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New Program Offers COVID-19 Services for Ontario Agri-food Workplaces Talking Turkey with Rachelle Brown Government Invests in Measures to Protect Temporary Foreign Workers
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Foodservice Sector Requires Continued Support to Recover Losses FCC Reports Strong Performance in 2019-2020
Alberta Loosens Slaughter Rules New Acquisition of Meat Processing Plant in Mount Forest Banff Pork Seminar 2021 goes Virtual How this Organic Jerky Company Achieved Online Growth through Pandemic Recovery Still a Long Way Off as Canadian Small Business Sales Struggle to Reignite
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August 2020 Volume 20 Number 1
PUBLISHER Ray Blumenfeld ray@meatbusiness.ca MANAGING EDITOR Scott Taylor publishing@meatbusiness.ca DIGITAL MEDIA EDITOR Cam Patterson cam@meatbusiness.ca CONTRIBUTING WRITERS Cam Patterson, Scott Taylor, Jack Roberts, Marilyn Braun-Pollon CREATIVE DIRECTOR Patrick Cairns Canadian Meat Business is published six times a year by We Communications West Inc.
NEW PROGRAM OFFERS COVID-19 SERVICES FOR ONTARIO AGRI-FOOD WORKPLACES PROGRAM PROVIDES AGRICULTURAL PRODUCERS WITH TAILORED, FUNDED SUPPORT SERVICES AHEAD OF NEXT COVID-19 WAVE.
Ontario agricultural operations, including greenhouses, can now benefit from a free, government-funded consultation service to help choose the best options for protecting their workers from COVID-19 and make the most of their investment. Even as new COVID-19 cases start to subside in the province, business owners are being urged to take precautions against potential waves of the pandemic in the near future. Carried out by experts at Workplace Safety & Prevention Services (WSPS) and tasked by the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA), the program provides each eligible agricultural operation with two days of personalized consulting and training services to help better manage the risks in their operation. The tailored program also offers a pandemic recovery toolkit on measures for managing the risk of exposure to COVID-19, awareness training, as well as additional resources to support businesses as they implement measures to protect their employees. Valued at $2,000, each two-day consultation is being funded entirely through the Agri-food Workplace Protection Program. There are 125 spots available for agricultural operators and they’re approved on a first-come, first-served basis, says John Aird, director of strategic integration at WSPS.
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“We’ll go in and we’ll start with an assessment,” explains Aird. The WSPS expert will look to see what’s already in place, how well it’s working and identify areas where operators can better protect employees from contracting the virus. Examples include installing barriers or changing up cleaning procedures. Operators interested in this program would reach out directly to WSPS at 1-877-494-WSPS (9777). While the program ends March 2021, operators should take advantage of these services as soon as possible. “This program comes at an opportune time,” says Dean Anderson, WSPS strategic advisor on agricultural initiatives. “Adopting essential practices now offers businesses long-term value. They’ll be better prepared for the next wave or the next pandemic — something some experts are saying is inevitable.” While operations may need to make monetary investments to enact some of the recommendations from WSPS, operators can take advantage of another funding stream under the Enhanced Agri-food Workplace Protection Program. It can help cover 70 per cent of the costs, or up to $7,500 for implementing those measures. This includes modifications to reconfigure workstations, such as installing shielding or barriers, as well as purchase of protective equipment, such as masks, gloves and other protective gear, and medical equipment. This can include body temperature remote sensors, thermometers and cameras and COVID-related testing equipment. Businesses wishing to apply for support of these measures under the Enhanced Agri-Food Workplace Protection program must apply through OMAFRA, separate from the WSPS consultation services. “Maintaining productivity while safeguarding workers, family members and the community from COVID-19 is top of mind for everyone,” says Anderson. 100TH ISSUE | March/AprilAugust 2019 2020 CANADIAN MEAT BUSINESS 5 4
TALKING TURKEY WITH RACHELLE BROWN By Cam Patterson
Rachelle Brown and her husband, Martin are generational turkey farmers living north of Winnipeg. Martin’s parents started the farm more than 50 years ago, and Martin and Rachelle decided to take it over when they retired. It’s a typical story for most turkey farmers in Canada and Rachelle states proudly that a lot of turkey producers are third and fourth generation farmers.
shut downs the pandemic has brought about. I would say the individual farmer has been struggling a little more with that during the pandemic than the isolating aspect of it for sure. Now speaking on an industry impact perspective, and specifically on turkey farmers across the country, we have all been hugely affected as a result of COVID-19. We have been cut back 10 million kgs due to the pandemic alone.
Rachelle is the Chair of the Manitoba Turkey Producers and is currently serving her fifth consecutive threeyear term. She is also Manitoba’s director to the Turkey Farmers of Canada, having served in the role for the last 10 years.
CMB: I’m guessing that is on top of the market access cutback that was already brought about by the trade uncertainty.
Canadian Meat Business (CMB) has been keen to speak with Rachelle Brown (RB) in the past and with the unprecedented pandemic hitting us in 2020, this was the right time to conduct our in-depth Q&A. CMB: Let’s start with the impact of COVID-19 and how you see them as both a farmer and a board member on the turkey industry in Canada?
RB: Yes. The CPTPP and CUSMA tier access coming in is very concerning for us. Our storage stocks were already on the high side, so we cut 10.6 million kgs at the beginning of the control period back in February/ March. We made that decision because of the TRQ (Tariff Rate Quota) coming in with all the trade agreements. So move up a month and now COVID-19 hits and our restaurants and retail are closing down everywhere. We had no choice but to cut another 10 million; that’s an unprecedented 20 million kgs cut across the country this year. CMB: That’s a devastating decrease and begs the question, how can the turkey industry survive this lockdown?
