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last update:Oct 18, 2006
Expert says Maple Leaf move makes sense
Pork producers in the Canadian province of Saskatchewan
should not be worried about the disappearance of Maple Leaf Saskatoon processing
plants.
Pig market expert Kevin Grier said the producers will be better off
shipping their animals to Maple Leaf's primary processing plant in Brandon,
Manitoba instead of to the north end of Saskatoon.
Transport costs
Saskatchewan producers fear that transporting pigs that far will cost them
US $5 to $9 more per animal.
Grier believes that Saskatchewan will stay the lowest priced region in
North American for producing pigs and that wil give the region an
advantage.
The Maple Leaf Foods in Saskatoon will close in the next three years. Plans
for building a new plant were abandoned last week.
Recognition
Manitoba Pork Council, on the other hand, is pleased with the company's
decision to concentrate business in Brandon. Chairman Karl Kynoch noted that
it's very reassuring to the province's producers that Maple Leaf has recognised
Manitoba as a leader in the pig industry.
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