MOOSE JAW, Sask. – Refurbishment of the slaughter plant at Moose Jaw, Sask., is nearly complete and Thunder Creek Pork is expected to open Jan. 4.
Officials gathered in the plant Dec. 3 to acknowledge a $1.78 million loan from the federal government through its AgriProcessing initiative.
“The funds will go toward new slaughter and meat processing equipment such as scales and refrigerator systems to help the company meet the growing demand for high quality meat pork products,” said Palliser MP Ray Boughen.
Donald’s Fine Foods bought the plant earlier this year after the city of Moose Jaw took it over for unpaid taxes. The building has been empty for about four years after several ownership changes and failed business plans.
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David Pruim, chief financial officer of B.C.-based Donald’s Fine Foods, said this time the circumstances are different. The company already has well-developed, secure markets for its branded pork products.
“Donald (Leung) has been in the business for about 30 years,” Pruim said.
“He knows the meat business.”
At capacity, the plant will process 1,200 hogs a day, five days a week, or about 300,000 per year. It will employ up to 221 people.
Pat Nicholson, a former general manager of Springhill Farms in Neepawa, Man., is the new general manager for Thunder Creek. He said solid markets are key to the company’s future success. He expects products will go from the plant to Asia and Russia.
The plant is federally inspected and the company will be applying for European Union certification.
Nicholson said the plant will operate as a skinning operation, meaning the hide is left on after slaughter, the animal is washed and the hide is then pulled off.
He said this will make a difference in terms of chilling, when compared to a scald plant that leaves the hide on, and creates a different product.
“(The company) will go after a more niche market because it’s a skinless hog,” Nicholson said.
The plant will employ lean manufacturing techniques and use the entire carcass, he said.
The company is holding a job fair Dec. 15 to accept applications from potential employees. The next day, it is holding an open house for producers who are interested in supplying the plant.
Neither Pruim nor Nicholson could say how many producers will receive contracts.
Donald’s requires its producers to follow certain standards while raising hogs for certain markets.
Neil Ketilson, general manager of Sask. Pork, said the province’s hog industry produces about 1.5 million hogs per year so a lot will still go elsewhere for slaughter and processing. But he said a smaller plant allows more flexibility to meet customers’ needs.
Thunder Creek should be able to pay producers at least as much as other buyers and perhaps more for the value-added aspect, Ketilson said, adding that Donald’s is already buying extra hogs to process at its other facilities to meet demand.
“By starting up a new plant, he’s got a ready-made market. He’s not opening a new plant hoping somebody comes with a cheque and buys (the product),” Ketilson said.
