CGC to Provide Full Compensation to Eligible Producers for Unpaid Deliveries to LSM Grain

Nov 14, 2024

Producers who were not paid for grain delivered to LSM Grain Ltd. will be fully compensated for their eligible claims.

In a release Thursday, the Canadian Grain Commission (CGC) - which pulled the gain dealer licence of Saskatoon-based LSM back in July - said it determined there were 9 eligible claims totalling over $395,000 for unpaid grain deliveries. Producers with eligible claims will receive 100% compensation from the company’s $2-million security, the CGC said.

However, the CGC said it also received 17 claims that could not be compensated because the deliveries fell outside of the 90-day eligibility period.

“We are pleased to provide 100% compensation to producers with eligible claims. If producers are having difficulties getting paid, we encourage them to contact us immediately and we will do everything we can to help them through our Safeguards for Grain Farmers Program,” said David Hunt, Chief Commissioner, CGC.

The CGC’s Safeguards for Grain Farmers Program regulates grain companies to mitigate the risk of payment failure to producers and to support the grain quality assurance system.

As a condition of licensing, licensed grain companies are required to tender security for outstanding grain liabilities to producers to the CGC as a bond, letter of credit, letter of guarantee, or payables insurance. If a licensed company does not meet its payment obligations, the company’s security is used to compensate eligible producers.

Video: Cheapest States to Buy Farmland in America

The United States has more than 895 million acres of farmland, which includes all rural land tied to farming operations, from highly fertile Midwest cornfields to vast grazing ranges in the West, as well as the undeveloped rural land, which is often sold as ranches, homesteads, or uncultivated lots. Nowadays investing in rural land is very lucrative even billionaires like Bill Gates, Jeff Bezos, and Warren Buffett have bought up thousands of acres of farmland across America. In contrast to investors, agricultural companies, and business moguls, some buy farmland for their own requisites, like starting a small farmstead, creating a cottage, and becoming self-resilient. In this video we have ranked the top cheapest states to buy farmland according to the per-acre land value, which is accumulated from the United States Department of Agriculture. The USDA’s per-acre land values come from an annual survey, which is cross-checked with actual sales data, appraisals, and market trends to ensure accuracy. So here are The top Cheapest States to Buy Farmland.