Livestock Tax Deferral regions announced for drought-affected producers

Cattle producers in massive swaths of Western Canada and northwest Ontario will qualify for Livestock Tax Deferral in 2025, the federal agriculture minister introduced on Monday.

“Canada’s new authorities is dedicated to supporting our livestock producers,” stated Minister of Agriculture and Agri-Meals Heath MacDonald in a information launch.

Livestock Tax Deferral permits producers in prescribed areas to defer a portion of their revenue from gross sales till the subsequent tax 12 months if they’re pressured to promote no less than 15 per cent of their breeding herd due to drought.

U.S. livestock: Cattle futures rise as Cattle on Feed report shows lower inventory

Cattle futures climbed again on Friday as USDA data showed a continued decline in cattle on feed. Hogs also rose.

“Buffer zones” have been added to seize producers who will not be within the prescribed zones however who could also be experiencing comparable opposed situations.

“Climate, local weather and manufacturing knowledge from throughout Canada will proceed to be monitored all through the rest of the season and areas will probably be added to the record after they meet the factors,” the federal authorities stated.

On the finish of July, 71 per cent of the nation was categorized as abnormally dry or experiencing reasonable to excessive drought in keeping with Agriculture Agri-Meals Canada knowledge.

Within the Pacific area, 91 per cent of agricultural land was categorized as abnormally dry or experiencing reasonable to excessive drought. Within the Prairie provinces, 81 per cent of the agricultural panorama was thought-about abnormally dry or in reasonable to extreme drought.