BRANDON, Man. – For many hog producers at Manitoba Pork’s annual meeting, the winds of change carry an unpleasant odor.
They’re worried about a provincial government report that recommended the single-desk selling system for hogs be removed. The government wants hog production to double in the province in the next five years, and it believes a dual marketing system will help the industry grow.
However, most of Manitoba’s 2,200 hog farmers disagree, according to a recent study. The survey suggests farmers want the pork industry to grow, but they want Manitoba Pork to be in the driver’s seat.
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“Are we not far better off to pull together, work as partners, join forces and meet the competition?” said Ken Foster, chair of the organization and a hog farmer from Arborg, Man.
“It is because of working in co-operation with all sectors of our industry that we are a major force,” Foster said.
Support of single-desk selling
In November, Manitoba Pork hired an independent firm to gauge support of producers. The results, released at the meeting, showed that more than 60 percent do not want the government to get rid of the single-desk selling system. Support is stronger among producers with less than 1,000 hogs and those older than 45.
The survey showed that larger producers are more likely to agree that the system should be abolished.
Ed Dornn is one farmer who wants to take a closer look at what the industry would be like without the monopoly. Dornn, who markets 6,000 hogs a year from his farm in Sidney, Man., said Manitoba Pork does an excellent job as a lobby group and organization for hog farmers.
“I think Manitoba Pork has a very important place and I like them being there, but I think they could do just as well in a dual marketing system,” he said.
Important in marketplace
John Lawrence, an agricultural economist at Iowa State University, said organizations like Manitoba Pork have an important place in a competitive market.
“We have some producers scrambling very hard to develop what you’ve had for years,” Lawrence said. In the U.S., he said, many farmers are setting up “marketing networks”. Several farmers get together to hire a marketing expert, which allows the farmers to concentrate on raising hogs.
Lawrence said these producers have increased their net price by between 50 cents to a dollar per hundredweight. But he noted these organizations are voluntary.
In his speech, Foster said Manitoba Pork became more efficient and aggressive in 1994 by:
- Starting a forward price contracting program for producers.
- Continuing a feasibility study looking at a single kill floor for the four packers in the province.
- Developing new quality assurance regulations.
- Hiring a public relations and sustainable development expert.
- Promoting pork to consumers with an aggressive campaign after the dissolution of Canada Pork and its advertising efforts.
- Committing $1 million to swine research over three years.
