The Rural Voice, 1998-12, Page 65PERTH if,*
County Pork Producers NEWSLETTER
What's going on here?
Any opinions expressed herein may
not necessarily reflect the views of
the Perth County Pork Producers'
Association.
As pork producers, we sure have
had the rug pulled out from under our
feet this fall. Even though lower
prices were expected, I don't think
anyone would have projected the
bottom falling right out as has
unfolded in the past month. Current
prices are the lowest since 1972, and
well below anyone's cost of
production. With marketings jumping
up by about 25,000 hogs, to 105,000
hogs within two months, and
slaughter capacity completely filled
in the province and elsewhere,
something had to give. And give it
has.
The big problem facing Ontario
pork producers now is that relief
from this crisis may not be easy to
find. Representatives from Ontario
Pork met with Ontario Ag. Minister
Noble Villeneuve on November 4 to
brief him on the seriousness of this
downturn. Ontario Pork is wary of
participating in any kind of program
which could incite a renewal of
countervailing duties from the U.S.
One idea which was discussed was a
government loan program which
would establish $1.25 as the
minimum price. If prices fell below
this level, the difference would be
loaned to the producer, interest free.
When prices rise above $1.55, the
loan would be paid back. The
program would offer some assistance
to get by this downturn, but
realistically, the only real benefit is
the saving of interest over the period
of the loan. Depending on the length
of this downturn, it could take quite a
period of time before our pork
operations could repay this loan and
once again begin to invest in our
future.
Another frustrating aspect to this
turn of events is the fact that Quebec
producers have a floor price of at
least $1.55 under their provincial
income support program, which
producers and the province's
government jointly finance. Since the
province has enough capacity to
slaughter the province's production,
they can export their hogs as pork
and thereby bypass the wrath of trade
duties, because, for the time being,
pork is not countervailable. The
Quebec industry has also had the
foresight to initiate discussions
between all sectors of the industry,
that is, between producers,
processors, marketing, government,
and even the plant workers, to
establish goals and foster co-
operation between all sectors of the
industry. The results of this co-
operation and the Quebec income
support plan have contributed to a
healthy and growing provincial pork
industry. Ontario Pork is hosting a
meeting with Ontario pork industry
representatives in the near future in
order to begin to foster the same kind
of co-operation in this province.
The federal and provincial
government have been working on
details for a new Farm Income
Disaster Relief Program. Ontario
Pork and the Canadian Pork Council
have been participating in talks,
which have taken on a new urgency
with the downturn in farm gate
prices, and now this sudden drop in
pork prices. Any program which is
being developed would be designed
to be trade neutral, and therefore, be
non-countervailable. However, any
assistance from this program, if any,
is months away, and may come too
late if our market conditions do not
improve for some time.
Talks will continue between
Ontario Pork and the provincial and
federal governments on how best to
assist producers in weathering this
downturn. In the meantime,
producers can help to bring pressure
to bear on both governments to
emphasize the seriousness of the
situation. MPP Bert Johnson's and
MP John Richardson's phone and fax
John Nyenhuis, President
519-393-6539
• The Rural Voice is provided to Perth
County Pork Producers by the PCPPA.
numbers can be found at the end of
this article. Please contact their
offices to ask for their support for any
program which may be put forward.
If necessary, county producer
associations may be asking for your
support to lobby at Queen's Park in
the near future. Please join us if this
action is required.
Even though this situation is very
serious, the world has not ended, and
we will see better days ahead. One
thing is for sure: the pork price cycle
is alive and well!
Mr. Bert Johnson — Ph. 519-272-
0660, Fax 519-272-1064
Mr. John Richardson — Ph. 519-272-
0032, Fax 519-272-1892.
Perth County Pork
Producers Association
Annual Meeting
The Perth County Pork Producers
Association annual meeting will be
held on Thursday, January 28, 1999,
in the Mitchell Community Centre.
Tickets will be available from any
county councillor. 1999 is an election
year, so if you are interested, please
allow your name to stand for
nomination. We would be pleased to
add your name to our ranks.0
Submitted by Jim Van Herk
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 BBQ Sauce
AVAILABLE FROM:
Fred de Martines (Sebr.) 393-6812
Martin van Bakel (Dublin) 345-2666
Walter Bosch (Monkton) 356-9000
Ted Keller (Mitchell) 348-9836
DECEMBER 1998 61