Better Pork

After a disastrous 2023 financially, Canadian producers are looking for a better 2024. The USDA projects that Canada’s pork production will decline a further -1.2% in 2024 and Farm Credit Canada anticipates producers are going to face tight margins until at least the summer. In the last couple of weeks financial projections for 2024 have changed rather dramatically (see charts below). These charts are projections for producers in Ontario for 2024. The first chart came out on January 3, 2024, and the second chart came out on January 10, 2024. As you can see for the calendar year 12 month average the projection went from a loss of $16.23 to $1.48 loss in the span of one week of projections. That dramatic change is positive news for a wounded industry and will hopefully continue in the direction where most of the 2024 calendar year will be profitable.

In an official statement, the Canadian Food Inspection Agency (CFIA) has initiated a recall of Kroes Croquettes brand Frikandellen due to the presence of an undisclosed allergen. The product, sold in 320-gram servings with the UPC code 8 25383 00023 8, contains milk, a well-known allergen that was not listed on the packaging. The recall pertains to products distributed from Ontario, with the CFIA advising retailers to promptly remove the affected items from their shelves. Consumers are urged to discard any purchased units, emphasizing the potential risk for individuals with milk allergies. This precautionary measure aims to ensure the safety of consumers and aligns with the CFIA’s commitment to transparent labeling and allergen awareness in food products.

Image by Michelle from Pixabay. The governments of Canada and Ontario have announced they will contribute up to $8-million in funding through the () to create or increase processing efficiencies and enhance food safety in the province's dairy processing sector. Eligible dairy businesses are invited to apply for funding through the to acquire modern technologies that increase production efficiency and ensure food safety in their facilities. Cost-share support through this initiative can be used to help cover the purchase and installation of new or refurbished equipment and its associated costs, such as training. 'Ontario's dairy processors work tirelessly to ensure their products meet the highest standards for quality and safety,” stated the Honourable Lawrence MacAulay, Canada’s Minister of Agriculture and Agri-Food. “Through this $8-million shared investment under Sustainable CAP, processors will be able to access the technology they need to continue to grow and improve their efficiency.' This investment supports the objectives of the government's to strengthen the agriculture and food supply chains and build resilience in the face of any future disruption. The is open to cow, goat, sheep, and water buffalo milk processors. There are 171 licensed cow and goat dairy processors, plus additional sheep and buffalo dairy processors, in the province. Each eligible applicant can receive up to $200,000 in cost-share support. Applications open on April 2, 2024, and will remain open until the initiative is fully subscribed. Eligible project costs can be incurred as of April 2, 2024. The is a five-year (2023-2028) $3.5 billion investment by federal, provincial, and territorial governments to strengthen competitiveness, innovation, and resiliency in the agriculture, agri‐food, and agri‐based products sectors. This includes $1-billion in federal programs and activities and a $2.5 billion commitment that is cost-shared 60 percent federally and 40 percent provincially and territorially for programs that are designed and delivered by the provinces and territories. “Our government is committed to working with Ontario's dairy processors, so they will be able to continue to supply the array of delicious, nutritious, and safe products that consumers enjoy and trust. Efficiencies realized through new technologies will play a key role in helping the sector continue to thrive,' stated the Honourable Lisa Thompson, Ontario Minister of Agriculture, Food and Rural Affairs. It is expected that the will help enable the goals outlined in Ontario's , which include increasing the production of food by 30 percent by 2032 and growing agri-food exports by eight percent annually.

The Alberta government is encouraging workers at Olymel’s pork processing facility affected by upcoming layoffs to access support programs. “Alberta’s government recognizes it is challenging every time hard-working Albertans lose their jobs,” the Ministry of Jobs, Economy and Trade told Farms.com in an email. “Affected workers are encouraged to access programs and services that will help them get back to work. These programs and services include income support, emotional support, coping with job loss and help finding new employment.” Farms.com contacted the provincial government following news that Olymel is laying off up to 100 people from its Red Deer plant, and calls from the United Food and Commercial Workers (UFCW) Local 401 for the government to be there for workers. “Workers are facing unprecedented challenges due to the global affordability crisis. No one wants to contemplate unemployment for any amount of time on top of that,” UFCW Local 401 President Thomas Hesse said in a statement. “While we understand that Olymel expects these adjustments will be temporary and remains confident about the future viability of the Plant, our union believes it is time for the provincial government to step up and provide tangible relief for food workers and their families.” Olymel most recently cut Alberta staff in May 2023. The company laid off 80 people between Alberta and Saskatchewan when it reduced hog production and its sow herd from 57,000 to 40,000. At the time, Olymel estimated the affects from these decisions wouldn’t be felt until at least 2024. The company has about 13,000 employees working in 30 offices, plants and distribution centres worldwide, its website says.

