Risk Management Program Sheep
Ontario's Risk Management Program (RMP) helps producers manage risks beyond their control, like fluctuating costs and market prices. RMP for livestock was designed in consultation with representatives of the cattle, hog, sheep and veal industry in Ontario. RMP for livestock works like insurance to help Ontario producers offset losses caused by fluctuating commodity prices and production costs. Participants pay premiums based on their insured production and their chosen coverage level.
Offered by Ontario Agricorp
Amount
No fixed amount
Quick eligibility check
Who can apply
To be eligible you must:
Produce livestock in at least one eligible category in Ontario
Enrol all your eligible production within a livestock category
Pay premium
Have a premises identification number
Have a farm business registration number (or an exemption)
Be able to demonstrate ownership
Be able to demonstrate ownership
For program purposes, ownership means the right of possession of a commodity and their associated risks. Agricorp considers legal ownership, price risk (such as fluctuating market prices or input costs) and production risk (such as mortality or health of the animal) in determining eligibility.
To determine whether you are eligible to enrol your livestock, Agricorp will ask for additional details about your business, including any custom feeding or private financing agreements you may have.
Custom feeding: There are many different types of custom feeding agreements. If you pay another person (e.g. price per pound of weight gain) to feed and house your livestock, Agricorp will need to confirm that you retain exposure to production and price risk before confirming that you are eligible to enrol the livestock.
Private financing: If another person receives legal title of your livestock as collateral for a loan or investment, and you compensate that person through pre-negotiated interest charges, commissions, or fees, you may have the price and production risk. Be sure to disclose the details of your agreement so that Agricorp can determine which person is eligible to enrol the livestock.
To remain eligible for RMP, pay your premium and submit your livestock sales reports by the program deadlines. Even if you had no sales during a reporting period, you must contact Agricorp and report zero sales. Failure to pay your premium or submit a sales report may result in the cancellation of your coverage.
Eligible lambs
Eligible lambs must:
Be sold during the program year
Be produced and owned by you in Ontario for a minimum of 30 days
Weigh 30 to 126 pounds (live weight) at time of sale
Be less than one year of age
Not be pregnant*
- Lambs may be sold for future breeding purposes and still be eligible for program coverage.
Starting in 2021, sheep producers can request payment for any lambs they plan to keep for breeding purposes that weigh at least 85 lbs.
About the funding
Ontario's Risk Management Program (RMP) helps producers manage risks beyond their control, like fluctuating costs and market prices. RMP for livestock was designed in consultation with representatives of the cattle, hog, sheep and veal industry in Ontario. RMP for livestock works like insurance to help Ontario producers offset losses caused by fluctuating commodity prices and production costs. Participants pay premiums based on their insured production and their chosen coverage level.
RMP is jointly funded by the Ontario government and producer premiums.
Payment rates are based on the difference between the support level and the average market price for the payment calculation period. The support level is based on the target price multiplied by your chosen coverage level (80%, 90%, 95% or 100%). Premium = premium rate x total eligible weight gain for enrolled lambs; the minimum annual premium is $25. Premiums can be paid in full or semi-annually upon receipt of invoice.
Similar programs
| Program | Type | Amount | Status |
|---|---|---|---|
| Beef Cattle Financial Protection Program | Insurance | A dealer making a claim in respect of a producer would be eligible to receive 95% of the claim the Board finds valid, with no payout for valid claims of $5K or less and a ceiling of $320K | Open |
| Grain Financial Protection Program | Insurance | No fixed amount | Open |
| AAFC AgriInsurance | Insurance | No fixed amount | Open |
| EDC Performance Security Insurance | Insurance | 100% unconditional, irrevocable, AAA-rated guarantee to your financial institution on letters of guarantee and standby letters of credit | Open |