RB: From a personal perspective my husband Marty and I follow the bio-security protocols that all turkey producers adhere to, there typically isn’t a lot of coming and going on the farm. So in that respect, COVID-19 hasn’t really changed much because we operate in our own little bubble anyway. What has changed is accessibility to supplies and feeds, equipment and parts, those types of things, due to the unprecedented 6
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RB: It affects the entire industry from hatchery, feed and equipment supplier to processor, and farmer. That’s a huge impact on turkey farmers because now you’re growing a lot fewer birds yet all your fixed costs are still the same. So now, we’re looking for ways to cut costs without negatively effecting your daily operations. CMB: Can you give me an example of what you changed on your farm? RB: We decided to go a little “old school” with our bedding option. We used to get wood shavings, which is a little pricey, but this year we’re doing straw. It’s something we can get locally. And then we bought an old manure spreader and straw bales to bed-down our barn and pole-barn. That was one way for us to mitigate costs to some degree. We’re also not renovating or updating equipment this year because we’ve basically adopted a “make-it-do” philosophy. It’s like any other business operation, when your budget is low you take a hard look at what you really need to do, what needs repairing or replacing, and making sensible decisions on what you can make work a little longer. That is the position, as farmers, we are all in.
VEMAG
COVID-19 also has a ripple effect that plagues our entire industry because it’s not just us on the farm. It’s the entire supply chain. For example, the hatchery here in Manitoba is the largest hatchery in Western Canada, but when you’re cutting 20 million kgs, you’re cutting a lot of eggs that would typically come out of that hatchery. So, it’s fair to say, aside from the personal loss and health concerns of COVID-19, from a farming standpoint, the real impact has been on our bottom line, as can be said for every Canadian and every industry out there. CMB: Would you say the $250 million in government livestock aide is sufficient to get the industry through the pandemic? RB: A lot of the programs look good on paper but when it trickles down to the farmer, it is some monetary relief, but in all actuality doesn’t really end up helping all that much.
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CMB: Is the aide that is coming timely enough to save chicken and turkey farmers?
methods of how we do it accordingly to match the reduced levies coming into the board office.
RB: It’s important to note that the turkey industry is not like the chicken industry. Chickens turn around every 30 days where turkeys turn around every three to four months. That’s the difference between our two sectors. Chicken farmers can cut back and rebound quicker, because their flocks are on a monthly basis, whereas, we’re looking at a longer cycle to cut back, so we can’t just stop production right then and there. When we say you’re going to cutback it’s four or five months down the road before you actually start seeing the impact. So, with respect to these cutbacks from the TRQ and COVID, we are just starting to see the impact. But we will definitely notice it this winter. And that’s where turkey farmers really feel it, because if you cut production, you’d cut it when it cost you the most to grow - and that is during the winter.
CMB: Is the national board faced with the same challenges as well then? RB: Absolutely! For example, we still want to carry on with our five year, $5 million dollar national marketing campaign, Think Turkey. We had just finished year one. Think Turkey is an aggressive marketing strategy using national TV ads, billboards as well as comprehensive social media roll-outs. The campaign is impressive and we’re getting a lot of good feedback on it, so as a result, we’ve adjusted the plan accordingly. As for our mandates, our board has to figure out how to have an AGM and be able to connect with everybody. We still have to have a conversation on what markets are doing and, for example, how CUSMA is going to affect us all.
CMB: In your role as Chair, how do you see the board’s role going forward during this unprecedented time?
CMB: It seems like all the trade deals are in limbo. What is most concerning for the turkey farmer in Canada?
RB: Our levies come from our producers according to how many kgs their farming. So when COVID-19 hit and our allocation got cut, so did our levy and subsequently our budget shrinks. As a board, we have to re-evaluate our operating costs but in reality the only fluid aspect we absolutely have to maintain is the marketing. I say that because in my opinion, “when times are tough, you should do more marketing.” But when you don’t have the dollars that is ultimately cut back as well.
RB: The last I heard from the national office, Chile had yet to ratify the CPTPP. The CPTPP and CUSMA will bring added access to our market. A combination of both means a doubling of access from 5.6 million kgs to over 9 million kgs of product coming into our country. This amount of imported meat is a huge problem as our storage stocks are already on the high side. The only way to mitigate this is by cutting back allocation to Canadian farmers.
In Manitoba, our “on farm safety audits” were suspended and we are looking at possibly doing virtual “record review only” as we’re not letting our auditors go onto farms during the pandemic. This is impactful for us because the Farm Safety Program and the Flock Care Program are very important aspects of turkey production in Manitoba. The programs present a strong selling point for retailers and consumers to verify that the sustainability and non-antibiotic boxes have been checked off for the flocks we raise and sell. That said, as a board member, I’m proud that we are doing what we say we’re doing and producers get audited every year to make sure every farmer is online with our standards. But with COVID-19, this has been a main issue at the office. How do we fulfil this mandated program when we can’t risk physical farm audits. So, like the rest of the world, we’ve adopted new tech and Zoom has become the way we carry out “online” communication which has allowed us to continue on the business side of operations. We had to alter our 8 8
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Rachelle Brown on a mid-morning checkPresident CMB: How can you forecast anything when through the barns. Trump is such a wildcard?
2019 | 100TH ISSUE
THE BEST DEFE A STRONG OFFE
RB: When we learned Kid’s Help Phone “call-ins” had increased 300%, we reacted. Kids are always vulnerable during a pandemic especially when schools get closed. There is a lot of anxiety for kids as a result, so we as a PROMOTING THE HEALTH board collectively, decided to help out. We alsoBENEFITS made a monetary donation to 4H because their program By Ronnie P. Cons has a great reach to a lot of kids in rural communities. Red meat provincial is often wrongly portrayed unhealthy. Also every turkey association in as thebeing country some inmade the media as unhealthy or not environmentally fr has also their own donations, through the Wish Bone Project, to organizations specific to their home Vegan, fish and other non-meat diets have been proposed as liver, 62 province.