Viterra employees represented by the Grain and General Services Union (GSU) Locals 1 and 2 ratified the company’s latest contract offer on Jan. 19. About 436 employees across Saskatchewan voted in favour of the four-year contract, which Viterra offered on Jan. 4. Local 1, which represents country operations and maintenance, voted 63 per cent in support of the contract. Local 2, which represents workers in the Regina office, voted 68 per cent to accept the deal. Those results do “not show overwhelming support for the final offer,” the GSU said. The contract increases pay by 13.25 per cent over the length of the contract, including a 4.5 per cent raise in the first year. But the agreement doesn’t address all employee concerns. “Members of Local 1 and 2 have been living under the company’s so-called pay-for-performance system for 15 years now,” Steve Torgerson, bargaining spokesperson and GSU general secretary, said in a statement. “While the changes in the final offer achieve part of what members were looking to gain, it doesn’t go far enough. Members will continue to press the company during the term of the new agreement to address their concerns.”

Leading up to Tyson Foods’ annual shareholders meeting on February 8, a nonprofit corporate sustainability watchdog is intensifying its efforts to encourage the food processor to embrace a circular economy for packaging. Tyson Foods has recommended rejecting a proposal put forth by As You Sow, submitted a month prior, asserting that the company is actively working to reduce plastic and packaging waste. The board contends that the proposed assessment and reporting are unnecessary, considering their current practices and disclosures. In a proxy statement, Tyson officials stated, “The Company shares proponents’ concerns for reducing plastic pollution and is already engaged in efforts to improve packaging sustainability as well as providing public disclosure on progress on these initiatives.” However, a recent filing by As You Sow argues that Tyson’s efforts are inadequate, claiming that the company lacks substantive packaging data in the public domain, putting it at risk of violating Extended Producer Responsibility (ERP) laws.

In the aftermath of a challenging 2023, hog producers may encounter slightly better conditions in 2024, but the industry continues to grapple with a tough economic landscape, according to Iowa State University Extension economist Lee Schulz. “The headwinds of profit are still coming,” Schulz remarks, underscoring that, if current projections materialize, the industry is poised to experience its most unfavorable two-year stretch in pork producer profitability. While 2024 appears less dire than 2023, red ink still looms over the industry. Schulz questions the likelihood of national hog herd expansion this year, leaning towards the possibility of contraction. The latest USDA Hogs and Pigs report reveals a negligible increase in total hog and pig inventory compared to the previous year, with a notable 3.3% decline in the breeding herd—an ongoing trend. Schulz suggests this reduction might offer some market support, though he acknowledges record pig numbers per litter have sustained overall production despite the diminishing breeding stock. Western Illinois University ag economics professor Jason Franken observes that the decline in the breeding herd exceeded expectations, while the rise in pigs per litter continues to be a prevailing trend, helping offset reductions in farrowing intentions. Despite these dynamics, market conditions don’t currently favor aggressive expansion. Producers, having suffered substantial losses in 2023, are cautious about cutting breeding herds due to recent investments in facilities. Schulz notes that economic conditions have persisted long enough to necessitate a pullback, emphasizing that decisions made today regarding pork production were influenced by conditions 10 to 18 months ago. Continued contraction in the industry is anticipated in the coming months, with reductions in farrowing intentions signaling a challenging road ahead. High costs, particularly for labor and contract services, continue to burden producers. However, Schulz suggests that a year of increased exports could bolster demand, potentially injecting optimism into the marketplace and providing support for industry expansion. The industry’s ability to navigate challenges and capitalize on export opportunities may shape its trajectory in the months to come.

