Letter to Growers: Pulse Growers Reduce Levy Effective August 1, 2016
July 04, 2016
Saskatchewan Pulse Growers (SPG) is reducing the levy collected on pulses and soybeans grown in Saskatchewan from 1% to 0.67% for a one year period, effective at the beginning of the new crop year on August 1, 2016.
The decision to lower the levy amount was made by SPG, with approval from the Agri-Food Council. At SPG, we recognize that increased pulse acres and growing market demand has led to a record high value of production
for pulses. As a result, SPG levy revenue has exceeded the organization’s operating expenses in recent years, as levy has increased from $13 million in 2013/14 to an anticipated total of $25 million in levy revenue in
2015/16. With this in mind along with a significant accumulated reserve, we felt it was appropriate to reduce the levy to better match revenues with expenses and to keep more money in the pockets of growers.
We believe that we have the ability to continue to deliver significant value for growers while reducing the amount of levy growers pay. SPG will continue to make significant investments in research to address
production opportunities and agronomic challenges pulses face, such as our recent investment of $23 million to the pulse-breeding program at the Crop Development Centre. Investments into market development to
establish new demand for Saskatchewan pulse crops will also continue.
You may also be aware of a resolution SPG received at our Annual General Meeting in January to make the pulse levy refundable. This summer, SPG will be seeking grower input into whether the pulse levy should be
refundable or non-refundable and on the size of the levy. The SPG Board will utilize this input when examining these issues. We plan to discuss the refundability and size of levy questions at our Annual General Meeting on
January 9, 2017 in Saskatoon.
Throughout the summer Insightrix Research may contact you on SPG’s behalf, to participate in a survey on the refundability of the levy. Additionally, all growers have the opportunity to provide their input through our
website saskpulse.com on or before September 5, 2016.
Should you have any questions regarding the change in the levy amount, the survey on levy refundability, or if you are deducted 1% after the August 1, 2016 timeline, please contact SPG at 306-668-0350 or