Ontario Agriculture

The network for agriculture in Ontario, Canada

Supply Management for Pigs

Here's a story from CFCO radio in Chatham...

Hog producers who had been hoping for a supply managed system, similar to the dairy and egg boards may be disappointed with a study out of Ridgetown. Researcher Ken McEwan says there are probably too many negatives to let the idea work. Partially that’s because Canadian farmers produce a lot more pork than the nation needs. Overall more than 60 per cent of the hogs, or pork products that originate in Canada are exported. In Ontario the figure is closer to 40 per cent but McEwan says it still means about half the industry would have to be shut down. McEwan says it would also shut a lot of processing and packaging companies that fill export demand. A third problem would be potential retaliation. McEwan says trade restrictions could be contrary to the requirements of Nafta and WTO.

http://farmradio.ca/2009/09/supply-managed-pork-likely-a-non-starter/


Do the challenges really outweigh the benefits? It's time to look harder at this rather than give up because it might be tough. ITS TOUGH NOW!!!

Views: 692

▶ Reply to This

Replies to This Discussion

Permalink Reply by Roadrunner on September 24, 2009 at 1:43pm
I think it is likely a little too late...time to do it was 40 years ago before the industry was so interconnected through out North America....
Permalink Reply by John Beardsley on September 27, 2009 at 11:09am
ken is assuming you would give up on exports and close the borders. what about setting up a northamerican sm plan. and if us won't join then try a bilateral with mexico. it could also limit pork production for export. you are absolutely right about don't give up. challenge authority. if the status quo ain't working then change it. who doesn't want less work and more money?
Permalink Reply by Wayne Black on September 27, 2009 at 1:55pm
If you merge US and CDN markets to create a SM industry it would create an economic crisis on it's own.
"China is both the world's largest producer and consumer of pork products. In 2008, China produced 46.2 million tons of pork, accounting for 45 percent of total output of world pork production.
Despite China's high self-sufficiency rate in pork production, it still imports a considerable amount of pork each year from the US, the EU and Canada, which are the three top pork exporters to China."
Exports from the US to China in the first six months of 2009 was 56,785 tons of pork (down 70% from 2008). In 2008 the US was a NET exporter of almost 2 million tons of pork. In 1994 they were a net importer.
So not only will CDN producers have to cut back - with a North American SM scheme the US producers will also have to cut back substantially. (mind you the bulk of the imports and export numbers are with Mexico and Canada - China and Russia will still suffer to a mild degree).
Tough industry to be in when productivity gains are exceeding consumption gains.

John Beardsley said:
ken is assuming you would give up on exports and close the borders. what about setting up a northamerican sm plan. and if us won't join then try a bilateral with mexico. it could also limit pork production for export. you are absolutely right about don't give up. challenge authority. if the status quo ain't working then change it. who doesn't want less work and more money?
Permalink Reply by pigsrgr8 on September 28, 2009 at 4:34am
I am glad someone took the time to have a look at this.....the current system is not working for alot of the producers who are being financially destroyed.

I like the idea of having revenue locked in with a cost of production formula.

Sure there are alot of reasons against setting a system like dairy but we need to look for new ways of doing business...the old ways are not sustainable for most Ontario pork producers.
Permalink Reply by John Beardsley on September 29, 2009 at 9:24am
it is never too late to fix something that is broken something that isn't working. all you need is someone with the balls to see it through.

pigsrgr8 said:
I am glad someone took the time to have a look at this.....the current system is not working for alot of the producers who are being financially destroyed.

I like the idea of having revenue locked in with a cost of production formula.

Sure there are alot of reasons against setting a system like dairy but we need to look for new ways of doing business...the old ways are not sustainable for most Ontario pork producers.
Permalink Reply by JoAnne Caughill on October 21, 2009 at 8:38am
Ken's report looked in Supply Management on a Canada-wide basis, which the other systems (Dairy, chicken, etc) eventually ended up being - national. I understand that they did not all start out that way - but were Provincial first. If this is true, Ontario is well-positioned for a Provincial SM system. Any comments???
Permalink Reply by pigsrgr8 on October 22, 2009 at 10:02am
Does anyone have a link to Ken M's report?
Permalink Reply by Andrew Campbell on October 23, 2009 at 3:40am
Try this...

http://www.ontariopork.on.ca/User/Docs/Research/reports/09-23-09_su...

pigsrgr8 said:
Does anyone have a link to Ken M's report?
Permalink Reply by Andrew Campbell on October 28, 2009 at 6:07am
Here is another new report from the George Morris Centre - and their thoughts on SM in beef and pork.

http://www.georgemorris.org/aspx/Public/Utils/DbFileViewerPopup.asp...

pigsrgr8 said:
Does anyone have a link to Ken M's report?
Permalink Reply by Roadrunner on October 29, 2009 at 12:38pm
Here is the GM plan summed up after they say Supply Management won't work - their suggestions will work great....lets do this......LOL


At this very difficult point in time, the Canadian beef and pork segments would be better served
by focusing on more tractable alternatives than supply management. For the reasons outlined
above, supply management currently serves as a distraction to more realistic approaches for
addressing challenges in beef and pork marketing. Proposals that involve licensing of producers
or production capacity appear to stop short of a supply management scheme. However, there is
no marketing-related reason to license if there is no intent to regulate production, and the
apparent reason to regulate production is to influence prices1. The same points that bring into
question the efficacy and practicality of implementing a supply management scheme apply, in a
more general sense, to licensing.
The beef and pork segments need to challenge themselves and pursue marketing alternatives that
leverage Canada’s natural advantages as exporters, and set aside apparently simple (but
practically difficult) solutions like supply management. This will require focus, as alternatives
will be more challenging to envision and develop than a mandated supply management scheme.
This will likely involve different relationships between producers and processors; reckoning with
a structurally stronger currency and lagging processing efficiency, and an assimilation of
Canada’s natural resource endowments, product information system, and regulatory inspection
system advantages. As it stands, the supply management debate fragments the beef and pork
segments and detracts from this focus.
1
Permalink Reply by Joe Dales on November 10, 2009 at 4:05am
Shaun Haney forwarded his audio interview with Kevin Grier from the George Morris Centre.