CMB: How can you forecast anything when President Trump is such a wildcard? RB: You do your best! We’ve already ratified CUSMA so all we can do is work under the assumption that we’re going to move along with what we’ve already got. CMB: The pork and cattle sectors have been hit hard throughout the pandemic with processing plants being forced to close or cut back operations. How has processing been affected in the turkey sector? RB: We’ve been lucky as our processing plants didn’t have to close. They mitigated any issues. But the cost was astronomical when you consider the PPE, installation of protection barriers, and employee incentives and plant expansion - larger lunch rooms for instance - to comply with new social-distancing directives. But we were able to keep operations open. CMB: Is Exceldor still the only turkey processing plant in Manitoba because of the amalgamation with Granny’s in 2019? RB: Yes, if Exceldor would have closed, I have no idea what producers would’ve done. I’m glad we didn’t have to go that route. The management and staff at Exceldor have done a great job in communicating with producers as to all the steps they have taken to maintain operations and have a safe environment for all staff.
healthier alternatives. The result of this onslaught of negative meat messages has influenced many families to cut back on CMB: As Chair of the provincial board, and as a their meat and poultry purchases. Perceptions may reality but member ofmisinformation. the national board, you sum up truth trumps Parentshow and would other consumers 2020what and iswhat hope is for want best your for their health and2021? that of their families. They are also aware that a lot of false information is out there and such, openchallenging. to scientific facts that can correctto their RB: as 2020 hasarebeen COVID-19 seemed misconceptions.
come out of nowhere and hit us so hard and fast. My
This an is opportunity for retail meatI departments hopeprovides for 2021 to maintain, because don’t feel we’re to implement an instore ‘Healthy Meat Facts’ going to be out of this anytime soon. Thisnutritional is not going campaign to set the record straight and convince their to go away at this point but I believe we can keep the customers that meat and poultry are actually good for one’s curve and flattened and keepincrease the numbers That would health that they should rather low. than decrease be a success for us. That would be my wish. their purchases of it. The campaign outlined below can have a direct impact on sales:
CMB:byAsdisplaying a turkeyinstore farmer, how would youthe personally Start posters promoting nutritional summarize state of this industry?eye catching and value of meat.the They should be innovative, be designed to specifically contradict any meat myths. The comments all bethe literature based research RB: That I should have faith industry willquoting turn around, we papers or MDs for maximum effect. Various posters should just have to give it time as we’ve been hit on many be made - each with a brief but powerful message covering fronts including a pandemic we weren’t expecting and one theme. trade agreements that have increased market access.
Posters can convey the following healthy meat fact Supply Management has typically been used as the messages:
bargaining chip for trade negotiations. But, that said, 1. Let’s IRON out the Truth on Meat! I’m hoping three to four years down the road, COVID-19 “You would need to eat a massive amount of spinach to is well(the behind us and inmarket access level offGolden, and we equal iron content) a steak,” says will Christopher canecologist get backand to epidemiologist moving forward again. We will rebound. an at Harvard University in Cambridge, nature.com the Farmers areMassachusetts. very resilient.(As Wequoted don’t by give up easily.inBut article ‘Brain foodclever eating’.) we do have to embrace the new way of doing business in the post-pandemic, digital communicating world. For a woman to receive her recommended daily intake of 18 mg iron,I she would need 300we grams bovine But,ofyes, absolutely havejust faith will of getcooked through it.
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CMB: How did the Wish Bone Project come about?
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RB: The COVID-19 pandemic did bring about the Wish Bone Project because so many people had lost their jobs with many more going hungry. We were sitting on surplus inventory so it just made sense to help. The idea came about through the marketing company, Zeno, who we work with on our Think Turkey campaign.
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CMB: This project is also sponsoring Kid’s Help Phone as well? RB: When we learned Kid’s Help Phone “call-ins”
spinach
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GOVERNMENT INVESTS IN MEASURES TO PROTECT TEMPORARY FOREIGN WORKERS Since the very beginning of this pandemic, the Government of Canada has taken a number of important steps to ensure the safe arrival of farm workers, who play a vital role in preserving Canada’s food security. To protect the health and safety of Canadian and migrant farm workers, the Government has been working with municipal, provincial and territorial governments, as well as farmers, workers and other employers who participate in the Temporary Foreign Worker (TFW) Program. Despite these efforts, there have been COVID-19 outbreaks on a number of Canadian farms that have significantly impacted the health and safety of workers. The Honourable Carla Qualtrough, Minister of Employment, Workforce Development and Disability Inclusion and the Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food, have announced that the Government is taking additional action to reduce the incidence and impact of COVID-19 outbreaks on farms.
