Cost of Production Payment

The $400 million Cost of Production Payment is a direct payment to producers in 2007 to help address high production costs over the last four years.

Eligibility Criteria

• Producers of non-supply managed commodities reporting farm income for tax purposes for 2004.
• New producers of non-supply managed commodities reporting farm income for the first time in 2005 or 2006 are also eligible.

Deadline

2007-09-01

Summary

Payments

Payments will be based on an average of a producer’s net sales for the 2000 to 2004 period.

The initial payment will be based on 2.36% of net sales. For new producers, payments will be based on 2.36% of an average of 2005 and 2006 net sales.

Initial payments will begin to flow in late June 2007, with the bulk of payments completed by the end of October. If funds remain, final payments will be made in December 2007.

New Brunswick Contact(s):
See National Contact.

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National Contact(s):
General enquiries:
Public Information Request Service
Agriculture and Agri-Food Canada
Sir John Carling Building
930 Carling Avenue
Ottawa, Ontario  K1A 0C5
Telephone: 613-759-1000
Fax: 613-759-7977
Toll-free (information): 1-866-367-8506
TTY (hearing impaired): 613-759-7470
E-mail: info@agr.gc.ca or fill out the form at http://www.agr.gc.ca/index_e.php?s1=help-aide&s2;=contact
Web site: http://www.agr.gc.ca/index_e.phtml