December 3, 2007

Pork industry in Canadian province confident of weathering hard times

The Canadian province of Manitoba expressed confidence in recovering from the cost price squeeze currently affecting the pork industry.

Canadian Pork Council (CPC) recently requested for a series of improvements to the Canadian Agricultural Income Stabilization Program to make it more responsive to the needs of pork producers.

A short-term loan programme will be established to aid producers in covering losses from low hog prices, escalating feed costs and the rising value of the Canadian dollar.

Manitoba producers are reported to be losing around US$45 to US$60 dollars per hog.

Bryan Ferris, CPC executive representative for Manitoba, said that though the situation is discouraging, producers in his province are positioned to recover when the market does turn around.

Ferris discussed the presence of a world-class packing plant in Brandon which will take on a double shift in late 2008. He also cited the purchase of Neepawa plant by Hytek which will help stabilize the plant.

The executive representative is confident that Manitoba is in a better position to surpass the current crisis afflicting the pork industry, compared to other Canadian provinces.