With an investment of $58.6 million, the Government is strengthening the TFW Program and making further investments to safeguard the health and safety of Canadian and temporary foreign workers from COVID-19 by: • Investing $7.4 million to increase supports to temporary foreign workers, including $6 million for direct outreach to workers delivered through migrant worker support organizations; • Strengthening the employer inspections regime, particularly on farms, and making improvements to how tips and allegations of employer non-compliance are addressed (such as by initiating an inspection) through an investment of $16.2 million; and • Investing $35 million to improve health and safety on farms and in employee living quarters to prevent and respond to the spread of COVID-19. This will go toward direct infrastructure improvements to living quarters, temporary or emergency housing (on- or off-farm), as well as PPE, sanitary stations, and any other health and safety measures. Non-repayable contributions will be cost-shared 50:50 with the applicants. “From the very beginning of the pandemic, the health and safety of temporary foreign workers has been a top priority,” stated Minister Qualtrough. “Any unsafe working conditions are completely unacceptable. While we are proud of the worker protections we have in this country, we recognize that there are important issues that need to be addressed within the Temporary Foreign Worker Program and we are taking action. We are working tirelessly to ensure that temporary foreign workers rights are protected in Canada.” The Government will also work to develop mandatory requirements to improve employer-provided
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accommodations, focusing on ensuring better living conditions for workers. As a first step, the Government will consult with provinces and territories, employers, workers and foreign partner countries on a proposal for these mandatory requirements for the TFW Program in the months to come, and will work with those same partners to implement changes. Improvements to worker accommodations will also help reduce the risk of infection and spread of COVID-19 for foreign workers. Ag Minister Bibeau said, “We care deeply about the well-being of all farm workers, who are helping ensure the food security of Canadians. During the exceptional circumstances of COVID-19, we want to help farmers adapt and improve the employment conditions of all their employees as well as the living environment of temporary foreign workers.” To support the response to the ongoing outbreak of COVID-19 cases amongst temporary foreign workers in Windsor-Essex County, the Government is also currently collaborating with the Canadian Red Cross and the Province of Ontario to set up temporary housing for those affected in order to support them to self-isolate, in accordance with public health guidance. This work is being advanced under the Government’s previous commitment to provide up to $100 million to the
Canadian Red Cross to support additional relief and recovery efforts this year related to COVID-19, floods and wildfires. This spring, the Government published guidance for employers on how to manage the arrival and quarantining of exempt travellers to Canada, including temporary foreign workers to mitigate the importation and spread of COVID-19. In addition, the Minister of Employment, Workforce Development and Disability Inclusion and the Minister of Health issued a letter to employers of temporary foreign workers outlining the Government of Canada’s expectations of employers. As well, the Government put in place amendments to the Immigration and Refugee Protection Regulations to hold employers accountable and to keep workers safe. These changes require employers to pay workers during their initial quarantine and ensure workers are able to observe the two-week quarantine period. To help these efforts, the Government of Canada announced the $50 million Mandatory Isolation Support for Temporary Foreign Workers Program to help farmers and food processors pay for the costs related to safely accommodating workers for the mandatory 14-day quarantine period. Continued on page 12
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prevent the importation and spread of COVID 19 in Canada. • On April 13, the Government of Canada announced the $50 million Mandatory Isolation Support for Temporary Foreign Workers Program which provides farmers and food processors up to $1,500 per worker to help pay for the costs related to meeting the mandatory 14-day quarantine period. Eligible costs could include wages, food, benefits, transportation, housing, and other requirements to comply with the protocols under the Quarantine Act. In some cases, an employer’s costs may exceed the $1,500 federal contribution per temporary foreign worker. Today’s $35 million fund extends supports beyond the 14-day period. While provinces and territories are responsible for setting health care, employment standards and housing requirements in the agriculture sector post-quarantine in their respective jurisdictions, the Government of Canada is committed to further federal action to help to reduce the incidence and impact of on-farm outbreaks, and protecting those who are part of the Temporary Foreign Worker Program.
• The Temporary Foreign Worker Program is managed by Employment and Social Development Canada. Provinces and territories are responsible for most health, employment standards and housing requirements.
QUICK FACTS • Temporary foreign workers play a vital role in the Canadian economy with approximately 50,000 to 60,000 foreign agricultural, food and fish processing workers coming to work in Canada each year, which accounts for more than 60% of all foreign workers entering Canada under the Temporary Foreign Worker Program. • The Seasonal Agricultural Worker Program (SAWP) is the stream most commonly used by Agricultural Producers. In 2019, a total of 46,707 positions were approved under the SAWP, of which 12,858 were from the participating Caribbean countries, the rest were from Mexico. • Most foreign workers who work on farms are located in Ontario (40%), Quebec (32%), B.C. (18%) and Nova Scotia (2.6%) • As part of its actions to protect the health and safety of foreign workers, the Government of Canada has been working with provinces and territories, as well as a range of partners and stakeholders, to ensure employers and temporary foreign workers are aware of their obligations and respect the rules in place to help 12 12
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FOODSERVICE SECTOR REQUIRES CONTINUED SUPPORT TO RECOVER LOSSES Restaurants Canada recommends a path forward to relaunch the country’s vital foodservice sector in its prebudget submission to the federal finance committee Restaurants Canada has tabled its pre-budget submission to the federal finance committee, advocating for continued support to help the foodservice industry through the ongoing COVID-19 crisis.
Given this reality, Restaurants Canada is calling on the federal government to extend and strengthen support for foodservice businesses in the following areas so they can continue contributing to Canada’s recovery in 2021. 1) ASSISTANCE WITH LABOUR COSTS, RISING DEBT AND CASH FLOW
“Many of the measures that the federal government has introduced over the last few months have provided a lifeline to restaurants during these extraordinarily challenging times,” said FOOD David Lefebvre, Restaurants Canada Vice PROCESSING EQUIPMENT President, Federal and Quebec. “But www.birosaw.com with colder months approaching, the foodservice sector will need continued Md. B300M Md. B350Comfort 12” Manual Feed Slicer 13 3/4” Semi-Automatic assistance to keep fulfilling its critical Single-Speed Slicer role within the Canadian economy.”
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Not only was the foodservice industry among the first and hardest hit by the impacts of COVID-19, the sector will also be among the slowest to recover. While the latest Labour Force Survey from Statistics Canada reveals foodservice employment rose by 100,500 jobs in July, the sector is still more than 300,000 jobs short of where it was in February. No other industry comes close to continuing to face this level of shortfall.
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A thriving foodservice sector is critical to Canada’s recovery from COVID-19 • Restaurants and other foodservice businesses are the fourth-largest source of private sector jobs and number 1 source of first jobs for Canadians, typically employing 1.2 million people. • Restaurants support a wide variety of supply chain businesses, indirectly supporting more than 290,000 jobs. • Restaurants typically spend more than $30 billion per year on food and beverage purchases, playing a critical role for Canadian farmers and the agri-food sector. The following programs should continue to be available in 2021 to support foodservice businesses still struggling to operate under ongoing restrictions: • The Canada Emergency Wage Subsidy (CEWS) • The Canada Emergency Business Account (CEBA) These COVID-19 response measures have made a meaningful difference in the short term and should be extended and strengthened to support business continuity over the longer term. Restaurants Canada also recommends changes to the tax regime to further support businesses struggling with cash flow. Simplified rent relief provided directly to businesses is also needed. 2) RED TAPE REDUCTION FOR SMALL AND MEDIUMSIZED BUSINESSES Restaurants Canada is recommending that any new legislation and measures that were put on hold due to the COVID-19 pandemic be reassessed to consider the new economic realities for businesses. Hurdles to doing business should be limited wherever possible while small and medium-sized enterprises continue to struggle to remain operational under ongoing restrictions. 3) TARGETED FOODSERVICE SECTOR SUPPORT Sector-specific measures are needed to address some of the unique challenges that restaurants and other foodservice businesses have endured due to COVID-19. Restaurants Canada has provided a number of recommendations based on input from its members. 14 14
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ABOUT RESTAURANTS CANADA Restaurants Canada is a national, not-forprofit association advancing the potential of Canada’s diverse and dynamic foodservice industry through member programs, research, advocacy, resources and events. Before the start of the COVID-19 pandemic, Canada’s foodservice sector was a $93 billion industry, directly employing 1.2 million people, providing Canada’s number one source of first jobs and serving 22 million customers across the country every day. The industry has since lost hundreds of thousands jobs and could lose as much as $44 billion in sales in 2020 due to the impacts of COVID-19.