Here is the link so you can listen to the interview.

http://realagriculture.com/2009/11/09/should-canadian-pork-and-beef...

Here is Shaun's Opinion on the issue:

"In my opinion neither the pork or the beef business in Canada will ever become supply managed for many of the same reasons that Kevin discusses in the interview. Never mind that I don’t think you would ever get the domestic stakeholders to buy in, but the bigger obstacle is getting this sort of massive change past the WTO. Canada will be under growing pressure to absolve its dairy and chicken quotas in the future so adding to the list of supply managed industries is slim at best in today’s environment."
Permalink Reply by pigsrgr8 on November 18, 2009 at 3:30am
So supply management won't work?

What other options are out there...the news is getting worse each day.

This is a north america issue...I saw Big Sky in SK is asking for creditor protection and in the US big players like Coharie Farms and Coastal Plains have filed for bankruptcy....

▶ Reply to Discussion

RSS

Agriculture Headlines from Farms.com Canada East News - click on title for full story

Minister MacDonald’s record in the House

He spoke 54 times in the House and cast 173 votes

U.S. Winter Wheat Harvest Jumps; Spring Wheat Condition Eases

The U.S. winter wheat harvest advanced rapidly over the past week, while the condition of both the winter and spring wheat crops slipped slightly, according to Monday’s USDA crop progress report. The winter wheat harvest reached 40% complete as of Sunday, up sharply from 25% the previous week. Progress was well ahead of 18% a year earlier and the five-year average of 24%. In Kansas, the largest winter wheat-producing state, the harvest more than doubled to 58% complete from 28% a week earlier. That was also well ahead of 18% last year and the 26% average. Oklahoma was 95% harvested, compared with 73% the previous week and 61% on average. Texas advanced more modestly to 77% from 75%, while Illinois jumped to 41% from 20%. No winter wheat harvest progress was reported in either Michigan or Ohio as of Monday. Michigan was 1% harvested at the same point last year, compared with 0% on average, while Ohio was 2% complete last year versus a five-year average of 3%. National winter

Manitoba Seeding Advances Just Slightly

Manitoba seeding inched forward this past week, moving slightly closer to completion. Tuesday’s weekly crop report showed overall seeding in the province at 97% complete, up only a single point from a week earlier and behind last year and the five-year average at 100%. Precipitation was highly variable across agricultural Manitoba during the seven days ended June 21, with some areas receiving substantial rainfall while nearby locations remained almost completely dry, the report said. Somerset recorded the province’s highest weekly accumulation at 34.3 mm, while the driest locations in the Central Region, Brunkild and Bagot, received only 1 mm. In the Eastern Region, Sprague reported 26.6 mm, compared with no measurable rain at Stead. Rainfall was generally lighter in the Interlake, where Gimli received 11.8 mm and Fisher Branch just 0.3 mm. The Northwest remained the wettest part of the province overall, with Swan River recording 22.1 mm and Ste. Rose receiving 0.6 mm. In the

Agribition reports excellent 2025 show, but questions linger about capacity for 2026 event

Based on a number of statistics, the most recent Canadian Western Agribition was the best on in recent memory. During Agribition's Annual General Meeting, CEO Shaun Kindopp shared a number of highlights from the 2025 edition of the show. Among them was the international representation, as over 700 guests from 76 countries visited Agribition, including 56 Mexican cattle producers. The international delegations contributed to $280-thousand 600 in purchases of Canadian genetics. Kindopp says travelling abroad has been a focus in recent years to build those relationships. Overall attendance was 151,037 and Kindopp notes increases in attendance for other events happening at the show, including Maple Leaf Circuit Finals Rodeo which saw a total of 24,000 come through the doors. "Our Indigenous Agriculture Summit attendance was up, our rodeo attendance was up, our attendance through the gate was up, so everything measurable that had an attendance tied to it was up this year." he said, add

Interim Participation Agreement signed between CCA, ABP

Alberta Beef Producers (ABP) are staying on as a member of the Canadian Cattle Association (CCA) for now. It was announced Wednesday an Interim Participation Agreement was reached. Under the agreement, ABP will provide gap funding for the national organization from July 1st to August 31st as well as stay involved in meetings and discussions, but as a non-member under the current governance structure. President of CCA Tyler Fulton says the agreement shows talks with ABP are moving in the right direction, but there are things that still need to be addressed prior the CCA's Semi-Annual meeting in August. Fulton noted eight or nine resolutions were passed at their AGM in March to start this process. The resolutions address the structure of governance, acknowledge the need for a finance chair and committee to address the funding related issues, and better communication at all levels. He says details on the new governance structure are being worked on with assistance from provincial cat

© 2026   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service