Province raises food subsidy in Churchill

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This article was published 18/07/2017 (3015 days ago), so information in it may no longer be current.

The province is increasing the Affordable Food in Remote Manitoba (AFFIRM) retail subsidy rate to $1.60 per kilogram for milk, infant formula and fresh fruit and vegetables in Churchill.

The new rate is up from $1.20 per kilogram, and will slash $7 off the price of a four-litre jug of milk in Churchill.

“With the interruption in rail services to Churchill, food costs are increasing as food now has to be flown into the community,” Health, Seniors and Active Living Minister Kelvin Goertzen said Tuesday.

“Food prices have tripled and governments are paying for food subsidies to partially offset these costs.”–Churchill Mayor Mike Spence

“This increase in the AFFIRM subsidy will help reduce the cost of food in the community and, in particular, support more affordable access to healthy foods.”

AFFIRM was launched in Churchill in October 2015 with a subsidy rate of $1.20 per kg. The new subsidy rate of $1.60 per kg is the highest rate offered to Manitoba communities in both the AFFIRM and Nutrition North Canada (NNC) program, provincial officials said.

Despite the announcement, Churchill Mayor Mike Spence repeated what he’s been saying for weeks — the priority is getting the rail line fixed.

“As a result of this inaction, re-supply bills continue to mount in Churchill. It is estimated that propane shipping and storage costs alone could be over $4.5 million, while major infrastructure projects that are already underway are facing millions in additional costs that government will be forced to pay,” Spence said. “Food prices have tripled and governments are paying for food subsidies to partially offset these costs.

“As the bills add up, Northern Manitobans can’t wait any longer,” concluded Spence. “The sooner governments take action the sooner re-supply costs go away and our community can start to rebuild from this emergency.”

New Democrat MLA Tom Lindsey gave Goertzen some infrequent praise Tuesday: “It’s a good stop-gap measure,” he said from Flin Flon.

“It’s still going to leave them paying more individually. It won’t be back where it was. The answer is to get the rail line up and running.”

The program reduces the price of milk, infant formula, fresh vegetables and fruit in eligible remote northern communities through a subsidy to participating stores, Goertzen noted in a news release. Each store is required to pass on the full subsidy to the customer by reducing sale prices of eligible foods. The amount of the subsidy is shown both in the store and on the customer receipt.

Eligibility for AFFIRM is determined by the provincial government, targeting northern Manitoba communities not directly served by an all-weather road and do not receive the full subsidy through the federal NNC program.

The NNC provides a subsidy to several other northern Manitoba communities and has worked with Manitoba to ensure a broader range of items, not including AFFIRM items, will be subsidized in Churchill at the $1.60 per kg rate during the rail disruption.

“We know that families in Churchill have been facing a difficult challenge and we are pleased to work with the federal government to support the community,” said Goertzen. “This increased subsidy will help address some of the increased costs and provide support to area residents as this situation continues to evolve.”

nick.martin@freepress.mb.ca