a notice Wednesday.

The HFTP administrator has written to those producers next in line to take part in the program, informing them that they now have successful bids and they are now eligible to get HFTP payments.

The letters from the council, which operated the program on Ottawa's behalf, also required confirmation of participation by a deadline based on the date producers were notified of their eligibility.

Producers are requested to contact the HFTP administrator "as soon as possible" to confirm if they still plan to cease production and accept their payment. If not, the process "will be repeated for other producers until residual funds have been fully committed."

The pork council also noted Wednesday that the HFTP appeals committee has rendered decisions on all appeals submitted before the April 15 deadline.

The council also said it will "maintain its monitoring and audit functions to ensure compliance with the program over the coming three years."

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