After the government’s announcement in the Fall Economic Statement regarding the allocation of $10 million to compensate chicken producers in addressing the challenges posed by the Canada – United States – Mexico trade agreement (CUSMA), CFC representatives have collaborated closely with government officials to propose the inclusion of these funds into the existing Poultry and Eggs On-Farm Investment Program (PEFIP) that resulted from the Comprehensive and Progressive Trans Pacific Partnership (CPTPP). It has been confirmed the CUSMA funds will be added into the ongoing PEFIP while maintaining the same eligibility criteria.
Launched in May 2021, the Poultry and Egg On-Farm Investment Program (PEFIP) initially aimed to help supply-managed poultry and egg producers adapt to market changes resulting from the implementation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
This fund responds to the current challenges faced by our producers, and helps to address today’s relevant issues, as it is aiming to support on-farm investments in increasing efficiency or productivity, improving on-farm food safety and biosecurity, improving environmental sustainability, responding to consumer preferences (improving animal welfare, adopting alternative housing systems, transitioning to organic production, etc.).
The funding amount for the program:
Eligible project expenses will typically be divided between Agriculture and Agri-Food Canada (AAFC) and the applicant (farmer), with a maximum of 70% from AAFC and a minimum of 30% from the applicant.
Under specific circumstances, AAFC may cover up to 85% of eligible project costs for young producers who were 35 years old or younger on January 1, 2021.
PEFIP funding is be distributed across sectors (chicken, turkey, eggs, and hatching eggs) and provinces based on their proportional contributions to the national quota/production. The maximum funding an applicant can receive, or their portion of the program budget, will be determined according to their share of the provincial quota/production, as indicated by their respective provincial marketing board.
The program will receive the $10 million over 8 years added into the PEFIP and every allocation tied to a license number will go up. Thus, there will be no change noticed by producers who have not yet registered or applied with the PEFIP online system (PEFIPOS), as they have not yet seen the original allocation from program launch. When they do register and log in, they will see one total funding amount that will include both CUSMA and CPTPP compensation amounts.
Producers who have an application currently in the queue that were only seeking up to their CPTPP allocation, will be contacted by the assessing officer if the project they’ve proposed is large enough to also access some/all of their CUSMA top up. The application and the requested amount can be adjusted at that time.
Producers who already have or have had a Contribution Agreement – the program’s goal is to make things as simple as possible, wherever possible. If the producer in this scenario has already had approval for a project that is large enough that it would have qualified for more funding at the time – the program’s goal is to proactively reach out to them and send them a second agreement or amendment for the additional/difference in funding, however this is not expected before spring 2024.
We want to remind all producers that it is important to register to the PEFIP and ensure the full use of the available funds by submiting an application no later than March 31, 2030.