|
Friday, February 02, 2007
FOR IMMEDIATE RELEASE
MANITOBA CANOLA PRODUCERS BRING BIODIESEL TO PARLIAMENT HILL
On the first two days of the new session of Parliament this week, members of the Manitoba Canola Growers Association (MCGA) met with Manitoba MP’s to ask for their support in creating a tax environment to help build a Canadian biodiesel industry. “The biodiesel industry in Canada needs tax parity with the United States if it’s going to get off the ground” said President Brian Chorney. Chorney, who farms at East Selkirk, was in Ottawa with MCGA Directors Dale Gryba from Gilbert Plains and Ed Rempel from Starbuck to discuss with MP’s the environmental and economic benefits of biodiesel and the need for tax parity with the U.S.
“We do not want to export raw canola seed to the U.S. and import biodiesel back” says Gryba Vice-President of MCGA. “Parity with the 30 cents per litre refundable tax credit that U.S. bio-diesel receives is the only way that the value added biodiesel facilities will be built in Canada.”
“We were pleasantly surprised to see the MP’s were knowledgeable about the industry and what needs to be done” said Rempel. “Our colleagues from Saskatchewan and Alberta who were also visiting their MP’s had similar observations”.
Ethanol and biodiesel producers and users in the United States, Europe and many other countries have special tax measures in place to encourage both the production and blending of these fuels. This means the return on investment for producing biodiesel is higher in these countries than it is in Canada. Domestic biodiesel production would mean better and more stable prices for canola growers at farm gate as well as the opportunity to invest in a new industry. Canada’s governments must provide tax parity with the 30 cents per litre tax credit in the U.S. in the short term if Canada hopes to attract any significant canola biodiesel production investments.
For more information contact: Bill Ross, P.Ag
|
