The Saskatchewan government has revised its Crown land grazing lease rate formula for 2025, with the changes expected to provide more transparency and cost certainty for livestock producers.
Announced Thursday, the revisions include an amended formula that uses price averaging of cattle marketed between Oct. 1 and Nov. 30 of the five preceding years, as opposed to the previous formula based on fall cattle prices from just the previous year. The government also introduced a 20% cap on annual rental rate increases. The changes mean grazing lease rates will be less vulnerable to sharp fluctuations and provide more stability to help producers budget for the coming year, said a government statement.
The changes come after the government last year consulted with livestock producers and industry associations to determine what changes to the grazing formula would provide more predictability for producers.
"We have listened to feedback from producers and, as a result, these changes will contribute to the further growth of the province's livestock sector," Agriculture Minister Daryl Harrison said. "Additionally, this new formula provides a fair and transparent pricing structure for producers and a fair return for a public asset back to Saskatchewan taxpayers."
"We have been requesting changes to the formula for a while and are pleased where the province has landed," added Saskatchewan Cattle Association Past Chair, Keith Day. "The 20% ceiling on fee increase will help producers and community pastures better plan for any possible changes to the rates."
