Percy Ellis Wright
Co-operative Commonwealth Federation (C.C.F.)
Mr. WRIGHT:
The farmers of Ontario are getting a fair deal. If our income in the west were derived entirely from animal products we would not be doing any kicking to-day.
If this additional money were paid to the farmers of western Canada what would happen to it? To-day they could not spend it on cars. I believe that the largest portion of it would return, either directly or indirectly, to the government. Those farmers would use the money either to pay their debts or to buy war savings certificates or bonds. Just before I left western Canada, in one of the towns in my constituency I met the organizer for the last war loan and we were trying to organize a committee there. There were two or three farmers in town and we asked them to sit in on that committee. We asked one of them, a man who served in the last war and in the Boer war and who has a son serving in this war, if he could1 contribute to the loan. He said he had contributed to the last loan, but now his son was away, he had to hire help, and he could not see his way to contribute to this loan. "But," he said, "I will make you a promise. We have a delegation going to Ottawa in a week or two to interview the government in regard to the price of wheat. I promise you that if the government give the farmers of western Canada a dollar a bushel for their wheat next year, I will contribute to the next war loan every cent I make over the price we are getting this year." I think that is the sentiment of western Canada. The people of western Canada are willing to take their full share in the economy of this country provided they are given a chance.
I believe agriculture should receive the cost of production. There is a difference between cost of production and a parity price, but agriculture is satisfied and willing to accept to-day a parity price, and I believe that this is the very least that should be granted.
With regard to Bill No. 12, the wheat acreage reduction bill, I wish to make one or two observations. In the first place it reduces the payment made on the summer-fallow bonus from $4 to $2. What is the effect of that? Of the $30,000,000 paid out last year under the wheat acreage reduction appropriation approximately $22,000,000 was paid under the summer-fallow bonus. If you cut that in half, it means on the basis of last year that
Wheat Board Act
there will be 511,000,000 less paid next year. If the government are going to reduce that payment-and I do not object to that particularly; I think probably it is a good idea- it should be paid by way of an additional bonus on coarse grains. They should increase the payment on coarse grains to 53 an acre, and also the payment on land placed under grass. I do not disagree with the principle of these bills; the principle is good, but it is a matter of adjusting them to meet the needs of western agriculture.
The hon. member for Wood1 Mountain stated the other night that the acreage basis was the fairest basis on which to distribute bonuses. I do not altogether agree with that. There are many people from the constituency of the hon. member for Wood Mountain who have moved to the northern part of Saskatchewan into the constituency which I represent. Many of those people are living on small farms; they took up bush homesteads and have some forty or fifty acres under cultivation. The wheat acreage reduction bonus does not mean a thing to them, neither does the Prairie Farm Assistance Act, because they always grow over twelve bushels to the acre, but their acreage is small. Neither does the other bill, which provides for a payment of 75 cents per acre on the cultivated acreage mean anything to them, because they have so little under cultivation. On the other hand, some of their neighbours who remained in the south of the province and to-day are renting large tracts of land are making a very fair thing out of this bonus. In fact there were two bonus cheques of over 510,000; five cheques for between $5,000 and 510,000, and 562 cheques for between $1,000 and $5,000.
Those people who have moved to the north of the province and are trying to get along now feel that they have a just complaint in that regard. They think that the acreage basis of payment is not in itself the fairest basis. They also believe that when a price is established for wheat and a delivery quota set, they should be allowed to make a minimum delivery of at least 750 to 1,000 bushels of wheat. They have to make a living; they have a small acreage; they often grow quite a few bushels per acre; but if they are allowed to deliver only ten, twelve or fifteen bushels to the acre off twenty acres, it means they have no income at all, whereas their neighbours who remained in the southern part of the province and have rented the land they left are able through this bonus to make a very fair living. Therefore I suggest to the government that some consideration should be given to those people in the northern part of the province who are farming a small
acreage, trying to make things go, to stay off relief. It is only fair.
Coming now to the Prairie Farm Assistance Act, this, I believe, is one of the best measures which the government has introduced. It seems to have been fairly satisfactory over a great deal of the province. But again we in the north have certain complaints in regard to its operation.
Just last year we in the northeastern corner of the province had a frost which deteriorated the quality of the grain from No. 1 northern to No. 4, No. 5 and feed. Many men on these small acreages with a yield of from fifteen to seventeen bushels per acre received only 37 to 40 cents a bushel for that grain, and they could not qualify for assistance under the Prairie Farm Assistance Act; while other people, who grew eight to twelve bushels per acre, came under the act, and although their wheat graded No. 1 and they received more for it than the farmer who grew from fifteen to seventeen bushels per acre, they also obtained the payments under the Prairie Farm Assistance Act. So we believe that this Prairie Farm Assistance Act needs to be amended. I believe it will only reach its full effect when we get a parity price for agricultural products. If we in western Canada were receiving $1.40 a bushel for wheat, the parity price, there is no doubt in my mind that the Prairie Farm Assistance Act could be made self-sustaining. If on the basis of that price and of an average crop in western Canada the levy were made 2 per cent instead of 1 per cent, we would obtain $8,400,000 in an average year in that fund, and when coarse grain is also taken into consideration it would amount to $10,500,000. The largest total of payments made under the act in any year was, I believe, in the neighbourhood of $11,000,000. Therefore, if we in western Canada were receiving a parity price for our grain, the Prairie Farm Assistance Act could be self-sustaining.
Again we in the northern part of the province who seldom reap any of the benefit of the act believe there should be a variation in the premium paid under that act; that in that part of the province described by the Minister of Agriculture the other day, the triangle reaching from Morden up through Saskatoon to Lloydminster, back to Calgary and the south of the province, in that area where the risk is greater the premium should be greater. True, there are certain sections of that triangle where the risk might be so great that it could not be carried by the individual farmer. To a great extent those areas were placed under cultivation during
Wheat Board Act
the period when the Dominion of Canada owned the natural resources. Many of those areas should never have been placed under cultivation, and thus the dominion as a whole is responsible for them. In those areas we feel the dominion should bear a portion of the cost. But in probably 25 per cent of Saskatchewan, 70 per cent of Alberta and 75 per cent of Manitoba, if we were receiving parity prices for our products the Prairie Farm Assistance Act could be made selfsustaining.
In conclusion, I would say we from western Canada feel that these bills can be made the basis for better conditions in western agriculture, and we are hoping that when they go to the committee we shall be allowed to amend them so as to obtain that result.
Subtopic: PROVISION FOR INCREASED RATE PER BUSHEL ON WHEAT DELIVERED BY PRODUCERS