Commitment is a stressful word for farmers who are subject to the unpredictability of the weather and grain markets. Forward contracts with buyers allow them to lock in a cash price long before the grain is delivered. In doing so, these agreements reduce downside price risk and uncertainty.
Perspective is everything and the high-flying bird’s-eye view provided by drones delivers plenty of it. Outfitted with state-of-the-art software augmented with artificial intelligence (AI) technology, drones are increasingly used for an impressive array of agricultural applications.
Under the latest five-year Sustainable Canadian Agricultural Policy (SCAP) framework, each province must develop its own ag insurance initiative to promote a best management practice (BMP) that produces an environmental benefit while it reduces operational risk. Farmers who employ the practice could receive a benefit through their premium calculations. In Alberta, program development falls to the Agricultural Financial Services Corporation (AFSC), which partners with the provincial and federal governments to create and deliver farm insurance products. “Every province has been given free rein to do whatever they feel is impactful in that province,” said Jesse Cole, AFSC manager of insurance products and product innovation.
Summer wildfires are commonplace in Alberta, but this year’s unusually warm, dry spring produced an especially difficult season. Fires sprung up earlier than usual and grew larger and burned longer than normal. They also encroached on farmland where they destroyed pastures and fences and depleted food and water sources for livestock as farmers scrambled to repair the damage.
In September, as the economic fallout from the 2021 drought continued to hit home on Alberta farms, Pine Lake cattle farmer Kelly Smith-Fraser stepped into the role of Agriculture Financial Services Corporation (AFSC) board chair. It has not been an easy time to lead the group: insurance needs are high across the ag sector and AFSC has been tasked with administering the $340 million joint federal–provincial AgriRecovery program through the Canada-Alberta Livestock Feed Assistance Initiative.
Following a generally cool, sometimes too wet, sometimes too dry growing season, an unhappy portion of Alberta’s 2019 grain crop was snowed under and overwintered in the field.
As part of its 2020/21 budget, the Alberta government announced a budget cut of $5.3 million to the Agriculture Financial Services Corporation (AFSC). However, the Crown corporation’s chief financial and innovation officer said farmers and agribusiness owners who rely on AFSC for loans, crop insurance and disaster assistance shouldn’t panic. The organization’s staff plan to sharpen their pencils to cut administration costs, rather than customer service.
