PEI

Farmers union worried about changes to land rules

A farmers union is concerned about changes in the rules that allow corporations to own more land on P.E.I. Corporations are now allowed to own 607 more hectares than they were before January 2015.

Changes to legislation allow corporations to own more land on Prince Edward Island

Some farmers are concerned by changes to land ownership rules in Prince Edward Island. (Andrew Vaughan/Canadian Press)

The National Farmers Union is concerned about a change to legislation that allows corporations to own more land on P.E.I.

A change to the Lands Protection Act in January 2015 allows corporations to own 607 more hectares than in the past, if they are leased out.

They knew it wasn't going to sell with the farmers outside of the corporate farmers, and that's why they were sneaky about it.- Ranald MacFarlane, NFU member

That puts the possible corporate level of ownership at 2,307 hectares, including arable, non-arable and leased land.

The union's regional co-ordinator for the Maritimes, Reg Phelan, said the NFU was not consulted when these changes were implemented almost two years ago, and they were shocked when they were informed of them by the Island Regulatory and Appeals Commission earlier this year.  

Concerns about going over the limit

"We thought it was kind of excessive ... because, I mean, the recommendations of many of the commissions that were held over the years was not to increase the limits," said Phelan. 

However, the province said NFU was part of the consultations that led to the change.

Reg Phelan, the National Farmers Union's regional co-ordinator for the Maritimes, said changes to the land ownership rules make life more difficult "for the smaller and average type of farmer." (Donna Allen/CBC)

The NFU also has concerns about whether corporations own more than the allowable limit of 2,307 hectares. It plans to ask IRAC to review how much land corporations currently own because it believes corporations are getting around rules by, for example, putting land under different names.

IRAC said it constantly keeps track of how much land corporations own and, according to its records, no corporation exceeds the limit.

Difficulties for average farmers

The NFU has had concerns for years about the increasing land acquisition by corporations, and said it has brought those concerns to the province on numerous occasions. Phelan said things will get worse if corporations are able to access even more land. 

"It makes it more difficult for the smaller and average type of farmer," he said. "I know one potato farmer in the area who was expecting to be able to increase their acreage ... and the land was bought up by someone else, who then in turn sold it to a large processor. It makes it difficult for people in their own community to hopefully have land close to them and to be able to continue farming, or, if some more of the younger people in the family wish to be involved in farming, to have that option," he said.

NFU member Ranald MacFarlane said he was upset when he learned the province had made changes to the ownership limits. 

"They knew it wasn't going to sell with the farmers outside of the corporate farmers, and that's why they were sneaky about it," said MacFarlane. 

Larger companies taking over

He said there is very little land available to buy in western P.E.I. He owns 40 hectares, but would like to expand because his children would like to farm. However he said it's difficult to get nearby land. He said it's all been bought up by corporate potato farmers. 

Phelan said the NFU feels the changes are going against the intent of the original Lands Protection Act, which was put in place 30 years ago, to stop larger companies from taking over farmland. 

The NFU has spoken with government officials from two provincial government departments. Phelan said the NFU tried to speak with Premier Wade MacLauchlan about this issue, but was told by the premier's office he wouldn't be commenting on it at this time. 

"We're not very pleased about that ... We represent probably half of the farmers on P.E.I. ... and we think they should have some responsibility to speak with us and inform us of those types of decisions that have been made," said Phelan.