Loading...
The Rural Voice, 2001-02, Page 23With Southern Ontario's high land costs and farmers' and processors' experience with segregating crops, identity preserved crops could be winning the edge in a global market By Keith Roulston Value-added, identity - preserved (IP) crops are the way of the future for southern Ontario farmers, Marty Huzevka believes. Huzevka, formerly general manager with the Ontario Bean Producers Marketing Board and now managing and marketing identity preserved crops for Hensall District Co-op, says Ontario growers with their high land values can't compete with western Canadian farmers' cheap input prices on traditional crops like white beans and with South American farmers for soybeans. They also can't compete with high U.S. farm subsidies on ordinary commodities like corn and soybeans. So, he says, producers and processors must play to their strengths, and that means value added crops like food -grade soybeans and new identity preserved corn varieties coming down the line. Ontario producers have experience in handling food -grade crops like white beans, he says and our processors have the facilities needed to segregate food -grade products. Certainly Hensall Co-op has staked its future on the trend. Huzevka says the Co-op spent $4-5 million on a new state-of-the-art facility to handle food grade soybeans for the Japanese market. "IP hasn't made our job any easier but it has allowed us to stay in business," he said. Huzevka told a joint meeting of Huron County's soybean, corn and wheat producers, January 17, that he was leaving for Japan in late January to talk to customers and bring them up to date on Hensall Co-op's IP facilities. His presentation will show buyers the lengths to which the Co- op goes to ensure there will be no cross -contamination of the product. Backing up his contention that IP is the way of the future, Huzevka showed tables of the current state of traditional Ontario crops like corn, soybeans and white beans. Already, he said, Manitoba has reached a level of white bean production that matches Ontario's at the height of the white bean boom here. While Ontario's crop has been reduced by 40 per cent, Manitoba has increased by more than the Ontario reduction. Alberta and Saskatchewan are just starting to experiment with white bean production but as an example of potential for immense market shifts, Huzevka pointed to the switch of acres from wheato pulse crops like peas, chick p4as and lentils. Saskatchewan is now the biggest influence on world prices in these commodities because they have so many acres and the market is so small, he said. A similar shift in production is happening in soybeans, Huzevka said, with Brazil and Argentina increasing production last year by four per cent and growth apparently not being affected by lower prices that are hurting producers elsewhere. "They will not go away," said Huzevka, comparing South America in soybeans to Manitoba in white beans. Meanwhile the American subsidies seem to favour land being switched from corn to soybeans this year, he predicted. Food grade soybeans offer potential for growth, Huzevka said. Soybeans contain isoflavones which research is showing can reduce heart disease and cancers of the colon, prostate and breast as well as menopausal symptoms and FEBRUARY 2001 19