This planting and growing season, Ontario saw prolonged periods of both dry and wet weather. The weather variability led to a wide range of crop conditions, stressing the importance of business risk management programs.
In many parts of the province, Production Insurance was there for farmers, helping with the costs of replanting (see "Highlights of 2018 spring payments" below). Overall, reseeding payments were 25 per cent lower than the five-year provincial average; however, crops and regions that were especially affected saw significant payments.
The majority of reseeding payments went to replanting soybeans in southern Ontario and winter wheat in western Ontario. Production Insurance customers who were unable to plant received unseeded acreage benefit (USAB) payments totalling nearly $700,000.
Forage producers were also impacted by the cool, wet start to the planting season, resulting in $900,000 in payments for excess rainfall. As the season progressed, conditions became hot and dry. Payments for insufficient rainfall are expected to be higher than average, highlighting the variability that producers are faced with during the growing season.
Production Insurance and other programs, such as
AgriStability and Ontario's
Risk Management Program (RMP), are in place to give farmers some peace of mind when faced with unpredictable weather, markets and prices.
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