Federal and Provincial Governments Continue to Support Tree Fruit and Grape Growers in Ontario

"The Government of Canada is delivering real action for tree fruit and grape growers as they adapt to new market realities," said MP Allison. "Funding announced today will help growers begin to transition to more profitable and viable crops, so they can compete in the global marketplace."

"The Ontario government has provided significant support to provincial tree fruit and grape producers," said MPP Bradley. "Helping growers find new, more marketable products will strengthen Ontario's economy. I thank the federal government for coming to the table with these new funds which complement the investments that Ontario has made."

Today's announcement of up to $22.3 million will provide for the removal of fruit trees and vines and the development of strategic commodity plans. Plant removal is the first step towards renewing orchards or vineyards with new varieties or other crops. The strategic planning component is aimed at assisting industry to plan for the future and be in a position to take advantage of new opportunities. Both the federal and provincial governments anticipate working closely with the tree fruit and grape sectors to develop a long-term vision for their industries and help growers make decisions as they move forward, identifying new markets and new directions.

The Ontario government has committed support for a wide range of initiatives for tree fruit and grape producers, and their industries, in recent years, including:

- $3.8 million in June 2007 for juice grape stock removal to mitigate potential plant health risks under the Ontario Juice Grape Transition Program; and

- $30 million in December 2007 in direct income support for horticulture producers under the Ontario Cattle, Hog and Horticulture Payment.

Agriculture and Agri-Food Canada and the Ontario Ministry of Agriculture, Food and Rural Affairs are working out the details of the initiatives announced today. Full details of the federal-provincial orchards and vineyards transition programming are expected soon.

Implementing changes to an orchard or vineyard is very costly because of the time it takes for trees and vines to mature and provide a good return on investment. The funding being provided to these industries is aimed at helping growers with some of the costs associated with implementing the changes they need to make to remain competitive. Farmers who participate in this program will have to commit to keeping the land available to agriculture for a specified period of time.

In November 2007, the Government of Canada announced $45.6 million in new funding to eradicate Plum Pox Virus, a serious plant disease affecting tender fruit including peaches, plums, nectarines, and apricots. The additional funding will continue a high level of detection and surveillance of the disease and provide financial assistance to affected producers.

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