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The Rural Voice, 2000-02, Page 49PERTH 11I* County Pork Producers NEWSLETTER Richard Yantzi, President 519-655-2766 • The Rural Voice is provided to Perth County Pork Producers by the PCPPA Shaping the future by revisiting our roots Any opinions expressed herein may not necessarily reflect the views of the Perth County Pork Producers' Association. I have been looking around for my copy of the book Men and Pork Chops for some inspiration to write this newsletter. The author Wilfred Bishop describes the events leading up to the formation and the early years of the Ontario Hog Producers Association. I have not found my copy, but I recall very clearly that there were practices of unequal payment from packers, bonuses by truckers and a general lack of trust in the industry that prompted hog farmers to organize. The concept of pooling prices and transportation costs was a big step forward in putting all producers on an equal footing. Now some 40 to 50 years later, the system has opened up to allow differentiation according to packer quality specifications, and longer term pricing and supply arrangements. These specific contracts have become the norm, especially over the past three years and there have been some obvious benefits. It seems only right that the primary producer delivers a product that meets the needs of the processor and, ultimately, the consumer. Whether we like it or not the consumer will, through food choices, continue to drive production decisions at the farm level. Long- term arrangements to supply a certain number of hogs on a formula price have also streamlined the buy -sell process. It is no longer a daily or weekly occurrence to sell most hogs. But in this evolution has fair access to the market been preserved? With the auction, fair access was almost a given. There was certainly disagreement about whether the bid price was high enough, but the hogs were all sold the same for better or for worse. Producers have made it clear over the past year that they acknowledge the need for different selling arrangements. Packers have made it clear that they will never return to buying most of their supply from a pool of hogs. What is not so clear is whether there is fair access to the current market options. It is one thing to doubt whether your buyer is paying you enough; it is downright divisive and somewhat frightening to suspect that a fellow producer has some "special deal". Mistrust has been breeding more rapidly than the winter mice in our kitchen walls (and that is saying a lot! Just as my wife!). It is time once again to make it clearly visible that production economics, not preferential access to market arrangements, are dictating the viability and survivability of Ontario hog producers. While fears have been certainly overblown, having even the hint of partiality or secrecy fosters mistrust. Ontario Pork has recently proposed new protocols and procedures for supply agreements. The intent of these changes is to bring alt selling arrangements through Ontario Pork in a similar and consistent way. This will ensure compliance with industry goals and publication to the producer body in an open and orderly fashion. Supply agreements while having no specific length, will be offered only at three-month intervals. Producers will then have more opportunity to examine the current offerings and make a choice. The protocol revision is not intended to restrict growth or stifle the entrepreneurial spirit of producer or processor. The last thing this industry needs is a regulatory straitjacket. Innovative ideas will be encouraged on an experimental basis. It is my hope that individuals will take the lead in developing new ways of valuing hogs. Value should be PERTH COUNTY PORK PRODUCERS' MEETING Wednesday, February 2, 2000 Stratford OMAFRA Conference Centre based on specific, measurable carcass characteristics. It should not bL defined by a feed label or genetic type. Individuals may have specific genetics or a feeding regime that captures value for them, but th. carcass targets should be generally universal in nature. The new protocols go further. If we are to maintain a form of regulated hog marketing in Ontario we need to be able to co-ordinate the hog supply in a fashion similar to other integrated systems in North America. As an initial step we are suggesting that production estimates be submitted quarterly to better predict numbers coming to market. Furnishing expected hog numbers goes against the grain of some producers, but the failure to do this collectively will mean that processors will do it through their own supply chains. Ontario Pork needs to take on this important function! It is my opinion that we have an opportunity as a producer organization to revitalize and re- establish our role not just as a marketer but also as a facilitator for other marketing initiatives. Laying the ground rules that ensure equitable treatment of supply chain partners is so important. I believe that in the future we will need the strength that comes from working together even more than we do now. By supporting the updated protocols, producers will be taking a positive step toward securing their future.0 — Submitted by Larry Skinner PERTH COUNTY PORK PRODUCERS' PORK PRODUCTS • Smoked Pork Chops • Fresh Pork Chops • Stuffed Loin Chops • Smoked Sausage • Smoked Cheddar Sausage • Bacon Burgers • Teriyaki Pork Steaks • Vittorio's BBO Sauce AVAILABLE FROM: Fred de Martines (Sebr.) 393-6812 Martin van Bakal (Dublin) 345-2666 Walter Bosch (Monkton) 356-9000 Ted Keller (Mitchell) 348-9836 FEBRUARY 2000 45