Ahead of the growing season, the government of Prince Edward Island (P.E.I.) has announced it will provide USD4.7m to address the Island’s potato surplus, as a result of COVID-19 market conditions.

In a recent news briefing, the Minister of Agriculture and Land, Bloyce Thompson, said the province will be helping producers and processors with the cost of shipping and storing potatoes.

“This will help to ensure no product is lost, so that farmers are in good position for the 2020 growing season,” Thompson said. “It will help resolve the substantial market issues to ensure these potatoes will now be a source of safe, quality food for our food security.”

Thompson acknowledged the approximately 4,600 employees in the agricultural industry on P.E.I. He also noted the Island relies on the sector for about 7.6% of its GDP. Over the next two years, Thomspon said the department would provide up to USD8.8m in support to farmers through its business risk management program.

The province’s AgriStability program will also increase coverage for producers from 70 to 85% and will remove the reference margin limit in an effort to help the local livestock industry.

In addition, Thompson said the province is offering interim payments of up to 75%, to get funding into the hands of producers as soon as possible. Combined, he said the program and interim payments would provide USD5.6m in additional support over the next two years. He noted the deadline to register has been extended from April 30 to July 3.

The province also announced its AgriInsurance program will now offer a 10% discount on the producer’s share of insurance premiums, with the aim of saving farmers an estimated USD3.2m over the next two years.

“The funding that we are putting out today, it’ll be immediate,” he said.

Thompson added that the department was discussing with its federal counterparts to provide additional support for business risk management.

“We’re waiting for the federal government to step in, but if they don’t, we’re prepared to do it on our own.”