Ottawa and the three Maritime provinces are injecting $12 million into the region’s sole struggling meat packing and processing plant, trying to keep afloat the only local market for Atlantic cattle.
However, since one of the target markets is the United States eastern seaboard, government funding could make exports vulnerable to trade challenge.
The 210 members of the Atlantic Beef Producers’ Co-operative are the majority owners of the Atlantic Beef Products plant.
It has struggled since its 2004 opening because of massive losses. Plant managers had predicted it would go out of business without government help. On Dec. 9, Ottawa pledged $6 million while Prince Edward Island, New Brunswick and Nova Scotia each pitched in $2 million.
