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Government introduces new grain bill in House of Commons

Bill to build on major changes done in 2012

By Diego Flammini, Farms.com

In an effort to protect and improve grain quality, the federal government introduced the Modernization of Canada’s Grain Industry Act.

This new bill will allow the Canadian Grain Commission, the agency responsible for establishing and maintaining Canada’s grain standards, to install a fund that protects producers should a buyer fail to pay for delivery. A new license will also need to be issued for container loading facilities.

"Canadian grain farmers drive our economy and this is one of the many ways we are modernizing the sector to make it more competitive," said Federal Agriculture Minister Gerry Ritz. "This legislation will continue to modernize the organizations that support the Canadian grain sector and enhance Canada's excellent reputation around the world as a supplier of consistent, safe and high-quality grains."

The Grain Growers of Canada declined to comment on the new legislation.

These changes come only a few years after a number of changes were proposed to the Canada Grain Act, including eliminating the Grain Appeal Tribunal, and shifting “the responsibility for inspection and weighing of domestic laker shipments from the Canadian Grain Commission to the private sector.”

In 2013, Canada’s grain and oilseeds producers accounted for $23 billion in farm cash receipts.


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Funds Ditch Ag Commodities, Chase Stocks Amid an End to Middle East War, & Trade Deal Buzz

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The 12-day war between Iran-Israel came to an end sending crude oil futures plunging as the big fund speculators removed the war risk premium.

The weather risk premium in the Ag complex is sending corn, wheat and soybean futures lower on month-end selling ahead of the market moving USDA quarterly grain stocks and acreage reports on June 30th.

Instead, funds were chasing and sending tech stocks higher with the S&P 500/NASDAQ indexes setting new all-time record highs!

June 1 USDA Hogs and pigs report was slightly bearish while the U.S. $ Index traded to new contract lows as the de-dollarization that began in 2014 continues.

Feed in the form of soybean meal futures for livestock producers got cheaper, trading to new contract lows.

The Stats Canada seeded acreage update was bullish canola and wheat.