SFSDC 16th Annual General Meeting, January 12, 2022
Jo-Anne Relf-Eckstein, Executive Director SFSDC
SFSDC’s 16th AGM was attended by 64 participants, including 24 registered growers. The virtual meeting was organized using Zoom Webinar video conferencing system, and the online polling platform, Slido, was used for voting. Sixteen registered producers voted on all motions, meeting regulatory requirements for quorum.
Following Spencer Staffen’s Report from the Chair, the SFSDC Audit Chair, David Cox, presented the financial statement audited by NeuPath Group Chartered Professional Accountants. The audit was performed following Canadian accounting standards for not-for-profit organizations (ASNPO). Vice-Chair, Ryan Bautz presented the budget for the next fiscal year. No new resolutions were brought forward by registered growers. In addition to the above reports, the 16th AGM included two market presentations informing growers of production prospects for the upcoming year and opportunities for market development. Brett Young Seeds, Doug Senko, presented the forage seed market outlook. STEP CEO Chris Dekker gave a presentation about expanding the Saskatchewan Trade and Export Partnership and expanding export markets.
The audited financial statement for the fiscal year July 01, 2020, to June 30, 2021, is posted on the SFSDC website saskforageseed.com (Governance section). Here are some of the highlights.
Assets of $225,706 were down $26,150 from the previous year, unrestricted net assets (accessible as operating funds) $202,546. Revenue fell short of expenses by $9,347, compared to $3,148 in the fiscal year ending June 30, 2020.
For the third consecutive year, the levy, our primary revenue source was above the 16-year average of $59,000. About 170 growers contributed a total of $83,023. Levy is collected on all forage seed grown in SK (except alfalfa seed) on all sales, including grower to grower sales.
SFSDC maintains the forage seed grower database and administers the levy deducted by the forage seed buyers to support the Commission’s activities.
Information about a registered producer is protected under provincial and federal law Freedom of Information and Protection of Privacy Act (FOIP) and Personal Information Protection and Electronic Documents Act (PIPEDA).
Levy refund requests of $1,041 represented 1.3% of levy collected, less than the previous years:
Refund requests:
$2,216 (or 2.5%) 2019-2020 levy
$1,491 (or 2.2%) in 2018-2019 levy
$4,096 (or 5.5%) in 2017-2018 levy
Thank you! to the growers who chose to leave their levy with SFSDC. Call Jo-Anne at the office 306-341-1347 if you have concerns about where your levy is spent.
Top crops Red clover ranked #1 based on the value of deliveries ($2.3 M or 21% total deliveries), timothy #2 ($1.7 M or 16%), annual ryegrass #3 ($1.5 M or 14%) alsike clover #4 (1.0 M or 10%), slender wheatgrass #5 ($1.0 M or 9%). Down from previous years, perennial ryegrass deliveries dropped to #6 in the ranking ($ 655 K, or 6%).
Organic production SFSDC has gathered information regarding production methods (organic or conventional) for the last two years. Organic forage seed production and the number of registered producers continue to increase. In 2019-2020, eight organic producers delivered 62,790 kg with a farm gate value of $218 K. In 2020-2021,18 registered producers delivered slightly over 220,000 kg organic forage seed for a value of $654 K and a levy contribution representing about 6% of total levy remittance. The main organic crop kinds were red clover and sweet clover, comprising 92% and 28% value of organic forage seed deliveries, respectively.
As a general rule, the research we support with levy dollars is related to crop kind and deliveries. While funding opportunities remain limited, many of our grant applications have been supported and accounted for 36% of revenue, up from 14% from the previous year. Our grants originate from the Ministry of Agriculture through the ADOPT program to demonstrate technologies available in the marketplace and the Industry Organization Development Program (IODP). Due to Covid-19 and poor growing conditions in 2021, grant funding received from the ADOPT program has been deferred, and project timelines were amended to 2022 project start dates. SFSDC is working with SaskOrganics to select projects of mutual benefit for growers.
What do we do with the levy?
The SFSDC continues to spend most of its funds in support of research (see Figure 1).
The cost of basic and applied research projects in 2020-2021 fiscal year was $96,494 (or 66% of expenditures). The expense does not include the generous industry support as an in-kind contribution of seed sources for planting the trial sites, pesticides and technical support. Research expenses are itemized in Schedule 1 of the audited financial statement. Specific projects are discussed in the 2020-2021 Annual Report; see the Executive Director section, the report is posted on the website, saskforageseed.com. This past year, office and management services (including levy administration and bookkeeping) expenses were $23,721 (or 16% total). Communications to growers (magazine and newsletter) and the new website and email system accounted for 8.4% of expenses (or $12,191).
We aim to make our levy dollars have a big impact. In fiscal year-end 2020, for the $82,500 invested in Ag Development Fund (ADF) projects, our research projects have been co-funded to a value of $4.295 M. Every levy dollar was used to co-fund $52 in research projects. The ADF projects improve our knowledge of forage seed production and demand while also contributing to the training of students. Two new projects for 2022 were selected from the ADF intake and will be co-funded by SFSDC, SK Agriculture, and industry groups in SK, AB, and MB. The projects will start in spring 2022, and the levy contributions are included in the total research support.
