Manitoba Beef Producers (MBP) is welcoming the news this week that the Hay Disaster Benefit (HDB) was activated again this year.
"On behalf of Manitoba Beef Producers, I'm really pleased that this is going to reward those producers, who do invest in Business Risk Management," said MBP President Tom Teichroeb.
He explained that there is some confusion over whether this is an additional subsidy, which it is not. All producers who are enrolled in the Select Hay Insurance and Basic Hay Insurance programs are automatically enrolled in the Hay Disaster Benefit.
"This is something that was established in 2014, so when 20 per cent of the producers who are enrolled in those two programs go below 50 per cent of the average annual production. That is when it triggers," said Teichroeb. "Last year's production was half of the average, this year's production was half of last year's, so literally we're talking about, on average a quarter of the forage production that we normally see."
For 2019, producers will receive an additional $40 for each tonne below their Select Hay or Basic Hay Insurance coverage. The estimated payout for 2019 is in excess of $5 million on approximately 1,500 claims.Click here to see more...