The Manitoba Canola Growers Association (MCGA) won’t increase checkoffs yet, but they are taking a hard look at their future balance sheets.
Financial projections presented by the MCGA to members showed expenses growing faster than revenue, even when modelled spending growth was limited to inflation.
“We’ve got investments that are shoring that up, but as costs continue to increase, the reserves at some point will be exhausted,” said MCGA executive director Delaney Ross Burtnack.
The MCGA has postponed any decision about a checkoff jump until it completes a new strategic plan.
WHY IT MATTERS: Research, advocacy and market development all has to get done, but many of the farm groups and public agencies typically responsible for that work are under pressure to tighten their belts.
The board had sought member input through a recent survey before deciding whether to adjust the $1-per-tonne levy. Survey results on a potential levy jump were split, Ross Burtnack said.
The broad-ranging survey also floated other potential ways to address the funding shortfall.
“Some members suggested exploring future collaboration, including consideration of amalgamation with (the) Manitoba Crop Alliance to assess potential efficiencies and cost savings,” Ross Burtnack said.
The Manitoba Crop Alliance represents five Manitoba crop sectors under a shared administrative structure, including wheat and barley, winter cereals, corn, flax and sunflowers. It was officially formed in 2020.
Canola joining that umbrella model would potentially reduce administrative duplication for farmers who grow multiple crops, proponents argued.
While amalgamation did surface in the survey, the near-term focus remains the levy rate, and Ross Burtnack said the organization needs more time to weigh the options.
Planning sessions are underway to form the MCGA’s new strategic plan, according to Ross Burtnack. A proposed plan, including any levy recommendations, is expected to come back to members at next year’s annual general meeting.
