by PATRICIA GROTENHUIS
Ontario seed corn producers will have one less company to obtain contracts with in future seasons.
This fall, Syngenta Seeds Canada announced plans to suspend indefinitely its Ontario seed corn production activities.
The company temporarily suspended contracts after the 2008 harvest and hasn’t issued any to growers since then. That year, Syngenta had contracted 3,100 of the province’s 26,700 seed corn acres.
“It was really a business decision,” says Judy Shaw, government and public affairs director for Syngenta Canada. “Even though the quality of seed was excellent from the 3,000 acres, it was a small amount and we felt we had to make a decision.”
The acres did not fill Canadian demand for seed corn, and with larger production in the United States, it was more economically feasible to import seed, she says. Some seed will also come from South America.
Because Syngenta contracts have not been available, the impact has already been felt. But it continues to hurt the province’s seed corn industry, says Marc Roszell, a seed corn producer from Chatham and director for Ontario Seed Corn Growers’ Association.
“The acreage (for seed corn production in Ontario) is down overall,” he says. “It’s not good for us to see them close (the plant).”
Mary Lynn Lister Santavy, the association’s executive director, says producer numbers have held steady at 375 over the past three years. This year’s acreage, up slightly over last year’s, stands at 21,400.
Lister Santavy says it’s too soon to know how many acres will be contracted for 2011.
Syngenta processed the Ontario-grown seed corn at its Cottam, Essex County plant. The plant will now be used for distribution and for processing seeds other than corn. The company has cut eight of 22 full time positions there.
Roszell says all of the seed corn processing plants in the province are running below capacity. Competition in the industry is stiff, he says; in many cases importing seed is cheaper than growing it here. BF
Comments
Why don't we as corn producers stop buying Syngenta seed corn. Only support companies who support us!!!
I am writing to provide some clarification about the article published on November 11, 2010 regarding seed production in Ontario.
Ontario is crucial to Pioneer Hi-Bred’s seed production in North America.
We produce seed in Ontario for Canadian growers as well export seed to the United States. In fact, we’ve increased our production capacity. Over the last decade we’ve invested millions of dollars in seed production infrastructure in our plants in Chatham and Ridgetown, Ontario.
Last year we hired 30 additional staff for our production team in Ontario, and announced a new facility to be built in Wingham in 2011.
For Pioneer, sales are increasing and production is keeping pace. We’re proud that we’re providing top hybrids to Ontario farmers, and good jobs and wealth to the Ontario economy.
Ian Grant
President, Pioneer Hi-Bred Limited
Question
Do we need a better watchdog on Ontario seed pricing comparing with USA
Seed corn pricing in Ontario is rather high priced when compared to Ohio and Michigan, and mid west. Canadian dollar is near par, too many Ontario farmer seed corn dealers as directors and delegates in Grain farmers of Ontario. How do these farmer seed dealers serve 2 masters?
When was the last time international seed corn prices were compared. Maybe Ontario farmers should look south for pricing. and start direct importing from US farmers by passing US dealers , before USA dealers are black listed for selling to Canadians. Volume discounts are given for all seed sales but most of Ontario's 25000 farmers dont get much advantage of 20 to 50 discounts per unit as bigger farmers. Mid western US seed is priced on a regional basis while Ontario is same price province wide. Cross USA regional county boundries and you can see large reductions in pricing per unit
I would like to reiterate the comments made by Ian Grant, President of Pioneer Hi-Bred in his report of Pioneer's committment and optimism regarding the seed corn industry in Ontario. Their investment, and the investments made by most of our other processors is indicative of their vision for the future.
It is our hope that the Syngenta decision to suspend production temporarily due to the upgrading necessary to refit the Cottam plant to current technology is one that we can reverse. We've always valued our mutually beneficial relationship with Syngenta and as part of our Association's new strategic vision, we look forward to working with them on future growth opportunities.
The seed corn industry in Ontario is open for business and we're committed to being part of it's continued success.
Neil Wilson
Chair, Seed Corn Growers of Ontario.
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