Changeflow GovPing Agriculture & Food Safety CGC Uses Surplus to Avoid Fee Increases Until 2028
Routine Notice Added Final

CGC Uses Surplus to Avoid Fee Increases Until 2028

Favicon for www.grainscanada.gc.ca Canadian Grain Commission
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Summary

The Canadian Grain Commission announced it will continue using accumulated surplus funds to cover budget shortfalls and avoid potential fee increases until 2028, extending a previous commitment set to expire in 2027. The agency operates as a revolving fund where service fees currently do not cover operating costs. Surplus is projected to decline from $156 million in 2021 to approximately $57 million by March 31, 2028.

What changed

The Canadian Grain Commission announced an extension of its surplus draw strategy to cover operating shortfalls, postponing potential fee changes from 2027 to April 1, 2028. The CGC, which operates as a revolving fund, found after a 2024 cost and fee review that current fee levels will not cover operating costs going forward. Successive years of surplus use have reduced the available balance from $156 million in 2021 to a projected $57 million by March 31, 2028, including a $40 million operating contingency.

For grain sector stakeholders, this announcement provides temporary relief from potential fee increases for another year. The CGC has committed to implementing cost-saving measures ahead of any future fee changes and will consult with stakeholders before making updates. Producers and industry participants should monitor for these consultations and any subsequent fee proposals, as the agency's surplus position continues to decline.

What to do next

  1. Monitor for stakeholder consultation on future fee updates
  2. Track CGC announcements regarding cost-saving measures

Archived snapshot

Apr 16, 2026

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Canadian Grain Commission will use surplus to avoid new fee increases

From: Canadian Grain Commission

News release

The Canadian Grain Commission will continue to use its surplus to cover budget shortfalls and avoid potential fee increases until 2028. This decision builds on previous measures to bring down costs for the Canadian grain sector while ensuring programs and services continue to deliver results to producers and industry.

Winnipeg, Manitoba (October 27, 2025) - The Canadian Grain Commission will continue to use its surplus to cover budget shortfalls and avoid potential fee increases until 2028. This decision builds on previous measures to bring down costs for the Canadian grain sector while ensuring programs and services continue to deliver results to producers and industry.

The Canadian Grain Commission operates as a revolving fund, charging service fees to fund most of its operations.  Currently, fees are not sufficient to cover costs.

The Canadian Grain Commission previously announced that it would use surplus funds to cover expected operating shortfalls until 2027. Today’s announcement means that potential fee changes will be postponed for another year to April 1, 2028. In support of the Government’s priority to spend less on operations, the Canadian Grain Commission is also committing to find and implement cost-saving measures ahead of potential fee changes.

Quotes

“The Canadian Grain Commission is committed to being part of the success and sustainability of Canadian agriculture. We recognize the grain sector is going through a period of economic stress and want to do our part to keep costs down while ensuring we continue to deliver results to producers and industry.”

David Hunt, Chief Commissioner
Canadian Grain Commission

Quick facts

  • After completing a review of its costs and fees in 2024, the Canadian Grain Commission found that current fee levels will not cover operating costs going forward.
  • The Canadian Grain Commission has used accumulated surplus funds to manage the growing gap between lower-than-projected revenue and increasing costs since 2021.
  • Successive years of surplus draw are projected to reduce the available balance from $156 million in 2021 to approximately $57 million by March 31, 2028. This includes $40 million previously set aside as an operating contingency.
  • The Canadian Grain Commission will consult with stakeholders before making any future fee updates.

Contacts

Christianne Hacault

Acting Head of Communications

Canadian Grain Commission

204-229-0128

christianne.hacault@grainscanada.gc.ca

Canadian Grain Commission

The Canadian Grain Commission is the federal agency responsible for establishing and maintaining Canada’s grain quality standards. Its programs result in shipments of grain that consistently meet contract specifications for quality, safety and quantity. The Canadian Grain Commission regulates the grain industry to protect producers’ rights and ensure the integrity of grain transactions.

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Page details

2025-10-27

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Last updated

Classification

Agency
CGC
Published
October 27th, 2025
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor

Who this affects

Applies to
Agricultural firms Investors
Industry sector
1111 Crop Production
Activity scope
Fee administration Budget management Agricultural regulation
Geographic scope
Canada CA

Taxonomy

Primary area
Agriculture
Operational domain
Finance
Topics
Financial Services Government Contracting

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