Sask. AgriStability program bumps up compensation rate to combat tariffs, drought

The AgriStability program is increasing compensation rates by 10 per cent for all of 2025 in response to international trade concerns and dry conditions.

Originally set at an 80 per cent compensation rate for eligible margin decline, it now reaches 90 per cent, generating larger payments for Saskatchewan producers. On top of this, the payment cap has doubled from the original $3 million to $6 million per operation.

The province's Minister of Agriculture Daryl Harrison made the announcement Monday.

"Supporting producers with immediate changes to AgriStability increases the effectiveness of the program," Harrison said.

"Reliable and effective business risk management programs help protect against large declines in producers' margins and are an important tool for a strong agricultural sector in Saskatchewan."

At a Monday press conference, Saskatchewan NDP Shadow Minister Aleana Young said that the provincial government should be focusing on fighting Chinese tariffs, which sit at 100 per cent on canola and peas.

"AgriStability is nobody's first choice, right? Farmers want their crop in the bin, they want these tariffs lifted and they want to see the value of those crops helping grow their industry."

In response to this, the government of Saskatchewan released a statement on Monday, describing the program increases as highly beneficial for the province's agriculture sector.

"The lost and reckless NDP continues to demonstrate how out of touch they are with rural Saskatchewan and working with other levels of government... [Premier Scott Moe] will continue to advocate for the removal of Chinese Tariffs, Free and Fair-Trade deals, and support for Saskatchewan industry."

The changes to the program come after a virtual meeting between federal, provincial and territorial ministers of Agriculture, including federal Minister of Agriculture and Agri-Food Heath MacDonald.

"Now is the time for unity, and we are working together to deliver for producers right across the country to make sure our programs work for them," MacDonald said.

"That is why, at our meeting last week, we agreed to make changes to AgriStability so that producers facing trade uncertainty and dry conditions have more protection."

More changes are to come in 2026, including an adjustment in feed inventory pricing for livestock producers which captures the dollar value of feed inventories destined to be used on the farm and not sold. Also in consideration for the upcoming year is recognizing feed expenses from grazing on rented pasture as an eligible expense.

Saskatchewan Stock Growers Association President Jeff Yorga thanked the Ag minister for his work with the livestock industry.

 "Including feed inventory cost and rental costs is a positive first step towards making AgriStability relevant to producers. As we deal with the effects of a decade-long drought, [business risk management] improvements are key to industry sustainability. We look forward to working for producers and advocating for further change," he said.

The margin protection AgriStability can provide is unique to each farm, and is dependent on the operation's historical reference margin.

"The permanent changes in feed accounting and cost adjustments mean the unique hurdles they face are finally being acknowledged," said Agricultural Producers Association of Saskatchewan president Bill Prybylski.

"APAS is thrilled to witness these positive developments and advises all farmers to consider what AgriStability has to offer for protecting their businesses." 

The deadline to enrol in AgriStability for the 2025 program year is extended to July 31, 2025.