Hon. Donald M. Fleming (Minister of Finance):
As a result of the unavoidable absence of my colleague the Minister of Agriculture, may I on his behalf make a short statement which follows negotiations he and I have had with representatives of the sugar refining company involved and the Ontario government.
The agricultural stabilization board has been authorized to support the price of sugar beets for the year 1961. This will stabilize the returns to sugar beet growers in the sugar beet growing areas, namely in Quebec, Ontario, Manitoba and Alberta. Sugar beets for 1961 will be supported on the basis of $13.18, national average price per ton for beets yielding 16 per cent sugar, which is 102 per cent of the 10-year national average price. The prescribed national support price of $13.18 per ton for sugar beets yielding 16 per cent sugar is equivalent to the national average support price in 1960 of $14.23 per ton for sugar beets yielding 17 per cent sugar.
As a result, the support price arrangements for producers in Quebec, Manitoba and Alberta will remain unchanged from last year, and any deficiency payments will be equal to the difference between the prescribed price of $13.18 per ton of sugar beets and the national average price per ton received by producers.
In view of difficulties facing the Ontario sugar beet industry in 1961, a special arrangement, for one year only will apply to sugar beets grown in that province. The Ontario growers have represented to the governments that a return of $13 per ton was
essential to meet their requirements. The processing company has undertaken to raise its purchase price by 50 cents a ton above the original offer. The province of Ontario will make a contribution, equal to 50 cents per ton, toward deficiency payments, payable in that province. Through the co-operation of the company and the province, Ontario growers will be assured of a market at a satisfactory return.
Subtopic: SUGAR BEETS-ANNOUNCEMENT OF SUPPORT PRICE