Award-winning Agriculture Director Alice McFarlane discusses COVID-19's effects on the ag industry (Aaron Schulze/northeastNOW Staff)

By Cam Lee

Ag Industry on COVID-19

Agriculture Director weighs in on COVID-19 and the ag sector

Mar 28, 2020 | 8:00 AM

The agriculture sector has had to deal with a number of developments and changes as the COVID-19 situation has evolved over the last month or so.

farmnewsNOW Agriculture Director Alice McFarlane is outlining the many effects COVID-19 has had on the sector, and the adjustments they have made to ensure a safe, steady supply of goods to the market, and to grocery stores as well.

McFarlane told northeastNOW the immediate impacts of COVID-19 on the ag sector was the selloff on the stock market, and how the grain, oilseed, and livestock sectors were hit hard by the market price drops.

“I think we’re seeing some improvement now, especially on the beef side, but we’ve got a long way to come back to get close to where we started before this all began,” McFarlane said.

The federal government has made several announcements regarding assistance for the ag sector, and for farmers. McFarlane said the major announcements included Farm Credit Canada increasing lending capabilities, and some changes to the advance payments program.

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“The overall response from farm groups was ‘thank you, this is going to help.’ A lot of response from farmers is ‘I really am reluctant to take out another loan, I’m concerned about borrowing more money,” McFarlane said.

Spring seeding is approaching, and McFarlane said the indication from ag retailers is that they are not concerned about supplies. They believe product will continue to move, and because agriculture was deemed an essential service when they closed the border, ag products will continue to move across the border.

“One bright spot is the price of diesel has come down, so when they get in the field and get those tractors and trucks rolling that is certainly going to help to a certain degree,” McFarlane said.

She said over the last couple of weeks, she has seen the ag sector establish health protocols, whether it’s a fertilizer dealer, fuel hauler, or a canola crushing plant.

“They want their employees to be healthy and to stay healthy so these sectors can continue to function and produce,” McFarlane said.

You don’t want your entire plant to shut down for 14 days because someone’s been exposed to COVID-19, McFarlane explained.

Grocery stores have been one of the busiest places during the pandemic, and McFarlane said baking aisles have been looking sparse, in part as parents look to keep their children occupied. As a result, there has been a huge demand for flour.

“Grain Millers in Yorkton announced that they’re hiring more staff. They’re the only facility in that group, Grain Millers network, that has the ability to increase capacity, so they’re trying to get more of their products on shelves as well.”

McFarlane said the COVID-19 has been an eye-opening experience for a lot of people who are otherwise indifferent to the ag sector. Retail demand for food is high right now, McFarlane said, and it’s important that these products make it to the store shelves.

The beef sector has talked about how important it is to keep farmers and feedlot operators healthy, to ensure beef is produced, packaged, and sent to stores.

“We’re seeing a lot more people are spending time in the kitchen than they ever did before, so food is a really important part of this whole experience,” McFarlane said.

She commends the sector for taking COVID-19 seriously, and making sure the supply of food is getting to grocery stores.

“I hope when this is over, and it will be over eventually, that people will have a new-found respect for the agriculture sector.”

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cam.lee@jpbg.ca

On Twitter: @camlee1974