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Tobacco and Turbines: old and new economy in Port Burwell

Delhi, 2008 The Buyout

A federal transition program, announced at the Delhi exchange, paid Ontario’s flue-cured growers to leave the industry, and the quota-and-auction system came to an end.

1 min read3 sources2008–2009Last reviewed Oct 2026

The announcement

The end was announced in Delhi. On 1 August 2008, federal Agriculture Minister Gerry Ritz came to the Delhi tobacco exchange to announce more than $300 million for Ontario’s flue-cured growers: $286 million for a Tobacco Transition Program to help them leave the industry, and $15 million for community development.1

The audit

In 2011 the Auditor General of Canada reviewed the program, putting its cost at $284 million. Its aim was for farmers to leave tobacco and not go back.2

The audit found the program’s design had been rushed, and that it lacked safeguards against recipients undermining its aims, for example by renting their land and equipment to family members or working in tobacco for them.2

The end of quota

The auction exchanges were closing too. Tillsonburg closed in 2007, and the Delhi exchange, the last of the three, closed in 2009 when quota was abolished.3

What 2009 meant

2009 did not erase tobacco from Norfolk’s fields overnight. But it ended the quota-and-auction system that had organized the industry since 1957, and with it the tobacco economy Delhi had known for generations.

Dates in this chapter

  1. 2008The buyout
  2. 2009The last auction

Sources All sources →

  1. Farmtario. “Federal government announces tobacco transition program,” 1 August 2008. WebScholarly
  2. Office of the Auditor General of Canada. “Improvements made in some support programs but problems remain,” news release, November 2011. WebInstitutional & primary
  3. Elgin County Archives. Tobacco: the Auction Exchange. WebInstitutional & primary
Last reviewed Oct 2026. Did your family take part in the transition program? We’d like to understand what it meant. Tell us. How to cite this pageDelhi Tobacco. “The Buyout.” Chapter 15. Last updated 4 October 2026. https://delhitobacco.ca/story/the-buyout/Part V · Chapter 15 of 17