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FCC REPORTS STRONG PERFORMANCE IN 2019-2020 Farm Credit Canada (FCC) reported another year of strong financial performance last year, capping 27 consecutive years of growth and innovation in Canada’s agriculture and food industry. “FCC continues to be a strong and stable presence in Canada’s agriculture and food industry, ready to support producers and processors in pursuing opportunities and overcoming challenges,” said FCC president and CEO Michael Hoffort, in releasing the corporation’s annual report. “From the impact of adverse weather to market and supply chain disruptions caused by the COVID-19 pandemic, it’s important FCC continues to maintain a strong financial position to support those in Canada’s agriculture and food industry through these difficult times,” Hoffort said. “We are the only financial institution 100 per cent invested in agriculture and food and we are committed to ensuring the industry emerges from this difficult period even stronger.” In 2019-20, FCC grew its portfolio by 6.6 per cent to $38.6 billion, a reflection of the strength of the agriculture and food industry and their ability to invest in their operations. The portfolio included payment schedule adjustments to nine per cent of the total amount owing compared to four per cent in the previous year. This increase was primarily due to pandemic-related support. As part of the Government of Canada’s plan to support the economy from the sudden shock of the pandemic, FCC received an enhancement to its capital base that allowed for an additional $5 billion in lending 16 CANADIAN MEAT BUSINESS 16
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capacity to support producers, agribusinesses and food processors through these uncertain times. “Canadian farmers and food businesses have proven just how essential they are through COVID-19, and they will have a more vital role than ever to help lead our economic restart,” said Marie-Claude Bibeau, Minister of Agriculture and Agri-Food. “Working with Farm Credit Canada, our government is ensuring farmers and food businesses get the timely support they need both to get through the tough times, and to take advantage of new opportunities.” “As Canadian food exports this year are already up over six per cent compared to last year, it shows the importance of the work we are doing to position ourselves for the stability and growth of our agriculture industry,” Bibeau added. As part of FCC’s mandate, the corporation continues to invest in communities throughout rural Canada.
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• An allowance for credit losses level recognizing the accumulation of challenges in the Canadian agriculture and agri-food sector, including disruptions from COVID-19.
NSF INTERNATIONAL• FCC FOCUSES ON has maintained a strong capital position and is in an even stronger position to support the industry CANADIAN FOOD INDUSTRY WITH NEW through challenging times. With a $500 million pandemic-related capital contribution from the WEBSITE FOR SERVICES CANADA GovernmentIN of Canada in March, FCC was able to
increase its lending capacity by $5 billion. Global public health organization showcases services for Canada’s growing and fast-changing food industry FCC continues to provide free learning opportunities and economic insights through events, web, social NSF International in Canada recently launched a new accredited International Association for Continuing website www.nsfcanada.ca to give Canada’s growing Education and Training (IACET) site. Topics include HACCP, In 2019-20, FCC contributed $1.5 million to 94 media and various publications for all involved with the and complex food and beverage industry easy access food safety and quality, GFSI benchmarked standards, community projects across Canada through the FCC industry. to the global health organization’s expertise and AgriSpirit Fund, public offered a wide range of free learning regulations (including FSMA), food science, food packaging, services in Canada. The website combines information food microbiology and ISO standards. Training modalities events and raised an equivalent of 16.2 million meals in Due to the COVID-19 pandemic, FCC will hold an on the depth, experience and capabilities of the NSF include eLearning, on-site, customized and open enrolment. conjunction with its like-minded partners through online version of its annual public meeting on August International Canadian office with access to NSF the information about FCCInternational’s Drive Away Hunger tour in dedicated support oftofood 26.Additionally, Details willthe bewebsite postedincludes on the FCC’s website and a global services food banks safety management system registrations for the food, automotive, across Canada. It also contributed to a variety of mental full copy of the report can be found at www.fcc.ca/ and quality. environmental, information security, medical devices, health initiatives aimedacross at promoting as well annualreport. Evolving regulations countries awareness, and increasing aerospace and chemical industries, as well as for Ontario as providing training and support through food partnerships drinking water programs. complexities associated with a globalized supply withnetwork the Dopresent More Ag Foundation andInternational 4-H Canada. more information, visit fcc.ca. challenges for NSF clients in For Visit the new Canadian website at www.nsfcanada.ca to review the food Canada and around the world. The new Canadian website safety services capabilities video, find a list of Canadian food experts, learn about upcoming events and global news releases, a question services to help companiesHoffort navigate YesGroup_CanadianMeatBusiness-Qtr-pg.pdf 1 submit 2014-05-16 1:20:17 PMor read “Ouroffers role expertise goes welland beyond loan transactions,” an FAQ. these challenges, including certification and auditing, said. “We look forward to continuing our support for consulting, technical services, training and education, young and new entrants, enabling intergenerational food and label compliance, packaging, and product and transfers of development. family farms, promoting greater diversity process within the industry and supporting the growth of valueNSF International’s Canadian website provides information added enterprises to build an even brighter future.” on the following services: Certification & auditing: Third-party food safety audits OTHER 2019-2020 FINANCIAL HIGHLIGHTS INCLUDE: and certifications, which are integral components of supplier selection and regulatory compliance. Accurate • Net income of $632.6 to be reinvested in audits are the first stepmillion, toward successful verification agriculture through funding loans and developing of a company’s food safetynew system, providing improved brand protection and customer Certifications agriculture knowledge, products confidence. and services for and audits are available for animal and produce in the customers. agriculture industry, GFSI certification and management system registration.