World pork production for 2024 is estimated 1% below the October forecast due to lower production expected in China, the European Union, and Brazil. China's production is expected to decline, given the continued weak demand that discourages the expansion of domestic production. Continued regulation and changes in consumer preferences were the factors behind the downward projections for the European Union. Brazil's production is estimated to be lower than projected in October, as imports from China, its main market, continue to weaken. U.S. production is virtually unchanged, as the decrease in farrowings has been offset by an increase in pigs per litter. World pork exports for 2024 were lowered by 2% from the October forecast, as the European Union, the United States, and Brazil increasingly compete for China's lowering imports. Although U.S. exports remain strong to many major markets, including Mexico and Canada, total exports are projected to decline given weak import demand from Japan and China. Exports from the United Kingdom are also expected to decline due to decreasing demand from the European Union.

By Braxten Breen Farms.com Intern An essential tool to the farm that doesn’t get spoken about enough are funnels. They’ve been around for who knows how long and remain a crucial role when transferring liquids or granular on the farm. Today, many of them have smart features to help get the job done efficiently and with less mess. Reducing spillage, maintaining chemical safety, easy handling, and overall efficient liquid/granular transfer year after year a classic funnel never fails at its job. At the end of the day, funnels solve the same problem, being able to safely transfer liquid/granular with no spillage. But that doesn’t mean they can’t all be designed for a specific type of purpose. Uline carries 6 different funnels, all with the same idea, but all with a specific purpose. The Safety Drum Funnel is an 18-gauage galvanized steel lockable funnel designed to transfer flammable solvents, oils, and thinners quickly and safely. A brass tube with flame arrestor will protect contents from sparking, when in an emergency, the lid will automatically shut itself to extinguish flames. The Poly Drum Funnel is a polyethylene lockable funnel designed to transfer nonflammable liquids. The funnel itself can screw into 2” bung openings with a removeable screen filter. The Oversized Drum Funnel is a molded polyethylene funnel designed to quickly fill drums with solvents, detergents, and waxes. To reduce any splashes when pouring, a 6” sidewall has been incorporated so solvent doesn’t spill. The Utility Funnels are chemical-resistant polyethylene designed to safely transfer hazardous liquids. The utility funnels come in multiple sizes 8 oz. 16 oz. or 64 oz. The Heavy-Duty Funnels, these are designed to pour motor oil, antifreeze, and other chemicals in the auto shop, or in this case the barn. Choose the fit that suits the farm, whether that is a 64 oz. or a 192 oz., that includes a screen filter at the bottom that traps small debris. The last funnel must be one of the more commonly used funnels, produced with durable polypropylene that’s the Funnel for Type 1 Gas Can. Fill and pour straight from the can without removing the funnel with the hinged design. Overall, funnels continue to be an essential tool on the farm, where more and more are being produced with a specific purpose behind them.

Here is a look at how the carbon tax impacts a simple loaf of bread. The journey of a loaf of bread begins with the farmer earning about $0.18 from 550 grams of wheat, according to the Manitoba PCs. However, this modest profit comes after facing multiple instances where carbon tax affects the cost of production. For instance, the journey to buy certified wheat seed incurs carbon tax on fuel and heating for the retailer’s office. Similarly, purchasing fertilizer to grow the crop involves carbon tax on truck fuel and the fertilizer manufacturing process. During planting, carbon tax on seeding equipment adds to the expense. As the crop emerges, battling weeds with chemical products leads to further carbon tax costs, including on fuel for trucks and sprayers. The battle doesn't end there. Disease prevention using fungicides again entails carbon tax on various levels. Come harvest, the combine and trucks used to transport the grain are subject to carbon tax on their fuel. The challenges continue even after harvest. Wheat with higher moisture content must be dried, incurring carbon tax on the fuel used for grain dryers. These instances of carbon taxation occur just for growing the crop. Additional steps in processing wheat into flour and bread involve more carbon tax payments. This scenario illustrates the layered financial burden that carbon tax places on Manitoba farmers. It raises questions about the effectiveness of current policies in supporting agricultural productivity while balancing environmental goals.

