Pork Producers

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Views: 393

Words: 1562

Pages: 7

Category: Business and Industry

Date Submitted: 02/28/2011 04:12 PM

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Abstract

The Danish cooperative structure along with strategic production has allowed the Danish pork industry to flourish. Alberta has several fundamental advantages that are inherent to a competitive pork industry but has to develop a revitalization strategy that establishes new marketing capability, connects processors to producer, secure cost competitive inputs and receive support from the Alberta government. Canada has an abundance of land and the capacity to produce an abundance of feed grain. The United States pork producers are having a negative effect on the Canadian pork industry by dumping pork in foreign markets. In addition the United States has implemented mandatory country of origin labeling which will drive some Canadian producers out of business. The Canadian Pork Council has stepped in and seeking market solutions to the country of origin labeling.

INTERNATIONAL ISSUES

A quote from McCain where he claims Canada does not stack up “More than any other food category meat is a global industry". We are directly impacted by global forces, global markets and global competitors”. Canadian pork producers aren’t doing as many double shifts like the United States pork producers. Only three out of Canada’s twenty three plants are running double shifts, partly due to the lack of labor force. Alberta Pork has been lobbying government to speed up the applications for foreign workers to enter our province. Our competitiveness is in jeopardy when not enough labor is available. This is causing the United States to move ahead in the pork market. Feed costs have increased dramatically in recent years; all pork producing sectors around the world have been affected. The increase of Alberta feed has been greater than other North American pork producing regions. This is partly due to the fact that Alberta feed grains are tied to food grain demand, while the United States corn is decidedly a feed grain. In addition, we saw a drop in hog and pork prices due to the...