The fiscal year budget, July 01, 2021, to June 30, 2022, was presented at the AGM. We forecast a reduction in levy revenue of 20%. With the growing conditions of 2021 impacting the establishment, we also recognize the potential of displaced reduced forage seed acres as growers switch acres into major commodities. While the current higher price of forage seed crops will likely compensate for the lower yields of 2021, we will prepare for the possibility of lower levy revenue into the following fiscal year.
To compensate for the reduced levy, we are aggressively pursuing grant funding. Two multi-year ADOPT projects received funding in 2020-2021, and a new application for best management practices in red clover was submitted in November 2021. We are also working with collaborators to apply for multi-crop funding opportunities, such as canola and perennial ryegrass research and Canola Council Canada funding.
ADF 20100067 Assessment of urease and nitrification inhibitors for improving nitrogen use efficiency and yield in forage seed production. SFSDC $4,000 - total project value $207,524/3-yrs. The final report is available at http://skdocs.legassembly.sk.ca/mono/240979.pdf and the 2017 Master’s thesis is available for download at https://harvest.usask.ca and search for Woodhouse, James D.
ADF 20150186 Breeding new sainfoin lines with improved forage characteristics and persistence in Saskatchewan (final report January 2020). SFSDC $5,000 - total project value $169,625/3-yrs
ADF 20170007 Integrated management approach to optimize red clover seed production in Saskatchewan (final report 2020). SFSDC $22,500 - total project value $262,800/3-yrs. Completed. 2021 Master’s thesis is available for download at https://harvest.usask.ca and search by thesis title or author, Malamura, Dan.
ADF 20180173 Enhancing seed and biomass production and drought tolerance of plains rough fescue using novel seed treatments. SFSDC $2,000 - total project value $167,503/3-yrs. In progress.
ADF 20180184 Evaluation of forage Galega (Galega orientalis) as a new forage legume in pure and grass‐ legume mixed stands. SFSDC $7,5000 - total project value $234,915/3-yrs, Final report received 2021.
ADF 20180351 Doubled haploidy methodology for the forage grasses. SFSDC $8,000, total project value $635,372/4-yrs. In progress
ADF20190197 Developing hybrid bromegrass with improved neutral detergent fibre digestibility. SFSDC $2,000 - total project value $114,060/3-yrs. In progress
ADF20190244 Development of meadow brome and cicer milkvetch varieties for stockpile. SFSDC $2,500 - total project value $371,428/4-yrs. In progress
ADF20190322 Investigating the role of copper fertility in ergot infestation of forage crops. SFSDC $2,000 -total project value $100,000/2-yrs. In progress
ADF 201200420 Identifying new diversity and developing genomic resources for bromegrass (Bromus spp.) forage crop breeding. SFSDC $10,500 - total project value $530,000/3-yrs. In progress
Projects co-funded by SFSDC and other grower organizations (not ADF) include:
Formation of Resistant Wild Oat Action Committee (RWOAC) and Action Plan. SFSDC $5,000, total project value $258,250/2-yrs. Growers, if you have resistant wild oats, please check the RWOAC website and STOP THE SPREAD. https://weedscience.ca/wild-oat-action-committee/
Identification of genetic abiotic stress tolerance in intermediate wheatgrass. SFSDC $1,500, total project value $43,000 plus in-kind support by AAFC. In progress
We plan to hold steady for our commitment to contract research, and $34K is budgeted to evaluate potential pesticides, repeating some of the trials that were not successful in 2021. Six crops were planted in 2021 for plant growth regulator trials and other yet-to-be-defined experiments in collaboration with AB and MB. Assuming some promising results, data will be aggregated for user-requested minor use label expansion (URMULE) if the results are promising.
With the increased use of websites as go-to sources for grower information, Greg Paulhus, Big Fish Media, was contracted to redesign our website. The new website saskforageseed.com was set up for easier mobile phone access for growers while significantly reducing our costs. Please visit our website, it looks good, and we are very proud of it. Print copies of the Forage Seed News and our newsletter, Prairie Seeds, continue to be sent by mail to each grower who contributed the levy.
Market development news
As a new initiative for market development, the SFSDC has become a STEP member. In conjunction with STEP and the provincial government, we will learn about trade market information based on six and 9-digit standardized trade codes for some crop kinds grown in SK. Export trade data will be mapped for the different crop kinds, followed by market opportunities and trends, market access for forage and turf seeds and policies which may influence demand. We are starting with import destinations including China, the European Union and the United States. The goal is to understand the market pull better and then plan to grow the forage seed industry to fill supply-demand gaps.
Registered growers can request a PDF copy of the AGM presentation or ask for a link to access a recording of the AGM and market outlook presentations. Please get in touch with Jo-Anne at the office 306-341-1347 or email office@saskforageseed.com.