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Ontario Offering Production Insurance to Tender Fruit Growers

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Ontario Offering Production Insurance to Tender Fruit Growers

Province Supporting Key Sector in Agri-Food Industry

Ministry of Agriculture, Food and Rural Affairs

Ontario is offering production insurance to tender fruit growers who lose their trees so they can feel confident in growing their businesses while managing risks inherent to farming. Tender fruit trees now eligible for coverage include pear, plum, sweet and sour cherry, peach and nectarine.

Tender fruit producers who buy production insurance can now claim compensation for the removal and replacement costs of trees that die as a result of specific risks covered by the plan. There is no additional cost for this new coverage. This will help Ontario tender fruit producers compete with producers in other Canadian provinces who already have access to tree loss coverage.

Production insurance is part of a suite of business risk management programs designed to help farmers manage losses due to unforeseen events beyond their control such as weather, pests and disease. Production insurance plans also encourage greater innovation, profitability and job creation in the agri-food sector.

Strengthening the agri-food industry is part of the government's economic plan to build Ontario up and deliver on its number-one priority to grow the economy and create jobs. The four-part plan includes helping more people get and create the jobs of the future by expanding access to high-quality college and university education. The plan is making the largest infrastructure investment in hospitals, schools, roads, bridges and transit in Ontario's history and is investing in a low-carbon economy driven by innovative, high-growth, export-oriented businesses. The plan is also helping working Ontarians achieve a more secure retirement.

Quick Facts

  • Apple and grape growers currently have the basic level of tender fruit coverage. New this year, all growers of grape and tree fruit growers – including tender fruit – will have the option to buy extended coverage for their trees and vines.
  • In Ontario, the tender fruit sector generates $47 million in farm gate sales annually.
  • More than 90 per cent of all Ontario tender fruit production is based in the Niagara Peninsula, with the rest coming from Norfolk County and Southwestern Ontario.
  • Almost 60 per cent of tender fruit production is currently covered by production insurance.
  • Production insurance is currently available for almost 90 commercially grown crops in Ontario, including grains, oilseeds and certain fruits and vegetables.

Additional Resources

Quotes

“Our government is pleased to give a broader range of producers the opportunity to access production insurance. This will enable producers to manage the multitude of risks they face every day. Ontario is a leader in business risk management because tools like production insurance give our farmers the protection they need to safeguard their investments, grow their farms and help to meet the Premier’s Agri-Food Growth Challenge of doubling the sector’s growth rate and creating 120,000 new jobs by 2020.”

Jeff Leal

Minister of Agriculture, Food and Rural Affairs

“Crop insurance is a crucial risk management tool for our growers. We have been working with our government partners over the past few years to analyze coverage and implement changes that make crop insurance plans more effective. This tree mortality program supports our producers and helps create a business environment that encourages sector growth.”

Phil Tregunno

Chair, Ontario Tender Fruit Growers

“This is a welcome move for Ontario tender fruit growers and we appreciate the government’s efforts. An expanded Production Insurance program supports tender fruit growers, providing them with a modern and affordable risk management tool that meets their needs. The viability of Ontario’s horticulture sector, along with the food security for its consumers, is greatly enhanced by having predictable, bankable and timely business risk management tools.”

Jason Verkaik

Chair, Ontario Fruit and Vegetable Growers’ Association

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