Planning for a Sustainable Future: The Case of the North American Great Plains
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Policies for Sustainable Development

Harry Hill and Jill Vaisey

Introduction

The Continuum of Change

Factors Driving Change

Progress and Responses for Sustainable Development

Primary Producer Responses

Agri-Food Industry Responses

Challenges for the Future

Conclusions

Introduction

This chapter discusses issues, strategies, and approaches to sustainable development in Canada. It focuses on government roles in fostering environmentally safe economic growth, with an emphasis on the northern Great Plains region of Canada (Figure 1).

Sustainable development is more than just environmental sustainability. It requires the ability to adapt to changing circumstances. For the agriculture and agri-food sector, sustainable development requires the integration of economic, social, and environmental considerations as a key to maintaining basic living standards, protecting ecosystems, and securing a prosperous future.

Food production, processing, and distribution in Canada provide us not only with food but also with significant wealth. Although the agriculture and agri-food sector provides one of the essentials of life, it can also dramatically alter the landscape and thus the ability to meet future needs. As a result, sustainable practices within the agriculture and agri-food sector are essential ingredients of sustainable development and viable rural areas.

Figure 1. The Canadian prairie provinces

The Continuum of Change

The Canadian prairies were settled with a focus on supplying primary products for eastern (domestic) and export markets. The area has always been affected by changes in markets, consumer preferences, and technologies. Rural demographics, farm production and rural income sources, significant natural variability in climate, research and technology transfer systems and other institutions, and intergenerational transfer also have an effect on the Canadian prairies.

The government and the agricultural sector work together to address threats to a secure and sustainable agriculture. With the Crow's Nest Pass agreement of 1897, the federal government began a long relationship with western farmers that encouraged east-west rail traffic and the bulk production of grain. Other policies like acreage quotas, production-based subsidies, crop insurance, and other subsidies have buffered the producers from swings in markets and reduced production caused by droughts. Significant actions with more of an environmental focus include the creation of Dominion Experimental Farms in the 1880s to develop new farming technology and transfer this information to the farm population, the soil survey initiated in 1914 to enable rational land planning, and the establishment of the Prairie Farm Rehabilitation Administration in 1935 to help with economic security in regions affected by drought and soil drifting. Such initiatives helped producers to deal with the specific issues of the day and move to greater sustainability.

In the early years of prairie agriculture, most farms were mixed operations. The trend shifted to more grains monoculture and is now moving toward specialized farms in diversified regions. There is also significant diversification into pulses, horticulture, and vegetables. Farm income, originally coming mostly from the production and sale of bulk products, primarily for export, now includes significant off-farm income.

Research and technology transfer systems are expanding beyond traditional programs. Although work continues on developing new crop varieties and improving drought and insect resistance, researchers are also working on knowledge-based innovations. For example, there is increasing interest in technological opportunities in areas such as biotechnology, new uses (such as canola for feed or industrial oil), and uses for chemical constituents within agricultural products.

Intergenerational transfer has become more difficult as farm capital needs increase and farmers' knowledge needs expand to include new marketing choices and a new global policy environment. These problems are accentuated by youth migration to urban centers for education and employment.

Although advances have been made in the technology of sustainable farming, many rural communities have been shrinking. People have moved from rural to urban/industrial communities, driven by shifts from intensive labor production to mechanization and economies of scale. Similar labor adjustments are occurring in industrial sectors today. Some rural communities will not continue. Others need a renewed sense of leadership and entrepreneurial zeal.

Social infrastructure in the Canadian prairies originally focused on trading circles, developed along routes involving convenient traveling times of 1-2 hours. The distances have changed with the replacement of horses and buggies by trains, cars, and now airplanes. Dr. Jack Stabler from the University of Saskatchewan has shown that community survival is strongly influenced by characteristics like trading circles and manufacturing jobs (Table 1).

Change is clearly a fact of life. The ability to adapt to change is critical for sustainable development, whether the change is driven by markets, physical factors such as climate variability, or social factors.

Table 1. Summary descriptions of functional classification of prairie communities, 1961 and 1981.

