TORONTO – Producers and processors in Canada’s specialty food industry are divided on the need for a national organization.
Claudia Schmidt, research associate at the George Morris Centre in Guelph, Ont., says a Value Chain Management Centre study found that a lack of communication between industry, government and researchers is hampering the sector’s growth.
The study recommended a national program for specialty food businesses that would help them take advantage of market opportunities through networking and industry building initiatives, she added.
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“There is a need for strategic, gathered market information,” Schmidt told the Sial agri-food conference in Toronto.
She said this is especially important because the population is becoming more ethnically diverse and there is strong demand for specialty food to meet food sensitivity, halal and kosher requirements.
Beekeeper Sam Thiessen of Tofield, Alta., who participated in the international food show with his Beary Berry flavoured honey products, said he already feels well supported by Alberta Agriculture.
However, he said producers in other provinces not as well served could benefit from such a group.
“It was once completely jibberish,” he said about how overwhelming it was initially to wade into the market.
Thiessen approached Alberta Agriculture when he started his business, which helped with training programs, packaging and identifying markets.
Claire Citeau and Donna Mauro, trade development officers with Alberta Agriculture, work with processors individually or as a group to target appropriate niche markets.
They helped create the prairie pavilion at the Sial international food show to showcase products as diverse as cookies, salad dressings and perogies.
“We try to work together to have a critical mass to attract more buyers,” Citeau said.
The Prairies have a reputation for high quality, clean, natural products, added Mauro, who researches food trends, helps producers get into markets and deals with exporting requirements.
“I think (help for producers) exists already, but it could be updated,” said Mauro.
“At the end of the day, they are the business owner and need to make decisions based on their own needs.… We can coach and provide information, but it has to be a good fit for them.”
Lesley Kelly, who developed Martin Munchies barley snacks with her father at Watrous, Sask., felt food development centres are great resources for entrepreneurs.
“When it comes to a national program, that means there is more steps involved,” she said.
However, she saw value in a national organization that highlighted resources for developing products, helped with ideas and solutions and overcame barriers with government.
She received help from the Saskatchewan Trade and Export Partnership.
“When I first started, I didn’t know where to go.”
Schmidt said British Columbia’s Small Scale Food Processor Association is a good model. It offers a magazine to members, a specialty food directory and assistance with food safety, education and funding.
“It’s a database for consumers to see who is out there producing what,” she said.
“People don’t really know what’s out there, and do we have enough processing capacity.”
Schmidt said such a program helps everyone involved from field to plate.
“What’s missing now is the coordination.”
She said a national association, financed by membership fees, could help small processors tackle bigger marketplaces and communicate with governments about the impact of legislation and policy.
Schmidt said specialty food is growing two percent per year faster than general retail food sales.
Chris Crocker of the National Association for the Specialty Food Trade said his group represents the U.S. industry, which has annual sales of more than $55 million.
“Specialty foods is where new product concepts come to light, where innovation is higher in products … and the contents in products are from unfamiliar sources.”
He said most of his members have sales of less than $1 million annually.
“Specialty foods represent a small portion of the food marketplace. It’s a small slice of the U.S. food business but it’s still a large slice of business.”