The Community Fund, proudly presented by Farm Credit Canada (FCC), is excited to announce that applications for its 5th year are now open. This initiative aims to bring free mental health workshops to agricultural communities, enhancing their well-being and support systems. With the deadline set for February 15th, 5:00 PM CST, this year promises an even broader range of courses, thanks to FCC's continued support. These workshops are crucial for the mental health of those in agricultural communities. We're calling upon leaders, businesses, and associations from all rural agricultural areas across Canada to help facilitate these vital sessions. In addition to the in-person regional courses, the program also includes online workshops covering various mental health topics. These online sessions are open to everyone, with dates to be announced soon. A new addition this year is the virtual peer-to-peer support group named 'Grief Support.' This group will focus on understanding different types of grief, including suicide bereavement and grief support. Additionally, crisis response workshops will be available to provide even more extensive support. The AgCulture course, tailored specifically for mental health professionals, will continue. This program helps these professionals understand the unique challenges faced in agriculture, thereby enhancing their ability to provide effective support. FAQ’s Who can apply? Any member, busi

Exciting news for Manitoba's agricultural community as the Canadian and Manitoba governments join forces in a $450,000 investment over three years for the Manitoba Farmer Wellness Program (MFWP). This strategic initiative focuses on providing essential access to professional counseling services uniquely designed to address the distinct challenges faced by farmers, farm families, and workers. The MFWP stands out from other mental health programs by offering support that goes beyond crisis intervention. Their approach focuses on longer-term counseling and preventative measures to help individuals build resilience and cope with the specific stressors of farm life. These stressors can include: Seasonality of operations: The pressure of fluctuating workloads and income based on the agricultural calendar. Extreme climate events: The anxiety and uncertainty caused by unpredictable weather and its impact on crops and livelihoods. Global and market fluctuations: The stress of navigating volatile market conditions and economic uncertainties.

Ontario's dairy processors, are receiving a much-needed boost thanks to a $8 million investment from the Canadian and Ontario governments. This funding, delivered through the Sustainable Canadian Agricultural Partnership (Sustainable CAP), aims to enhance processing efficiency and food safety in the province's dairy sector. Eligible dairy businesses, including cow, goat, sheep, and even water buffalo milk processors, can now apply for the Dairy Processing Modernization Initiative. This initiative provides cost-share support, up to $200,000 per applicant, to acquire modern technologies that streamline operations and bolster food safety measures. This includes funding for purchasing and installing new or refurbished equipment, as well as associated costs like training. “Our government is committed to working with Ontario’s dairy processors, so they will be able to continue to supply the array of delicious, nutritious and safe products that consumers enjoy and trust,” said Lisa Thompson, Minister of Agriculture, Food and Rural Affairs. “Efficiencies realized through new technologies will play a key role in helping the sector continue to thrive.” The Federal Minister of Agriculture and Agri-Food, the Honourable Lawrence MacAulay, echoed this sentiment, praising Ontario dairy processors for their commitment to quality and safety. He further emphasized the initiative's role in supporting the industry's growth and continued success. The Dairy Processing Modernization Initiative is part of a larger, $3.5 billion commitment through the Sustainable CAP. This five-year investment, spanning from 2023 to 2028, aims to strengthen the entire agriculture and agri-food sector across Canada. By fostering competitiveness, innovation, and resilience, the program seeks to secure the future of this vital industry. Applications for the Dairy Processing Modernization Initiative open on April 2, 2024, and will continue until the program reaches its capacity. Eligible project costs incurred on or after April 2, 2024, are also covered.

The Agri Insurance program, a cornerstone of risk management for farmers, is introducing changes to aid producers amidst fluctuating global markets. This initiative, announced by federal Agriculture Minister Lawrence MacAulay and Manitoba Agriculture Minister Ron Kostyshyn, highlights the government’s commitment to the agricultural community. For the 2024 crop year, Agri Insurance is poised to provide close to $5 billion in coverage over an estimated 9.55 million acres. This marks a substantial support system for Manitoba farmers, ensuring they have the necessary backing to handle various natural perils like droughts or floods. A notable change for this year is the reduction in premiums. The average premium for annual crops is set to decrease to $16.21 per acre from the previous $19.21, offering a financial reprieve to producers. The program's coverage extends to over 80 different crop types, reflecting its comprehensive nature. This diversity is particularly relevant given the ongoing volatility in global commodity markets. While some crops like dry beans and potatoes will see increased dollar values due to these market conditions, most crops will witness a reduction compared to 2023. Ron Kostyshyn, Manitoba Minister of Agriculture highlights “This is good news for producers at a time when risks and costs related to farming in Manitoba continue to climb. We’re happy to offer affordable risk management for Manitoba farmers through the Agri Insurance program because we know that any reduction in operational costs helps their bottom line.” The Honourable Lawrence MacAulay, Minister of Agriculture and Agri-Food emphasize “Canadian farmers have experienced a challenging growing year, battling a range of extreme weather events from floods to wildfires and drought. We know the uncertainty this causes for the sector, and why access to flexible and affordable risk management tools is so vitally important. The AgriInsurance program covers over 80 different crop types and will help ensure our hardworking farmers in Manitoba are able to continue to produce the high-quality products they are known for.” In 2024,Agri Insurance is introducing a pilot program specifically designed for small-scale vegetable producers. It allows these producers to bundle eligible crops to meet acreage minimums, thus providing more inclusive insurance options. To find out more, contact your local Manitoba Agricultural Services Corporation Centre. https://www.masc.mb.ca/masc.nsf/contact.html

