It was a challenging growing season for some grain and oilseed producers in Ontario, who are now facing low market prices and rising production costs. The Risk Management Program (RMP) can help customers manage their financial risk in these situations.
RMP payments are made when the crop's market price falls below the support level. Due to low market prices in 2016, all crops triggered pre-harvest payments at one or more of the available coverage levels (see table below).
RMP customers can expect to receive their pre-harvest payments at the end of November. Post-harvest payments, if triggered, will be issued after the post-harvest pricing periods in May or June of 2017.
All pre-harvest market prices are now available in the Risk Management Program Grains and Oilseeds section of agricorp.com.
Crops and coverage levels triggering 2016 pre-harvest payments
|Corn and seed corn||✔||✔|
|Hard red winter wheat ||—||—||✔|
|Japan, adzuki and other beans||—||—||✔|
|Popping corn|| ||✔||✔|
|Soft red winter wheat||—||—||✔|
|Soft white winter wheat||—||—||✔|
|Soybeans (includes organic, tofu and natto varieties)||—||✔|
|Spring wheat||✔||✔ |
— Not available for 2016.
The importance of assessing coverage
At the beginning of each program year, customers enrolled in RMP: Grains and Oilseeds receive their renewal and select their coverage level. It is important that producers carefully review and assess their coverage to make sure it meets the needs of their business. Producers who want to discuss their coverage options can contact Agricorp in a number of convenient ways:
- Call our offices to speak to a customer care specialist
- Meet with an adjuster
- Visit us at farm shows or local farm group meetings
- Email us
- Visit our website
Producers who are having a challenging year should be sure to consider the other business risk management programs available to them:
AgriStability – Protects farm income as a whole, instead of one commodity at a time.
AgriInvest – Helps producers recover from small income shortfalls, or make investments to reduce their farm's risk.
Production Insurance – Guarantees producers a level of production in case they experience challenges beyond their control.
SDRM: Edible Horticulture – As part of RMP, helps producers mitigate general risks associated with their farm business.
RMP for livestock – Helps producers offset losses caused by low commodity prices and rising production costs. Payments for Q1 and Q2 were issued in October; Q3 payments will be made in December.