Source: Stabler, J.C.; M.R. Olfert; and A. Ulrich. 1992. Prairie Rural Development in the 1990s; Adjustments, Constraints, Opportunities; p. 34. Prairie Farm Rehabilitation Administration, Regina, Saskatchewan.

Factors Driving Change

A number of issues and drivers for change have emerged since the late 1980s.

• Canada has signed several international agreements on trade (for example, the North American Free Trade Agreement and World Trade Organization agreements) and environmental issues (such as biodiversity and climate change). The agriculture and agri-food sector is striving to meet ensuing obligations while seizing any opportunities that may arise.
• Markets continue to change. A new approach that the agriculture and agri-food sector is taking is producing to meet special needs of particular clients rather than producing only one standard graded product.
• The environment and its protection continues to be an issue with the public in Canada and elsewhere. Public perception, frequently coupled with limited understanding of modern agricultural and agri-food practices, is a major challenge and concern to producers, processors, retailers, and food service operators.
• Internationally, a trend toward "green" consumerism and more environmentally friendly products creates marketing issues and opportunities that the agriculture and agri-food sector must address as they compete within an increasingly integrated world economy.
• Government fiscal restraint is a reality, resulting in a rebalancing of expenditures away from income support and subsidies (Table 2). The agriculture and agri-food sector is looking for innovative ways to ensure economic viability and continued environmental sustainability. Increasing interest in value-added processing, nontraditional agricultural activities such as agroforestry and aquaculture, and industrial uses for traditional agricultural products provide challenges to the sector and government in facilitating adaptation and adjustment.

Table 2. Agriculture and Agri-Food Canada resource summary (in millions).

• Agricultural support mechanisms are changing. The removal of the Western Grain Transportation subsidy, which evolved from the Crow's Nest Pass agreement, will cause significant changes in many parts of western Canada (Figure 2). Although it is expected that the removal of the incentive to produce export grains will be positive in the long term, farmers will have to make significant adjustments in the short term to maintain their economic viability.

• Figure 2. Western grain transportation support

Greater integration among the primary production, processing, and retail components within the agriculture and agri-food sector makes it important that all components work together to meet the challenges of sustainable development. Agriculture is also an important element of the rural economy in most of the rural prairies, requiring an integration of agricultural and rural sustainability.

Progress and Responses for Sustainable Development

Increasingly, the agriculture and agri-food sector will need help adapting and adjusting to all of the changing circumstances it faces. Any initiatives taken must be consistent with the principles of sustainable development. At Agriculture and Agri-Food Canada, existing resources are being redirected to help manage change. Some funds are being reallocated from previous transportation assistance. Other resources may be allocated for development and diversification from revitalized safety net programs. In addition, Canada's recent budget announced that some resources will be made available to meet a wide range of development needs across the nation.

Environmental sustainability is a high priority in Canada. Recognizing this, the federal and provincial governments are working with agriculture and agri-food stakeholders to develop a new environment strategy for the sector. This strategy is expected to be flexible enough to adapt to changing conditions in the future.

The federal government is looking at new approaches to encourage sustainable development and to respond to reduced fiscal capability and changing perceptions. The Task Force on Economic Instruments and Disincentives to Sound Environmental Practices has outlined some options that must be examined and tested for applicability in agriculture and agri-food. The government is also developing a framework for sustainable development.

Overall, the agriculture sector has recently made great strides in incorporating environmental considerations into management practices. Partnerships involving local organizations, agriculture and agri-food sector organizations, and government (federal, provincial, and municipal) have been essential tools in this process.

A much better understanding exists of the linkages between agriculture and issues such as wildlife, water quality, and waste management. There is increased recognition of the complexity of sustainable development issues and the need for more holistic approaches to these issues.

Primary Producer Responses

Agricultural lands are managed by individual producers. Canada has 280,000 farm enterprises covering 167.4 million acres of land. Each enterprise is managed to meet individual operator objectives. However, the mix of environmental and economic risk in managing different types of land is being more fully recognized (Figure 3). Broader environmental objectives are being incorporated into the set of agricultural production and resource management objectives.