A Manitoba organization dedicated to providing mental health assistance to the province’s ag community received support from the provincial and federal governments. At Ag Days in Brandon on Jan. 16, Premier Wab Kinew announced the Manitoba Farmer Wellness Program (MFWP) would receive $450,000 over three years from Manitoba and Ottawa through the Sustainable Canadian Agricultural Partnership. It’s “important to have specialized mental health resources available specifically for producers and their families, and why we are proud to partner with the federal government on this key initiative,” the premier said, Pembina Valley Online reported. Representatives with the MFWP appreciate the support. This funding will allow the organization to expand its footprint in the community, said Gerry Friesen, the MFWP’s chief administrative officer and one of its founding members. “On Jan. 1 of this year we expanded our programming to providing counselling sessions to farm employees,” he told Farms.com from Ag Days on Jan. 18. “Now we can look at bigger and better things because we know there’s a large ag community out there who require support.” What exactly further programming looks like isn’t known yet because the funding announcement came on short notice.

Two farms in Western Canada are trying to move forward following barn fires. On Jan. 13, a fire destroyed a dairy barn and killed 61 cows and five calves at a farm in Leduc County, Alta. The fire occurred at the Maskoske family farm, a multi-generational dairy operation. Firefighters from Leduc and Millet received calls about the fire around 2:30pm on Jan. 13, CityNews reports. But by the time crews arrived, flames were fully engulfing the barn. And frigid conditions made fighting the fire even more difficult. “The extreme cold temperatures experienced on Saturday led to the freezing of hoses, nozzles and fire apparatus, making it extremely difficult to fight the fire,” a Leduc County official told CityNews. The family is appreciative of those who tried to help, and thankful no one was injured. “We are so very grateful everyone is okay, we want to extend our deepest thank you to our community, family & friends that came that day to try (to) help us do anything we could to save our cows & barn, unfortunately nothing could be done,” Ryan Maskoske posted on his Facebook page.

Sodexo Canada's first-ever Sustainable Food Barometer, conducted in collaboration with Leger, presents insightful data on Canadians' sustainable food habits and intentions. The survey, involving over 1,500 Canadians, provides a comprehensive picture of the current state and aspirations of Canadians in terms of sustainable eating. A notable finding is that a vast majority of Canadians (87%) recognize the urgency of adopting more sustainable eating habits. This awareness is reflected across all age groups and income levels, particularly among young adults aged 18-24. Interestingly, Canadians are already making strides in this direction, with 75% reducing household food waste, 68% eating seasonal produce, and 56% opting for local produce. However, the survey also highlights a gap between intentions and actions. Financial considerations and entrenched eating habits pose significant barriers to making more profound changes. Price remains the most crucial factor for Canadians when shopping for groceries, followed by taste and nutritional value. Despite these challenges, there is a willingness among Canadians to reduce their consumption of animal proteins and dairy products, aligning with global trends. The primary motivations for sustainable eating are health benefits and financial savings, with a significant number of Canadians also valuing food autonomy and setting an example for future generations. Sodexo Canada, recognizing its influential role, is committed to offering more sustainable food choices and reducing its environmental impact. The company's efforts include sustainable sourcing, offering plant-based recipes, optimizing energy use, and expanding the WasteWatch program to reduce food waste.

