Alberta Canola Seeks Grower Support for First Service Charge Increase in 20 Years

by | Dec 19, 2024 | Canola, Industry News

Alberta Canola is urging canola growers to approve its first service charge increase in over two decades. The proposed change—from $1 per tonne to $1.75 per tonne—will be put to a vote at the organization’s Annual General Meeting on Jan. 22, 2025.

The increase is critical to addressing financial challenges and ensuring Alberta Canola can continue supporting farmers amid rising operating costs, declining production, and evolving industry pressures.

A Challenging Landscape

“Alberta Canola was built by farmers, for farmers, and that hasn’t changed in our 35 years,” says Karla Bergstrom, Executive Director of Alberta Canola. “What has changed is the world we operate within.”

Bergstrom highlights the dual challenges of reduced public research funding and increased regulatory demands. Meanwhile, consumers, increasingly removed from farming, are demanding greater transparency in food production.

With over 90% of its operating revenue coming from its service charge, Alberta Canola has faced financial headwinds in recent years. A 25% decline in canola production since its 2017 peak of 7 million tonnes has further strained revenues, leaving the organization operating at a deficit in six of the last seven years.

“To balance our budget would require cutting 20% of our total funding, which could eliminate entire program areas that growers value,” says Alberta Canola Board Chair Roger Chevraux, a farmer from Killam, Alberta. “This increase is essential to keeping Alberta Canola operational.”

Alberta Canola has actively engaged with growers through its Grower Engagement Meetings (GEMs) and communication channels. Feedback on the proposed service charge increase has been overwhelmingly positive, according to the organization.

The increased service charge would allow Alberta Canola to continue delivering value to growers through its four core areas:

  1. Research Expansion: Alberta Canola has a proven track record of leveraging grower contributions for impactful results. In 2023, the organization secured nearly $7 in industry support for every dollar invested in research. These initiatives have tackled issues like drought resilience, disease control, and productivity improvements.

    “Grower-directed research is our most direct way to help farmers meet challenges,” says Alan Hampton, Chair of the research committee. “This increase would fund more research where and when it’s needed most.”

  2. Advocacy: Alberta Canola has been instrumental in influencing policy to support farmers. Recent successes include securing a farmer designation for Class 1 truck drivers and advocating for improved land-use policies.

    “Advocating for Alberta’s canola farmers means pushing for policies that reflect the realities of farming,” says Wayne Schneider, Government and Industry Affairs Chair.

  3. Grower Engagement and Extension: Alberta Canola provides resources, workshops, and field days to ensure farmers stay informed and prepared.

    “From Blue Book to field events, we’re committed to equipping growers with the tools they need,” says Bergstrom.

  4. Consumer Awareness: Public initiatives like the “Hello Canola!” campaign connect consumers with Alberta’s canola industry, fostering trust and strengthening markets.

    “Our efforts go beyond the farm,” says Chevraux. “We’re building consumer support for Alberta-grown canola.”

Eligible producers will vote on the proposed increase at the January 22 AGM, with options to participate in person or online.

“Voting ‘yes’ is an investment in Alberta’s canola industry and in every farm family’s future,” says Chevraux. “This increase will ensure Alberta Canola continues to advocate for and support Alberta farmers in the years to come.”

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