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Scrapping pork plant could cost producers millions
The abandoning of building a new pork plant in the Canadian province of
Saskatchewan could hit pig producers due to a huge increase in transportation
costs.
This prediction can be read in a report in the Regina,
Saskatchewan Leader-Post. SPI Marketing Group, selling pigs to Maple Leaf and
other processors, says that shipping pigs to Maple Leaf's facility in Brandon,
Manitoba will cost about US $2.50 to $3.50 extra.
Shipping
Producers might even have to be forced to ship pigs to the US - despite the
fact that selling profitably in the US will be difficult due to a strong
Canadian dollar.
Maple Leaf Foods, decided last week to cancel the planned US $97 million
pork processing plant in Saskatoon, Saskatchewan. The announced closing of its
existing plant in the city on the other hand will be going on.
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Editor PigProgress
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