• A dividend of $394.8 million paid by FCC to the Consulting: full-service team approach providing Government ofACanada.
technical resources, expertise and insight for a wide range of food safety and quality services. NSF International provides finished product inspection testing for food, packaging and non-food testing for rapid analysis and insight to protect the brand, technical support services from on-site temporary or permanent technical staffing placements, and various types of consulting. Technical services: A one-stop solution for food product compliance and formulation, from concept to finished product, including food and label compliance, packaging, product and process development, and shelf-life and product evaluation.
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Training and education: Training for the global food and beverage industry across the supply chain as an meatbusiness.ca
100TH ISSUE | March/April 2019 September/October 20172020 CANADIAN MEAT 23 17 August CANADIAN MEATBUSINESS BUSINESS 17
ALBERTA LOOSENS SLAUGHTER RULES The Alberta government announced in late July that it would allow the slaughter of animals on farms for meat sales to consumers, loosening regulations after the coronavirus pandemic interrupted production at its biggest packing plants. Alberta previously restricted the consumption of meat from animals slaughtered outside of governmentinspected plants to farmers and their households. Some farmers and mobile butchers, who travel from farm to farm, wanted the provincial government to ease the regulations to be more in line with those in other western Canadian provinces.
Under revised regulations, the meat from animals killed by mobile butchers and farmers licensed to carry out uninspected slaughter can be sold directly by farmers to the public, said Agriculture Ministry spokesman Justin Laurence. The Ministry also noted that such meat cannot be sold in stores. Coronavirus outbreaks interrupted production this spring at several Alberta beef plants, leaving feedlots with a backlog of slaughter-ready cattle and boosting retail meat prices. “Alberta beef producers have been asking for increased processing capabilities for several years and this is a positive step forward,� said Kelly Smith-Fraser, a rancher and chair of Alberta Beef Producers.
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https://www.cfib.ca 100TH ISSUE | March/April 20192020 CANADIAN MEAT BUSINESS 19 August 19
NEW ACQUISITION OF MEAT PROCESSING PLANT IN MOUNT FOREST
Local Harvest Ontario Inc. has announced the purchase and acquisition of the meat processing plant in Mount Forest, ON. In their continuing commitment to bring local, naturally raised beef and lamb to markets across Ontario, Quebec, and greater Canada, Local Harvest Inc., a wholly owned division of Artisan Farms Direct Ltd., has acquired the former Apple Meadows federally licensed slaughter and meat processing facility. The plant will provide custom harvest and processing services for Artisan Farms Direct Ltd. and their community of family farmers that raise without hormone and antibiotic (RWA) Angus beef, RWA grass fed beef and lamb, and certified organic beef, producing NAMI specified boxed beef and lamb in minimum process lots for beef cattle and lamb. Custom slaughter and processing services are available to other likeminded locally based value chains, to assist in marketing their beef and lamb offerings to consumers in the GTA, Southern Ontario, Quebec and beyond.
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The facility will be operated by Local Harvest Ontario Inc., licensed with the CFIA under the Safe Food for Canadians Act, and will employ up to seventy-five people when operating at full capacity. “My understanding is the plant has undergone improvements in recent years, and we will continue to upgrade the facility over the next three years. Our commitment is to provide not only the highest quality beef and lamb products, but to also provide a safe and secure workplace environment for our employees, all the while being mindful to both the financial success of operations, and becoming an integral component of agribusiness in southwestern Ontario” says Brian Read, Vice President of Local Harvest and General Manager of the Mount Forest facility. Brian adds “Given the recent COVID-19 outbreaks around the world, we have plans to ensure we address employee and staff safety before we start operations.”
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“We hope to be up and running mid to late August, and we look forward to working with the fine group of people currently employed at the plant,” added Read. The plant will be owned jointly by two Ontario farming families, both who have a long history in Ontario’s beef community: • The Nolan family of Markdale, ON, who own and operate Bar 5 Stock Farms, Blue Mountains Angus, & Nolan Angus Farm;
NEW SURREY SLAUGHTERHOUSE ‘WOULD OPEN DOOR’ TO NEW BEEF MARKETS
• The Arthur Schickedanz family of Uxbridge, ON, who own and operate AS Galten Farms in Newmarket, Galten Land & Livestock in Scugog Township, and Kawartha Meats Inc in Little Britain, ON.
“The ownership group has aggressive plans to invest in and improve the facility, and increase employment to double the current level, which will more than double current production levels of the plant,” Read continues, “and we haveProposed plans to implement innovative technology 30,000-square-foot beef abattoir in Cloverdale would be B.C.’s largest such facility which will addByefficiencies to the process flow of the Amy Reid, Peace Arch News plant from the harvest floor to the shipping area.” A federally licensed beef processing facility is in the works in Surrey, BC. “There’s a new building coming forward, a new abattoir, I think that’s the French pronunciation of slaughterhouse,” said Councillor Mike Starchuk. “So Surrey will have a newer facility with a better capacity so people will have the ability to not have to ship an animal to Alberta to have it processed. The applications have gone through the Agricultural and Food Sustainability Advisory Committee.” The facility is proposed on a 25-acre property within the Agricultural Land Reserve at 5175 184th St. The planned 30,000-square foot abattoir in Cloverdale would process up to 100 head of cattle per day. According to a city report, that would make it larger than any other processing facility in B.C.. But it would still be small by industry standards, compared to the largest meat processing plants in Alberta that process 3,000 heads of cattle per day. The proposed facility would be fully enclosed and designed
so as to not emit odours. And while there is an operational 6,000-square-foot abattoir on the property now, it’s can only process a limited number of cattle. Chris Les is general manager of Meadow Valley Meats, the company behind the project. Meadow Valley Meats is seeking a Canadian Food Inspection Agency license for the proposed abattoir, to become a federally registered meat establishment and expand the operation. This would allow the meat products to be transported beyond B.C.’s boundaries. “Our focus is on trying to bring a more efficient, sustainable local product to the market, realizing we can do that now in a very limited sense,” said Les. “I caution people when talking to them and they say, ‘What a big plant, that’s going to go allow you to go mainstream.’ Well, yes, if you look in the context of B.C., but this is still a very niche plant and we’ll serve a niche industry for producers and for the For It’s more information, market. certainly not going to bevisit: www.artisanfarms.ca a monstrosity of a plant but it’ll be a bigand upgrade from the site currently.” www.localharvestontario.ca Continued on page 32
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BANFF PORK SEMINAR 2021 GOES VIRTUAL
The 2021 Seminar was to be a milestone 50th anniversary one, says Steeple. “However, we will save that official celebration for the next time the Seminar can be held in person at our partner, the Fairmont Banff Springs Hotel.
