Calgary, AB - The Canadian Cattlemen’s Association (CCA) welcomes today’s news of a Western Livestock Price Insurance Program (WLPIP). The market-based risk management program will help producers in three provinces manage price and basis risk – one of the most unpredictable aspects of managing Canadian cattle farms.
The CCA has been working towards a national price and basis insurance program since Alberta launched its own program in September 2009. Under the four-year WLPIP pilot project, producers in British Columbia and Saskatchewan will also be able to access the risk management program.
CCA President Martin Unrau said like the Cattle Price Insurance Program (CPIP) in Alberta, the regional program is a solid tool to help manage price and basis risk. The program does not remove risk from the market but provides a way to help manage that risk.
“We are in the middle of a period where foreign government policy is widening the basis. We have seen media issues, food safety concerns and border closures severely impact prices and basis levels,” Unrau said. “The ability to manage that risk is important to cow calf producers, backgrounders and feeders.”
Unrau and CCA Vice President Dave Solverson were on hand for the announcement at the Canadian Bull Congress event in Camrose, Alberta. Both CCA officials are passionate advocates for cattle price insurance program and will continue to push federal and provincial governments to develop an effective and affordable national price and basis insurance program for cattle producers.
“The development of cattle price insurance has been a great example of government and industry collaboration to build a very functional program,” Solverson said. “We appreciate the federal and provincial governments working together on this innovative program for livestock producers.”
For further information, contact:
Canadian Cattlemen’s Association
403-875-3616 | firstname.lastname@example.org