Olymel is laying off 100 workers from its Red Deer, Alta. pork processing facility. “At this time, 30 temporary layoff notices were delivered last week, and another 30 temporary layoffs are planned for this week,” spokesperson Audrey Giboulet told the Red Deer Advocate on Monday. Managers at the plant also announced the facility was overstaffed by about 200 people, the Red Deer Advocate reported. To support employees, the company is implementing an early retirement incentive program. Workers over 60 years old with at least 10 years of service as of Jan. 30 would be eligible for this program. Four people have already signed up. Any further layoffs will depend on the success of the early retirement program. And affected employees could be called back to work. Production and processing challenges are cited as reasons for the layoffs. In May 2023, for example, Olymel announced reductions at five production facilities in Alberta and one in Saskatchewan. This reduced the company’s sow herd by almost 30 per cent.

As reported by Farm Credit Canada, Economics, the Canadian agricultural sector in 2024 is witnessing significant shifts in protein consumption patterns. With a projected -1.2% decline in pork production due to global oversupply and margin pressures, Canadian producers are navigating a challenging landscape. This comes at a time when domestic demand for pork is increasing, driven by consumers opting for more affordable protein sources. Canadian pork production will be under pressure again in 2024 The changing food preferences have broader implications for Canadian agriculture, both domestically and in export markets. As the demand for diverse and high-quality proteins rises, the landscape of consumption is evolving. Notably, Canadian beef consumption is on a long-term decline, yet demand remains robust, influenced by factors like price and income. Plant-based proteins are gaining traction, with the market in Canada growing annually by 4.8% in 2017 and expected to rise by 5.6% by 2022. Field pea proteins are showing remarkable growth, expected to reach a market value of US$359.4 million in 2022. This trend presents new opportunities for Canadian pulse growers, with the domestic market projected to hit US$31.6 million by 2022. Consumer preferences play a crucial role in this shift. Studies from the University of Saskatchewan and a joint study by Wageningen University, Michigan State, and Purdue indicate a preference for beef burgers over plant-based alternatives when prices are identical, with plant-based burgers holding a 15-20% market share. Quality also matters, as evidenced by the growing price spread between AAA and AA beef cutout values. The relative prices between animal and plant-based proteins will continue to shape consumer purchases, suggesting a future with a diverse protein supply. Looking at global trends, especially in emerging markets like Asia, meat consumption is set to grow, albeit at a slower rate than before. The OECD Agricultural Outlook projects a global annual growth rate of 1.10% for meat consumption over the next decade, with emerging countries leading the pace. This opens opportunities for Canadian exports, especially to countries in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), like Vietnam and Malaysia.

As reported by Farm Credit Canada, Economics, the Canadian agricultural sector in 2024 is witnessing significant shifts in protein consumption patterns. With a projected -1.2% decline in pork production due to global oversupply and margin pressures, Canadian producers are navigating a challenging landscape. This comes at a time when domestic demand for pork is increasing, driven by consumers opting for more affordable protein sources. Canadian pork production will be under pressure again in 2024 The changing food preferences have broader implications for Canadian agriculture, both domestically and in export markets. As the demand for diverse and high-quality proteins rises, the landscape of consumption is evolving. Notably, Canadian beef consumption is on a long-term decline, yet demand remains robust, influenced by factors like price and income. Plant-based proteins are gaining traction, with the market in Canada growing annually by 4.8% in 2017 and expected to rise by 5.6% by 2022. Field pea proteins are showing remarkable growth, expected to reach a market value of US$359.4 million in 2022. This trend presents new opportunities for Canadian pulse growers, with the domestic market projected to hit US$31.6 million by 2022. Consumer preferences play a crucial role in this shift. Studies from the University of Saskatchewan and a joint study by Wageningen University, Michigan State, and Purdue indicate a preference for beef burgers over plant-based alternatives when prices are identical, with plant-based burgers holding a 15-20% market share. Quality also matters, as evidenced by the growing price spread between AAA and AA beef cutout values. The relative prices between animal and plant-based proteins will continue to shape consumer purchases, suggesting a future with a diverse protein supply. Looking at global trends, especially in emerging markets like Asia, meat consumption is set to grow, albeit at a slower rate than before. The OECD Agricultural Outlook projects a global annual growth rate of 1.10% for meat consumption over the next decade, with emerging countries leading the pace. This opens opportunities for Canadian exports, especially to countries in the Comprehensive and Progressive Agreemen