Canada budget provides US$73 million to beef industry

The recent Canadian government budget announced three measures to ensure Canadian cattle producers continue to have access to competitive cattle processing operations in Canada.

An additional CAD10 million (US$9.7 million) was allocated to the very successful Slaughter Improvement Programme and CAD25 million (US$24 million) was targeted to cattle processing plants that handle cattle over 30 months of age. Also, CAD40 million (US$39 million) over three years was allocated to support the development and commercialisation of innovative technologies related to the removal and use of specified risk materials to reduce handling costs and create potential revenue sources from these materials.

Canadian Meat Council President Steve Morin was very pleased with the announcement. ''In July of 2007 Canada's enhanced ruminant feed ban regulations came into effect and they put our beef processing sector at an incredible competitive disadvantage with our US competitors.''

''These regulatory requirements imposed tremendous ongoing disposal costs and loss of revenue in animal feed to our beef packing sector not faced by the American packers to the south'' said Morin.

Canada's meat industry is also pleased that the Candian government has allocated in the budget almost CAD250 million (US$244 million) to upgrade and modernise federal laboratories doing research in a wide array of fields, from health and food to natural resources. Food safety remains the number one priority for Canada's meat industry and modern laboratories with new rapid assay testing methods are essential for the long term competitiveness of this important industry.