Times Advocate, 1999-09-01, Page 19Wednesday,September 1, 1999
Community
Competition lost in food system
Dr. Bill Heffernan says mergers and partnerships have
eliminated competition in the food sector giving
farmers and consumers with fewer choices.
By Kate Monk
TIMES -ADVOCATE STAFF
EXETER A few,
transnational companies
are controlling the
world's food supply and
their control. -could ulti-
mately threaten political.
democracy.
That was the ',yarning'
Dr. Bill Heffernan gave an
audience Aug. 24 at the
S _ nth tion
Heileman presented
statistics from the United •
States food system and
said the Canadian system
is nearly identical. In the. --
U.S., four Companies con-
trol 49 per cent of broiler
poultry production, 79
per. cent of beef slaughter,
59 per cent of pork
slaughter and 42_ per cent
of turkey production.
He said the story ,is the
same in grain processing.
"When four firms have
40 per cent of the market,
you no longer have com-
petition," Heffernan
explained. If economic
democracy is lost, a coun-
try can aLs lose political
democracy because the
POLICE BRIEFS
Tools
stolen
TUCKERSMITH TWP.
-- Tools and other equip-
ment worth about $3,000
were stolen from a
Tuckersmith Conc. 4 shed
sometime between 10:30
p.m. -7 a.m. overnight
Aug. 29.
Thieves gained entry by
forcing a side door open.
Once inside the thieves
stole three Stihl chain -
saws, a 9" Black &
p. Decker electric grinder, a
3/4" Craftman's. socket
set, a 14" Hitachi cut off
saw plus other items.
Anyone with informa-
tion on this crime is
asked to call the Huron
OPP at (519) 524-8314 or
Crime Stoppers at 1-800-
222-8477 (TIPS).
large companies influence
politicians.
The monopoly has led to
big profits for the compa-
nies in control. Only the
pharmaceutical industry
makes bigger profits than
the food industry,
Heffernan said.
"You're in one of the
best industries for making
money. You're Just in the
wrong (end) of it," he told
the audience of mostly
farmers.
Heffernan said the
strength of multi -nation-
als lies in diversification
-- producing many prod-
ucts and operating in sev-
eral countries -- but
these companies encour-
age farmers to specialize
rather than diversify.
Specialization makes
farmers completely
dependant on input com-
panies and processors.
, Globalizing allows a
company to sell products
at below cost at a loss in
one country until the
competition is 'driven out,
Heffernan said. •
Biotechnology will have
an impact on competition:
because only six compa-
nies have gene technolo-
gy., Heffernan said.
Private enterprise has
convinced the govern-
ment to allow them to
patent the technology in
order to quickly develop
the technology.
"Who needed (biotech-
nology) that fast?" he
asked.
Instead, Heffernan said
biotechnology should
have been kept in the
public sector and debated
in a public forum until the
implications are fully
understood.
Heffernan doesn't buy
the argument that
biotechnology can be jus-
tified by the need to feed
the world's population
because farmers in poor
countries won't be able to
afford the seed and nec-
essary crop inputs.
Heffernan sees the food
sector becoming like
other sectors such as
manufacturing where the
bottom line rules decision
making. But he believes
food) ;too essential to be
left In ;the hands of a few
private corporations.
Heffernan presented a
few solutions for farmers
to break out of the system
but admitted there isn't
much medium and large
scale farmers can do to
sever their dependence
on the transnationals.
"Many will not be able
to fit into niches," he
admitted.
Heffernan said the solu-
tion lies in connecting
farmers more directly to
consumers.
Farmers should make
food production "more
than just a farm and rural
issue. Make is an urban
issue," he advised.
He also recommended
producers establish a sys-
tem that capitalizes on
the weaknesses of the
transnationals.
He suggested the system
should not take a lot of
capital investment and
should focus on niche
markets rather than mass
production which the
transnationals can do
cheaply.
"You want a system
where the consumer
trusts the farmer," he
said. "You can't have that
when you have many
clients."
Heffernan also encour-
aged farmers to be
involved in the entire food
system.
"Once it's put into the
hands of the big compa-
nies, they make the
money," he said.
The `bigger is better'
philosophy is part of agri-
cultural . economic
thought, Heffernan said,
adding it takes a farm
economic crisis to "make
us realize it's not going in
a good direction."
"We need to make this a
food issue so consumers
will be part of it," he
advised.
Heffernan suggested
people consider investing
in companies in their
communities and gain
more knowledge about
those companies' invest-
ments. He also encour-
aged farmers as con-
sumers to give preference
to buying food grown in
Ontario.
Bob Bedggood, presi-
dent of the Christian
Farmers Federation of
Ontario, told Heffernan
there is no alternative
view to the `bigger is bet-
ter' philosophy and that
urbanites don't care how
their food is produced.
"People with the biggest
buying power aren't at
the meetings," Bedggood
said.
Heffernan responded
that farmers should do
more to educate con-
sumers and "they will
care."
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