Promoting Canadian Oats

The Scientific Research and Experimental Development (SR&ED) Program is a federal government program that encourages research and development by providing tax-based incentives.

By using levy contributions to finance research and development work that benefits Western Canada oat producers, the SODC, MOGA, and AOGC are able to participate in this program and distribute these tax-based incentives to producers.

The program gives registered oat producers access to investment tax credits (by means of cash refunds and/or reduction to taxes payable) for their levy contributions that are spent on qualifying research.

  • For 2014, Saskatchewan producers may claim 20.2% of their levy contributions as a qualifying SR&ED expenditure on their federal tax return.
  • For 2014, Manitoba producers may claim 29.5% of their levy contributions as a qualifying SR&ED expenditure on their federal tax return.
  • For 2014, Alberta producers may claim 14.5% of their levy contributions as a qualifying SR&ED expenditure on their federal tax return.

Investment tax credits may be claimed by filing form T2038(IND) for farm individuals or T2SCH31 for farm corporations.

POGA is happy to see the continued expansion of the monitoring efforts on grain transportation.  The government announced that it will continue to closely monitor grain transportation levels and lift penalties for mandatory movement at this time.  Consistent with the recommendations of the Crop Logisitics Work Group, of which POGA is a member, this change is appropriate only with the commitment to closely monitor developments.  Movement to southern corridors has not improved as much as other aspects of the system and we hope the railways will continue to make strides in this area in particular.  

You can read the Government's press release here.

Industry has heard from our customers that recent transportation challenges have resulted in negative impacts to Canada’s reputation as a reliable shipper of quality grains, oilseeds, and pulses. These negative impacts would be very detrimental if they occur again and become a regular occurrence. There is a need for the entire sector to ensure that the challenges with grain shipments do not happen again. The Order in Council (OIC), which establishes minimum grain volume shipments, is scheduled to expire on March 28, 2015, and consideration should be given to whether a renewed OIC would help prevent these negative impacts.

The grains, oilseeds, and pulse sector has seen tremendous growth over the last number of years. The size of last year’s crop was approximately 76.1 million metric tonnes (MMT). This is significantly less than the 97.1 MMT seen in the 2013-14 crop year but also significantly higher than the 21 year average of 68.2 MMT. Productivity and crop evolution will continue to boost yield , despite annual fluctuations. A renewed OIC should support a sector that continues to provide growth opportunities and contributes to the growing Canadian economy. This will demonstrate to our customers and to investors that Canada is committed to the agriculture sector’s growth and to creating an investment climate that is positive for the entire value chain.

The 17th Annual AGM and Conference for the Prairie Oat Growers was held December 4, 2014 in the scenic and beautiful Fairmont (Banff Springs) hotel in Banff, AB. With what could be considered one of the better turnouts of past conferences, the day was filled with informative speakers and engaging discussion.

To kick off the event, Dave Burdek, Assistant Deputy Minister to Agriculture provided greetings to the crowd on behalf of Alberta Agriculture and Rural Development.

The morning proved to be chalk full of information starting with Neil Blue, a market specialist with Alberta Agriculture and Rural Development speaking on oat marketing and “how to hedge the market using a variety of resources”. His presentation was informative and encompassed a great deal of marketing resources with take home points focused around the idea that price and basis remain the same, that there are ways to reduce risk using different levels of risk tolerance (i.e. diversification, flexibility, insurance, market alternatives), and that the starting point to manage risk is developing a marketing plan.

Location: Temple Gardens Mineral Spa, Moose Jaw, SK
Date: December 2-3, 2015
Phone: 1-800-718-7727

We have negotiated a rate (before taxes) of $150 per night. Please ask for the Prairie Oat Growers Association rate and reference the code 114277. Please book your rooms early as there is limited availability. Agenda will be available at a later date.