Figure 3. Agricultural land use issues. Proportion of prairie agriculture land base (136 m. acres)

Producers have adopted practices that make economic sense while increasing their environmental sustainability (such as shelterbelts, grassed waterways, reduced tillage, and multiple-use reservoirs). The opportunities for maintaining wildlife on agricultural lands have increased as producers realize that wildlife can be accommodated within current farming practices, although this will involve a continuing challenge to manage wildlife depredation.

Some of the changes that have resulted from converging economic and environmental objectives are given below.

• Since 1989, prairie farmers have converted more than 1.2 million acres of marginal land, subject to serious soil erosion, from annual crops to more sustainable uses under forage.
• Between 1981 and 1991, the implementation of soil conservation practices in Canada reduced soil losses due to water erosion by 11%.
• The amount of land in summer fallow, a common practice in the prairie provinces (and one that can contribute to erosion), has declined 27% since 1971.
• Energy inputs for corn and soybean production have decreased by 38% and 45%, respectively, from levels used in 1975.
• Annual crop production has shifted as producers strive to maintain their farms and livelihoods. Market demands have led to a substantial increase in canola acres relative to wheat acres over the last few years (Figure 4). Many people are also exploring opportunities for niche crops such as herbs and spices.

Figure 4. Estimated value of production for Canadian wheat and oilseeds

Agri-Food Industry Responses

The agri-food sector is developing codes of practice that they feel will provide them with a competitive advantage while also demonstrating good stewardship. Alternative uses for waste products are being identified and developed, providing economic return from products that were once seen as environmental burdens.

Some specific examples of adjustments in agri-food industries follow.

• Since 1989, new packaging systems and recycling have reduced the number of discarded pesticide containers by 11 million.
• The agri-food industry is participating in the National Packaging Protocol, which by 1992 had reduced packaging waste by 20%, and is working toward a target of 50% of 1988 levels by December 2000.

Producers and processors are trying to use natural advantages for their enterprises. For example, there is considerable interest in pork development in the prairie provinces. A consultant report on the industry in Saskatchewan made specific references to the environmental advantages for pork production in the province, including a coordinated environmental licensing system. One characteristic of the northern Great Plains is an extensive land base with a low population density, which can be advantageous for livestock production and management.

Although actions are frequently local, as when entrepreneurs use natural advantages, sustainable development is a global issue. Some resource uses have cross-border impacts. International agreements and international perceptions have the potential to affect business decisions. In the context of agriculture, usages of inputs such as pesticides and energy are often cited as indicators of sustainability. In both cases, use is lower in both Canada and the United States than in other developed countries (Figures 5 and 6).

Figure 5. Pesticide use

Figure 6. Apparent energy use for primary agriculture

Governments and industry are both changing. Producers and processors are "owning" their future. They have become driving forces behind changes in the governments' approach, and they are developing industry codes of practice. Individual producers are trying a variety of diversification and industry specific marketing strategies. Agriculture and Agri-Food Canada is working to develop initiatives involving subjects such as ethanol projects, aquifer planning, greenhouses, agroforestry, and exotic livestock. The agri-food sector has a strong interest in broad-based crop diversification. Removal of impediments is another area of interest, with suggested approaches including streamlining regulations, developing infrastructure (including local water supplies), and participating in and assisting with specific strategic planning for adaptation.

There is increased recognition that action occurs at the local level, and it must be locally driven and supported to be effective. Government's role is to provide the appropriate framework for effective local responses and remove constraints to initiatives. Local leadership is especially important for effective implementation of environmental and adaptation policies.

Challenges for the Future

It is becoming evident that increased funds have not totally solved the problems of income variability and farm survival. Further, the public is firmly opposed to solving today's problems with more taxes. Income support has dominated expenditures by the Canadian Department of Agriculture and Agri-Food. It is important to help adapt to a new market-led industry by supporting the sector with research, infrastructure, and financing.

