NEWS RELEASE

March 3, 2000                                                                                                          For Immediate Release

GOVERNMENT READY TO GIVE UP ON GRAIN TRANSPORTATION REFORM

"After years of study farmers will still not get an improved grain handling system"

Ottawa - In the House of Commons today, Garry Breitkreuz, MP for Yorkton - Melville and Official Opposition Agriculture Critic, urged the government to not give up on creating an improved grain handling system. Breitkreuz was responding to reports earlier this week that the government is not going to listen to the recommendations of two of their hand picked individuals who both agree farmers need a more commercial, competitive and accountable grain handling system.

Garry Breitkreuz delivered the following statement on March 3, 2000:

Mr. Speaker I am concerned about recent reports that the government will not implement all the recommendations of their own commissions on grain transportation. Both reports emphasized the need for a more commercial, accountable, contract driven system.

A key recommendation was to remove the Canadian Wheat Board from any involvement in grain transportation. Mr. Kroeger gave this warning to the Transportation Committee on Tuesday: I quote:

"I am worried about the proposal from the wheat board that you go to a contractual system but the wheat board would hold all the contracts. If the wheat board holds all the contracts but the parties haven't got contracts with each other, then a grain company can't call a railway to account."

I urge this government not to cherry pick pieces out of these reports to suit their political purposes, but to implement the proposed changes including moving the CWB to spout. Regulation and government control caused the problems in grain transportation today and so will not solve them.

In this time of declining farm incomes, farmers need every advantage possible. A more efficient and accountable grain transportation system would be one area that would give farmers that advantage. "It is estimated moving to a more commercial and contract driven system would save producers $300 million a year. Currently farmers assume all the risk of transporting their grain to port; there is no accountability. A contract based system with penalties and incentives would remove the farmers risk and rightfully put the responsibility on those who are transporting the grain," stated Breitkreuz.

"If this government truly wants to help producers, it will end its reign of regulation and control over grain handling. However, I am worried, once again, politics is getting in the way of helping farmers. This government would rather hang onto their control over Western farmers than do something that would provide substantial savings to producers," concluded Breitkreuz.

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For more information please call:

Yorkton: 1-800-667-6606

Ottawa: (613) 992-4394