George Matheson, chair of Manitoba Pork gave an update on the Manitoba pork industry at the recent AGM referring to the mood of the hog producer as optimistic.

“The cash price the last year defied the futures. There seems to be very good demand for pork, although there is a lot of pork being produced right now right across North America,” said Matheson. “Our price, of course, is a reflection of the US price. We hope to have some new barns built this year and the following years so that pork production will meet our processing capacity, and the new government is helping us make that happen.”

He outlines the changes of the new government’s stance to that of the former NDP government.

“Well, we did have a moratorium on hog barn construction, really due to the fact that the previous regulations insisted on anaerobic digesters being used for processing hog manure,” he said. “It totally would not have worked in regards to being profitable, so that is one of the reasons why you saw no hog barns being built over the last, well, eight to ten years. But we’re seeing … Number one, the government is very protective of the industry, but are basing their decisions on science and focusing on the use of lagoons and concrete storage underneath barns, being approved of course by engineers, seeing the continued responsible application of the manure, no spreading during the winter months and things such as that. As I mentioned, we’re going to continue to be very protective of the industry, but making changes that will allow us to proceed with barn constructions.”

The MP chair said the trade, of course, is very necessary for Manitoba and Canadian hog producers, considering Manitoba has to export 90 per cent and the total Canadian industry about 60 per cent.

“We continue to have a good two-way relationship with the US in regards to trade. Their pork moves up to Canada and we ship a lot of pigs down there, as well as pork,” said Matheson. “The interesting country on the block this year is China. They have an increased demand for pork because of primarily environmental regulations taking part in their country. Their imports of pork have been very surprising to everyone, so that will be something that we’ll watch closely over the next two years.”

Everyone appears to be guessing at the outcome of the NAFTA uncertainty.

“Well, we like to think that NAFTA has been very beneficial to the tariff-free movement of pork from Canada to the US, and in return US to Canada. President Trump has mentioned that he will be considering adjustments to it. We hope that the basic principles are kept though,” he said. “I think more and more as the years go by the producers on both sides, the processors on both sides are realizing that it’s an integrated industry. Our issues are very common. We’re both exporters and we will continue to work together, discuss issues. Of course, our processors are competitors, but we will continue to compete for the same markets and hopefully be on the same level playing field in regards to trade.”

When looking at the international opportunities the PC chair is disappointed that for the time being at least the Trans-Pacific Partnership has been stopped, mostly because of the United States’ decision, but Canada still has the CETA Agreement, the Comprehensive Economic Trade Agreement with Europe and looking for good trade deals as a result of that. •

— By Harry Siemens