Buyers of grain in the Maritimes will soon start to collect a voluntary levy from farmers on every ton of barley and wheat.
The 50-cents-per-ton levy, established by the Atlantic Grains Council, will pay for research.
"What will happen is that if you are selling to, let's say the P.E.I. Grain Elevator Corporation, they will take a cheque off of you at the point of sale. It is to be used for research in grains and oil seeds in Atlantic Canada," said council chair Allan Ling.
"As you are probably aware the federal government has continued to cut back on dollars going into research. Industry must come up with a large portion of the revenue for research, so that's why it is being done."
Ling said these kinds of levies are now in place for most commodities.
Some producers in the Maritimes will start seeing the charge in August. Producers will have to pay the levy up front, but can apply to get it back later.
Ling hopes most growers will support the need for local research.