New Brunswick tops in value-added – WP editorial

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Published: October 3, 2002

THE Canadian Prairies could take a page from a Maritime province’s book

on how to add value to farms.

New Brunswick has about 959,000 acres of farmland, or about 2.6 percent

of the total land base in the province. Almost 368,000 acres are in

crops.

With only about 3,200 farms in the province, the totals would be

considered a modest agricultural venture by prairie standards. Alberta

has more than 53,000 farms, Saskatchewan more than 50,000, and Manitoba

has 21,000.

New Brunswick is unique because 84 percent of its primary agriculture

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production is processed before it reaches the market. That’s the

highest percentage among provinces.

For every dollar of farm cash receipts in New Brunswick in 1999, $3.75

was made from agri-food processing. In comparison, the Prairies occupy

three of the four lowest spots on the agri-processing dollar list. The

ratio for Alberta was $1.08, Manitoba 81 cents and Saskatchewan 27

cents.

A telling statistic shows that although half of Canada’s wheat crop is

grown in Saskatchewan, about 80 percent of the milling wheat is

exported.

Potatoes are the main crop in New Brunswick but greenhouses and

floriculture, fruits, berries and vegetables have increased their

importance. As they find ways to diversify their businesses, farmers

sell to retail and wholesale markets, open wineries or seek ways to

blend their products with others to tap niche markets.

These activities have generated 5,700 jobs in secondary processing,

mostly in rural communities. They offer off-farm income and keep young

people in the community.

A portion of the value-added enterprises in New Brunswick is tied to

on-farm businesses that rely on farmgate sales. On the Prairies, that

would be impractical due to the sparse population, greater distances

between farms and the distance of most farms from major centres.

But attitude is also a big factor.

“Farming has to be profitable,” said one New Brunswick producer who

regularly analyzes all parts of his farming business.

He has 25,000 laying hens, a feed mill and a composting system for farm

organic waste that he then sells. He also grows greenhouse peppers and

has an apple cider processing plant.

Other farm entrepreneurs say they aim their marketing efforts at

international consumers and are able to adapt to international

competition.

There is a difference between sales and marketing, said one, and

farmers must understand the difference.

A move from a sales mentality to a marketing approach has helped

farmers in New Brunswick.

A similar but prairie-tailored approach could reap dividends for

farmers on the Prairies.

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