The rural farming community is under pressure. The prosperity of our rural economy is tied directly to the strength of our farms. Locally, we've witnessed first-hand that when our farmers sneeze, our small towns catch a cold. 
Challenges identified at my recent agriculture town hall meeting include Canada-US trade, competition from emerging economies, and Canada's large production capacity. Simply put, Canadian farmers produce much more than Canadian consumers can use. It's not surprising that our farmers are exporting up to 40 per cent of their crops - making them increasingly dependent on an uncertain export market. 

As my colleague Toby Barrett, MPP and PC Agriculture Critic stated at our meeting, export dependency is being threatened by increased pressure from emerging low-cost producers like Argentina and Brazil, and highly subsidized competitors like the US and the European Union. The appreciation of the Canadian dollar represents the equivalent of a 40 per cent decline in prices relative to the US market. 

Currently the Canadian agriculture sector is experiencing severely depressed financial conditions without sign of abatement. With the dramatic downturn in business, individual producers are faced with increasing debt levels, unsettling business restructuring, and costly rationalization. The result is loss of employment rippling through the entire supply chain.

As far as I'm concerned, the problems have been identified. Now we need to work toward solutions.

Some will recall the 2003 provincial election when Dalton McGuinty promised to make Agriculture a lead Ministry if he became Premier. Indeed, this could have helped Ontario's farmers and rural communities - if the promise had been kept. We've all witnessed the annual budget cuts coupled with ad hoc financial announcements. Sadly, the announcements attract considerable press coverage yet end up providing minimal support for our struggling farmers. This has to stop.

It's not all doom and gloom in Ontario's farm sector. There are bright spots.  Supply managed commodities are doing well, and aren't forced to plead with government for financial support.
Supply management works like a three-legged stool. The three legs are: effective import controls, production controls and the ability to set price. If you take out one of those legs, the stool collapses, along with those portions of our rural economy.

Every member of the PC Caucus has signed the Farmgate5 petition supporting the protection of supply management. At present, 31 government MPPs - including the Deputy Premier and the Finance Minister - have not signed the petition.

To shore up support for supply management, Mr. Barrett submitted a motion last week to the Finance Committee urging the Finance Minister to sign on and show his support - but the Liberal MPPs on the committee strangely voted it down. 

I'm looking forward to seeing results from recent federal government consultation, and farm organization recommendations for the agriculture sector. While the federal government has a pivotal role in ensuring the success of Ontario's farmers, the McGuinty government has to demonstrate more enthusiasm and co-operation to tackle the real issues before progress can be made.