During the beef industry’s darkest hour, one organization has agreed to increase its service charges.
The Alberta Beef Producers voted to raise its check-off fee to $3 from $2 every time cattle are sold as of April 1, 2004.
That will give the group a $12 million budget for the 2004-05 fiscal year.
Five resolutions about the checkoff were presented at the annual producer meeting in Calgary Dec. 8.
There was no serious disagreement over higher fees to cover the rising costs of promotion, research and marketing since the discovery of a single case of bovine spongiform encephalopathy on May 20. The greater debate was how to do it fairly.
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“I think it is a credit to the forward look of producers to say now is the time to step up to the plate and look after our own interests,” said Arno Doerksen, chair of the beef producers since last year.
Economic hardship
Some resolutions proposed a temporary increase because the raise comes as many farm families are hurting from the economic effects of BSE.
“We have to be cognizant of what is happening. If this border does not open in the spring, I’m not sure what the fallout will be,” said delegate Karen Gordon of Hanna, Alta.
An additional $2 million is needed for four new programs: increased federal government lobbying; trade management with the Americans; foreign beef market re-entry; and new domestic beef marketing.
Further costs are expected with the formation of the feeder council and a proposed allied industry council.
The budget designates nearly $2.5 million to the Beef Information Centre and $1.08 million to the Canada Beef Export Federation. The Canadian Cattlemen’s Association allotment is $605,500.
Other expenses are committee work, research programs, producer meetings and administration.