RED DEER, Alta. – The Alberta Cattle Commission wants to increase its checkoff to raise more money for beef promotion.
After lengthy debate at the commission’s recent semi-annual meeting it was agreed to ask producers for an increase to $2 from $1.50 per beef animal sold in the province. The proposal will go to producers for a vote during fall meetings.
The increase is needed to cover the costs of the commission’s programs. If an increase is not approved, some activities could be axed because the annual budget will be short by $700,000.
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If the checkoff remains at $1.50, the finance committee estimates fee revenue at $6.3 million. About $4.2 million of that is sent on for national programs such as the Beef Information Centre, Canadian Cattlemen’s Association and export market development.
“We’re committed to the $1 portion of our $1.50 checkoff that goes to support our national programs,” said finance chair John McNaught.
If there is no increase, programs like beef in the classroom or classroom agriculture programs could be cut back, he said. These two programs go directly into schools to promote beef consumption, as well as teach the importance of agriculture to children.
As inflation eats away the budget, some worried how Alberta could continue to pay its share of national programs.
As of July 1999 beef industry development funds will run out and the $16 million the industry poured into research, product development and promotion would be lost, said Larry Sears.
There are indications the fund may be extended past next year. However, without extra money guaranteed, some programs would lose half of their funds, he said. There are matching government funds for the beef export program but if industry pulls out, the money is gone.
Some delegates suggested they raise the levy to $2.50 to promote beef properly, while others said any increase is a hard sell in the country.
These delegates said the commission should not look for programs to spend money. A clear financial plan is needed to show producers where the money is to be spent. Millions of dollars have been spent on promotion and beef consumption continues to decline, said one delegate.
Others said they are not doing enough and they need more money.
Hugh Lynch Staunton, who represents the Western Stock Growers Association at the commission, said the industry may not always spend money wisely but he believes it is not putting up enough money to promote itself.
“I can’t see how we can stumble along in a professional world and act like amateurs and put a pittance of what we have at stake into the politics of our industry,” said Lynch-Staunton.
“It frustrates me very much why we nickel and dime things and do a half-assed job of things. It’s time for our industry to grow up and have a commitment for the things that are important to us,” he said.
The commission started with a levy of 10 cents a head in 1971, which grew to $1.50 by 1987. It has not increased since.
