Agricultural Marketing Programs Act

Marginal note:Emergency advance

• 7 (1) The advance guarantee agreement may authorize the administrator to pay, subject to any terms and conditions set out in the advance guarantee agreement, a portion of an advance as an emergency advance to an eligible producer who

  • (a) has difficulty producing the producer’s agricultural product because of unusual production conditions that are attributable to weather or natural disaster, if it is reasonable to expect that the agricultural product will be marketable; or

  • (b) experiences severe economic hardship, if the Governor in Council, on the recommendation of the Minister and the Minister of Finance, has declared — taking into account any criteria prescribed by regulation — that severe economic hardship affects a class of eligible producers to which that producer belongs and that the severe economic hardship would likely be substantially mitigated by emergency advances.

• Marginal note:Time limit for payment

  (2) When acting under paragraph (1)(b), the Governor in Council must specify the time limit — not later than the day on which the production period ends — within which the emergency advances under that paragraph must be paid.

• Marginal note:Maximum amount

  (3) The maximum amount of the emergency advance is

  • (a) in the case of an emergency advance under paragraph (1)(a), the lesser of $25,000, or the amount fixed by regulation, and 50%, or the percentage fixed by regulation, of the advance that the administrator expects to make to the producer in respect of the agricultural product on the basis of the amount of that product that is expected to be produced; or

  • (b) in the case of an emergency advance under paragraph (1)(b), the lesser of $400,000, or the amount fixed by regulation, and 100%, or the percentage fixed by regulation, of the advance referred to in paragraph (a).

• Marginal note:Provisions do not apply

  (4) Paragraph 5(3)(e) does not apply to emergency advances under paragraph (1)(a) and, unless the advance guarantee agreement specifies otherwise, the following provisions do not apply to emergency advances under paragraph (1)(b):

  • (a) paragraphs 5(3)(e) and (g);

  • (b) subsection 5(3.01);

  • (c) paragraphs 10(1)(g) and (h);

  • (d) paragraphs 10(2)(b) to (c); and

  • (e) subsection 19(3).

• Marginal note:Applicable Minister’s percentage

  (5) Unless paragraph 5(3)(g) applies under the advance guarantee agreement to emergency advances under paragraph (1)(b), the Minister’s percentage mentioned in paragraph 5(3)(i) and subsection 23(1) is 100% for an emergency advance under paragraph (1)(b) and shall not be determined by regulation.

• Marginal note:Security

  (6) The advance guarantee agreement may specify, in the place of or in addition to the security required by regulations made for the purpose of section 12, the security that the administrator is required to take for an emergency advance under paragraph (1)(b).