HomeMy WebLinkAboutThe Huron Expositor, 1999-02-03, Page 22 -THE HURON EXPOSITOR. February 3, 1999
Other commodities are susceptible to same crisis as pork.
BY DAVE scoi' -
Lakeshore Advance Editor
Other commodities are.
susceptible to the same crisis
the pork .industry is 'now
• facing. Ontario Federation 'of
Agriculture (O.FA) president •
. Ed. Segsworth was in Huron
and Perth Counties last week •
addressing concerns of pork
producers in their recent crisis
of a falling market.
Segsworth held a • news
conference Wednesday
morning at•"the Triple A
:restaurant in Exeteralong with
OFA vice president. Ton
-Bonnett and Huron Federation
Of Agriculture (HFA) president
Pat Down.
On January" 20. 400 pork '
producers gathered at- the
South Huron Recreation
Centre to hear Ken Palen of
Kenpal Farm. Products of
Centralia. talk about pork
producers • investing . in
independent processors as:a
plan to make the pork industry
more stable and profitable:
It gives -the farmer a • say 'in
:his destiny - what's going to
take place with production,"
said Segsworth"about-the idea:
The OFA president. has.'
commented publicly .in an:.
•open- Metter to. the editor in
Ontario newspapers .that the •
association ation is not going to tell"
producers how to market their.
commodity. "Farmers know.
their industry in•detail. and
-what alternatives are -available;
•to them. The commodity
groups must decide among
themselves which approach is
• the hest. long-term interests of
their_ members.'' stated
Segsworth to the letter. Once
the.pork producers make a•
decision about what i -s hest -for
. /•
OFA vice president Ron Bonnett, Pat Down=Huron FA
president and OFA president Ed Segsworth•look over
lengthy forms for the provincial relief program.
SCOTT PHOTO
them. the OFA will stand.
behind their decision. -he says.
As well. the. OFA has been
lobbying_ for policies. relief
programs nd other assistance:
programs- from ,t -he
governmentfs)..:
"We'll see what can. he done
politically. Politicians move.
slow: in any crisis. you want to
-get things running quickly._:
WeII try -to speed them up,"
said Segsworth. -
If the producers invest in•
shares of the proccsiors. it will
"increase their business and
-increase the use of.Ontario
• pork." say-snce OFA president. .
."Why not -process it here tin
Ont.irio1!.i1:wt11 create all
kinds.of fobs and revitalize
rural Ontario." he says. •
When- asked -If the recent
crisis in the flunk industry.
might -he a.provlhcial election • •
issue, Segsworth said it might.
be. But there are long term
behalf of the producers to
make things work..
"To market the product is
foreign to some- producers.
They are excellent at what
they do - producing," says the
OFA president.
Bonnett said Ontario is at the
point the west was a couple of
years ago. "Most producers are
aware of how vulnerable they
are.'.
Down said producers are
. realizing there's strength in
numbers. Competition drives
prices down. For example.
there's 5.000 producers
• competing for one buyer.. "The.
Dutch auction system is not
working any more..There's not.
enough buyers," she said. The
HFA- president -suggested
looking at global markets.
. Bonnett ` said "careful
focussing on global markets if
you're not making any money.
Profit is not a dirty work."
"No one dreamt we would be
hit with these pig prices:" said
Down.' • •
Segsworth criticized the
provincial government for
quickly announcing $40 -
million in relief and then "they
spent time telling us' how
they're not going to hand it
out. They've announced it's
there.. Let's get it out to
farmers."- said the :OFA
president.
He' said a trial of the relief
program was tried.out using
some actual figures': from..
farmers. The forms did not
•
include a negative margin.
"It's like you're in 30 feet of
water and they only give you
20 feet of rope," said Bonnett.
.When people realize how
little they're going to: get.
that's when they are going to
scream and holler." said
Segsworth.
goals ,that go beyond the
election. "U's not a short term
solution. it's "a long term
solution - once it gets going."• •
Segsworth says • other
industries can be susceptible to
the unexpected crisis that hit
pork..like the beef industry and
grain and oil seeds. • •
Down made the. comment
that industries pjotecte.d by
quota (egg: dairy, poultry).are
safer from the .kind •of market
crash pork 'producers
experienced. •
"it's making people look at.
how commodities -are
marketed. The cattle and hog.
industry is looking at it as .a
whole. how. processing..;
distrthution,and retailing is •
being handled." said
Segsworth.: "It's in the •hands
of too .few people. • They 'want
to handle. it in - 'mega'
process." he says.
it will take some change on
"We want a disaster program
- but it has to -he effective."
said the OFA vice-president.
Bonnett doesn't see it as a
bailout, but as industry
support. -
"The government does
support other industry. It's
easy to give handouts to a few
.hig corporations quietly." said
the HFA president. '
"We think the agricultural
sector should be invested in,"
said Bonnett.
Segsworth was asked.how to
get a federal disaster plan -past
the western provinces and into
-effect. "If the disaster- is
-anywhere, that's where the
money needs to go." He said
there should he disaster relief
for what happened to pork
pr&iucers and- also for things
like drought and ice -storms.
"The feds _need to get on it.
The Ontario government did
jump on. board fast hut needed
better thought process;," said.
Bonnett..
Will young farmers hail out?
-There's concern about the
number of young pork
producers this crisis is
affecting.
"is this going to sour them.
turn them off?..Arc we going to
lose a generation of fanners?
We can't afford to lose them.
The"average age of. farmers is
55. It's sad when we're not
revitalizing -our industry.
On' the other hand. some
older pork producers have lost
.almost everything. "People
have seen their retirement fund-
go.out the window. their life -
savings- disappear in a matter
of months'." said Bonnett.
There's a.criticism that pork
producers should have-heen
putting away money for bad
times. "You can't fault a young•
person for that. They ,are
paying down their capital...
said Down.
Crisis counselling available
A hot line has been set and a
stress councillor hired to deal
with the crisis. "People are
concerned how they're going
.u) get through this and that
their equity is disappearing,"
said. Segss ortb. "it's stressful
• on a family. There isn't money, •
to put food on the table." .
Since the hot line was set up
before Christmas there's `�e •n '
around. 800 calk. •'It'
a few months iron
anger to let's sole "
doesn't happen .i,
the OFA vice presideru
"It's in the hest interest of the - -
producers. government and
consumers to support the pork
industry in. Canada." said
Segsworth. "11 could happen to .
any . industry .and any
' corrrmo diiy." •
• -New hog harns
In answer to criticism shout
all the new hog_s harns _
springing up in the past year or •
two. Segsworth said Each
industry re -tools itself. We're.
not shipping any more hogs'.~
now than -in the mid-1980s.
The new barns are replacing-: •
the old. it's like cash crops.
when the industry is strong.
you buy -a new _combine:" said
-the OFA president. "That's ..-
.Why; the consumer is still
paying. 13. Der: cent of •.his
.incoritc on rood'hecausc the..
farmer _reinvests in -the..
economy." said Bonnett. "The
consumer in ...Canada is.
spending -less of -their'
disposable' income on ftirid• •
than any other country in the
world:!' said Segsworth.'In. -
;some • European countries.
consumers pay 25 or 26 per.
cent of their income on food.
•
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