The 2021 Banff Pork Seminar (BPS) will have a different look for its upcoming event. The organizing committee for the Seminar has made the decision that their next conference will be a virtual one. “With the COVID-19 pandemic our decision to move virtual to help keep our delegates safe was clear,” says Ashley Steeple, Seminar Coordinator. “Our 2021 Seminar will be an online experience. There will be an adjustment in dates to a two day event, held Tuesday Jan. 5 and Thursday January 7, 2021. “More details are coming in the weeks ahead,” says Steeple. “Program information and registration details will be available by September and registration will open officially in October. We have some innovative ideas for sponsorship, and those details will be announced in September.” 22 CANADIAN MEAT BUSINESS 22
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“In keeping with the history of our don’tvery think strong being onspeakers the island seminar DF: we Ihave has really impacted us negatively and related activities planned for the one way orand the we other. traveled a lot, virtual event areWe’ve confident this met a lot of other farmers and livestock will a rewarding experience for our producers in other parts of Canada, and delegates.” we all seem to have the same issues and same concerns.
The Banff Pork Seminar is coordinated CMB: I understand that your farm by the Department of Agricultural, was the first in Atlantic Canada to be Food andinvolved Nutritional Sciences, in the TESA program. University of Alberta, in cooperation DF: Yes, I think we were the first farm with Alberta Pork, Alberta Agriculture east of Ontario as far as I understand. and Forestry and other pork industry I’m not sure why the eastern representatives from across Canada. associations wouldn’t have previously nominated anybody because there are
many farms here will on PEI every More complete details bedoing available bit asBPS much as we are as to which attain a in the Inside Special Report high level in of August sustainability. Anyway, can be accessed by link from we were very surprised when the PEI the Seminar website www.banffpork. Cattleman’s Association nominated our ca. Follow BPS on Twitter @BanffPork. farm.
And then you were attending the For moreCMB: information, contact Ashley Canadian Beef conference in Calgary Steeple, Banff Pork Seminar, Phone and you won. (780) 492-3651, Email: pork@ualberta. Yeah! That was a very nice moment ca or visitDF: www.banffpork.ca
for us. But I don’t like to use the word win actually. However, being recognized for our commitment was a real honour. If you want to know the truth, it was a pretty humbling experience. As I said to CBC when they phoned me after the conference, I was just floored, really couldn’t believe it. CMB: So now that you have been recognized, do you think that will draw more attention and garner more nominations out of Atlantic Canada going forward? DF: Absolutely. We’ve gotten a lot of good press highlighting the island cattle industry. I’m positive you’ll see more farms in our neck of the woods nominated next year. And I have to give the Canadian Cattleman’s Association recognition for choosing a farm from Prince Edward Island. We are small players in the national beef industry and I think it was a real credit to their organization to recognize us. They treated all the nominees royally and it was a real class act. It was a wonderful experience.
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HOW THIS ORGANIC JERKY COMPANY ACHIEVED ONLINE GROWTH THROUGH PANDEMIC FOUNDERS PERSEVERE THROUGH THE PANDEMIC TO BRING DICK DUFF’S ORGANIC JERKY TO CANADIANS The Founders of Dick Duff’s Organic Jerky, a beef jerky company based in Ontario, adapted their business amidst the pandemic to turn their focus online. Jeremy and Jonathan Anderson launched the company in July of 2019 after Parry Sound-based jerky legend Dick Duff partnered with the brothers to sell his famous recipe. The business-savvy pair have been consuming the savoury snack since the 90’s, when Dick Duff’s home operation was in full swing. The duo is on track for a successful first year with Duff’s three delicious jerky flavours available in over 250 locations across Canada. As a significant part of their business development was centred around trade shows and in-store demonstrations, they had to find a new way to reach consumers. The Andersons had a reputation to uphold and pushed through the pandemic to further Duff’s legacy, who is now 60 years of age. When COVID-19 halted life in Canada, they got off the road and went online. Dick Duff’s online sales grew exponentially, with the duo selling 15 times more jerky virtually than in February of this year. To achieve this growth, the Founders explored various online sales opportunities after Innovation Guelph mentor, Brad Fitzsimmons, gave them sound advice: “During a crisis, view it as a learning opportunity for your business,” said Fitzsimmons. “Ask yourself, what does my business need right now? And how can I learn, develop and adapt accordingly?” The Andersons started with Amazon and in no time the jerky was flying off virtual shelves. They also saw 24 24
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gains by partnering with food delivery services like Fresh City Farms and Well.ca, which grew in popularity due to the pandemic, and working with subscription box companies like Carnivore Club and Pine. Getting creative, the brothers also partnered with microbrewery delivery service, Brewer Eats; with any beer delivery, food was a requirement. As it turns out, craft beer drinkers find organic jerky the perfect pairing. “Traditional in-person marketing channels suddenly closed and as a new company, it was critical we found alternative ways to reach consumers,” says Jeremy Anderson. “Online was the obvious choice, but even then, it wasn’t clear how to navigate it. So we got creative. We explored all kinds of online marketplaces, advertising channels and partnerships to create brand awareness and drive sales through these tough times.” Canadians looking for a go-to power food for their next outdoor adventure, a keto-friendly snack for the cottage and high-protein hiking fuel can find Dick Duff’s Organic Jerky across the country for less than $10, and in many places online. In keeping with Duff’s methods back in 1989, when the jerky came to be, it continues to be clean, sustainable and ethically-sourced. The company prides itself on its use of organic beef, boasting no GMOs, pesticides, added hormones, antibiotics or preservatives, only authentic, quality flavour true to Duff’s recipe. For more information, visit https://www.dickduffs.com/.