Key issues for sustainable development fall into three broad categories:

• Resource based: Physical resources continue to be identified as critical to the sustainability of the sector. Land, water, air, and genetic resources are essential. Land must be managed for sustainable production; the agriculture and agri-food sector must minimize its effect on water quality and reduce the competition for this resource, and it must reduce any negative impact on the atmosphere and adjust to potential climate change. Genetic resources continue to be essential to ensure long-term sustainability.
• Management: A wide range of management issues must be addressed so that the agriculture and agri-food sector can successfully adapt to changing circumstances. These issues range from ensuring sector participation in the development and implementation of applicable international agreements to pursuing opportunities for contributing to issues such as biodiversity while continuing to generate wealth. Issues such as minimizing waste and packaging and managing environmental risk from pesticides must be addressed for the future, as must issues associated with environmental liability. Opportunities associated with nontraditional agricultural activities must be managed to integrate environmental risks and benefits with wealth-generation opportunities. Finally, public interaction and communication remains a continuing challenge to ensure a balanced and proactive approach to sustainable development.
• Marketing and trade: International trade agreements provide opportunities and challenges for the sector. To meet these opportunities, the sector's full understanding and involvement is essential. Trade liberalization will also have impacts that must be managed. Other opportunities may be found in the development and marketing of new products and technologies and new uses for the sector's products.

Different approaches to environmental issues have proved successful in different circumstances. Regulatory approaches have been successful in controlling specific pesticides. Voluntary approaches, using a combination of education and awareness and incentives, have been successful in motivating local organizations to address broader environmental management and ecosystem concerns.

Citizens and industry groups have voluntarily coordinated their environmental objectives, through codes of practice and other approaches, where the benefits are clear and direct and the objectives can be integrated with economic viability requirements.

Conclusions

The Canadian federal government has a firm commitment to sustainable development. The document Creating Opportunity sets a goal "to establish a framework in which environmental and economic policy signals point the same way." For agriculture, the government has affirmed a vision for Canada's agriculture and agri-food industry of

a growing, competitive, market-oriented industry that is profitable; responds to the changing food and nonfood needs of domestic and international customers; is less dependent on government support; and contributes to the well-being of all Canadians and the quality of life in rural communities, while achieving farm financial security, environmental sustainability and a safe, high-quality food supply.

The government also has a specific goal of achieving $20 billion in agri-food exports in the year 2000, more than 20% above current levels. A comprehensive, integrated approach to sustainable development that effectively balances economic, environmental, and social objectives is essential to achieving these objectives.

People are asking and answering questions about sustainability individually and collectively. It is clear there is not just one solution; we live in a rapidly changing world. There will be shocks to the system in the future that have not yet been identified.

Are we headed for sustainability? We think so. We hope so. The challenges identified can also be seen as opportunities. Change has been part of our past and will be part of our future. We are facing and will continue to face issues that demand innovative responses from all of us. The issues continue to change; at the moment, however, some pertinent questions being addressed by rural prairie people are:

• how do we deal with the end of the transportation subsidy (individually and in policy responses)?
• how do the rural prairies develop wealth creation activities that have a natural advantage?
• how do individual producers identify and obtain markets?
• how do we balance environmental needs with financial/economic needs and social needs?

The key seems to be to maintain flexibility. If we are resilient enough to manage for the real variability in markets, climate, and social perceptions, we should be able to manage for long-term change. If we can remove rigidity from policies, and let individual citizens apply innovative responses, we should be able to continue to achieve sustainability.

About the Authors

Harry Hill retired in 1995 after serving for 18 years as director general of the Prairie Farm Rehabilitation Administration (PFRA), an agency of Agriculture Canada. Before that, he worked for Environment Canada in environmental assessment and taught at the University of Waterloo in water resources. Over the past several years he has worked in land management, soil conservation, water development, and rural development.

Jill Vaisey is manager of Strategic Planning for the Prairie Farm Rehabilitation Administration of Agriculture and Agri-Food Canada. She has general policy responsibilities for the Branch, with an emphasis on sustainable agriculture and the sustainable use and development of natural resources in the Canadian rural prairies.