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Each year the North American Meat Institute in conjunction with the Foundation for Meat & Poultry Research & Education, conducts a series of annual conferences and educational workshops to meet the needs of our membership, the meat industry and their retail and food service customers. For the safety of our industry we have transitioned our Fall events to unique digital experiences. Registration includes live and on-demand content, dedicated time to connect with industry colleagues, view the latest technology and more!
LEARN MORE | meatinstitute.org/events 100TH ISSUE | March/April 2019
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RECOVERY STILL A LONG WAY OFF AS CANADIAN SMALL BUSINESS SALES STRUGGLE TO REIGNITE By Marilyn Braun-Pollon CFIB ENCOURAGES CANADIANS TO SHOP LOCAL TO FUEL SMALL BUSINESS RECOVERY Small business recovery is going to be a long, tough road. Governments can and should do more, but ultimately businesses need sales to transition off subsidies and survive. According to new data from the Canadian Federation of Independent Business (CFIB)’s Small Business Recovery Dashboard, just over one in four Canadian small businesses are back to making normal sales. Canada’s small business owners worry consumer spending is going to continue to be muted even as more businesses reopen across the country. This summer has been a hard one for small businesses. As Canadians drive or walk through their neighbourhoods, they see more open shops and restaurants and may believe that businesses are back to normal operations. But behind the counter, the story is often very different. While 63 per cent of Canadian small businesses are fully open and 39 per cent are fully staffed, it is a sobering picture when only a quarter of small firms report their sales are at normal levels, and another quarter remain down by 50 per cent or more.
three out of five have used the Canada Emergency Business Account (CEBA), the government’s rent assistance program remains dramatically underutilized. Only 15 per cent of small business tenants have used the Canada Emergency Commercial Rent Assistance (CECRA) program. While it took a long time, the federal government listened to small business owners’ concerns with CEWS and made helpful adjustments to key elements that weren’t working. To its credit, government did twice expand access to the CEBA loan program, which has provided a critical lifeline to hundreds of thousands of businesses. Unfortunately, progress appears to have stopped as far too many firms remain unable to access CEBA loans, despite a mid-May promise by the Prime Minister to extend these loans to new firms and those without business bank accounts.
We know small businesses are big players in our economy, so minimizing business losses is critical to recovery. Right now both government support and consumer behaviour are critical to transitioning back to conditions that allow businesses to survive and thrive. Small business owners rank government aid programs: CEBA, CEWS well used; CECRA continues to fall short While more than half of small businesses have used the Canada Emergency Wage Subsidy (CEWS) and 26 26
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That’s why the CFIB is encouraging Canadians to get involved in helping small businesses survive by shopping at their local, independent businesses. At smallbusinesseveryday.ca, consumers can participate in interesting challenges to support local businesses, and information about other initiatives aimed at small business recovery. There’s a reason we all have a favourite independent coffee shop, gym, or flower shop—they give us terrific service, grow local economies and make our communities more vibrant and unique. Buying local is one of the most important things Canadians can do to help our economy recover quickly.
But CECRA is another story. It’s not working for anyone—tenants or landlords—yet no major changes have been made to the program since it was announced, beyond an extension to July and August. CEBA and the wage subsidy are well used by Canada’s small businesses and are viewed as being very or somewhat helpful by more than two-thirds. Sadly, only 20 per cent of small firms are satisfied with CECRA as the federal and provincial governments have not yet agreed to allow a pathway for tenants to get direct rent support if their landlord doesn’t participate. It is critical the federal government continues to adjust these important programs to ensure the businesses in need of help the most get it before they are forced to close permanently. These programs could be the difference between the best and worst case scenario so it is incumbent on government to continue to listen to small business owners and modify the programs accordingly. Time is running out. 82 PER CENT OF CANADIANS WORRY THEIR FAVOURITE LOCAL BUSINESSES WILL DISAPPEAR: According to new public opinion research conducted by Maru/Matchbox for the CFIB Canadian Federation of Independent Business, four in five Canadians are worried their favourite local businesses may close down as a result of the pandemic. The poll found: 82 per cent of Canadians are worried that their favourite local businesses will close down; 69 per cent are concerned the economy is not recovering fast enough; 76 per cent believe we need to start focusing more on economic recovery; and 95 per cent believe supporting small business is key to keeping our economy healthy. We are in a pivotal moment for small business recovery. Canadians’ concern that some of their favourite businesses may close is not misplaced—CFIB’s research shows that Canada may lose 158,000 small businesses before the end of the pandemic, particularly as many continue to face dramatically lower sales.
Marilyn Braun-Pollon is the Vice-President of Western Canada & Agri-business for the Canadian Federation of Independent Business (CFIB). CFIB has 110,000 small and medium-sized member businesses (7,200 agri-business members) across Canada. To find out more about how to support local business go to www.smallbusinesseveryday.ca. Call CFIB’s Business Helpline Today! Our Business Helpline is open to all small businesses (including farm businesses) who need advice or information on COVID-19 or any other business-related issues. Business owners are welcome to call our Business Resources line at 1 888 234-2232. Visit www.cfib.ca/covid19 for more information, FAQs and more.
Marilyn Braun-Pollon The vice-president of Prairie and Agri-business at the Canadian Federation of Independent Business (CFIB
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