ABP resolution Re supply management

[kato]

perfecho, rather than limiting the size of existing dairies, there is another option. In Manitoba the egg producers have good system. When demand increases, rather than allot new quota to existing producers, they hold a lottery. Anyone who wants to get into the business enters their names, and the new quota is given away. This year it allowed three new producers to enter without having to purchase quota. It's simple, but effective.

[perfecho]

Kato, not sure of the answer, and there are probably many parts of a solution. But I do know we are losing small producers that are viable operations due to the high sale value of quota, although I do see value in the quota system. In our area, many of the dairies are moving to 300 plus cows. We have a dairy in our neighbourhood that every animal is in a barn all times of the year....not a fence on the place...looks gorgeous, however is this the way we were meant to raise animals?
Food production, in my little mind, should be more of an ethical philosophy than a dollars and cents issue...God gave us a great food source however we continually find ways of screwing it up! Mass production, mass processing and mass distribution is killing us...literally as well socially.
The bottom line is food is too cheap! When we throw out 30% and it only costs us 10% of our income to start with, there is a problem. Food and food quality should be valued; it is the basis of our being and should not be supplied by the lowest bidder. (Melamine is cheap)
I best stop my soap box speech now, but there are more important things than lowest cost....reliable supply which includes multiple producers, shorter supply routes, jobs kept in the community. Our system is getting very pretentious with its global focus, and I believe there a day we are going to wish we had done things differently.

[rkaiser]

Seems to me that hitting one group to benefit another is typical North American economics. That being said, ther are some decent arguements for both sides here.

From a total beef perspective however, we are once again focusing on E.U beef marketing to support removal of SM and I don't believe that remnoving SM would be the last way that the E.U. would try to protect it's position. Might sound good that they have given us a number like 75000 head, and that would help a fair number of producers if their value chain was geared for profit back to producer. I think that the E.U. quota system for beef will change no matter what and quality and branding (esepcially using the Canadian flag) will keep Canadian companies in the E.U. game.

Do we have to push the S.M. button to remove beef at a premium price from our country though? I think not.

First meetings in China support the enthusiasm of ALMA officials as well as everyone else who has been here and seen the opportunity. My God what a country. And wherever they are getting the money to do the things they do;I don't know and don't care.

Once the officials that we met heard us say that we were not here to dump cheap beef into their country and were realy after the (still) literally millions who can't quite afford Kobe but would love to have a quality "Canadian" choice,we were off to the races.

Visited a duty free port area with buildings available to set up a fab plant and start importing carcasses for our low labor cost friends to cut up the way they prefer. Would not even need the duty free deal if the boneless rule was not in place.
And just like the E.U.,the rules "will" change. Just like every trade deal however, if you don"t actually ask and have the ability to live up to what you want to do, talk is cheap. Sending Ritz or any other government or ABP/CCA official over here to China to negotiate change is like saying that another big company will dive into the E.U. unabated when the quota rules change there.Besides, the E.U thing is as much about the big boys conserving their captive North American supply of beef cattle as anything else in my mind.

Just wish I could speak the language better as it seems to take that second meeting with a number of beers and some real weird fish food to get my point across clearly.

semper ad meliora back atcha

[rkaiser]

Sorry boys and girls,and burnt,can't find the spell check on this mostly chinese tool bar...LOL

[kato]

Don't worry, your spelling is good.

You'll have to find a way to post some pictures when you get back. What an amazing trip to take! I'd be careful about that "street meat" though. ;-)

[grassfarmer]

I have word of an interesting suggestion doing the rounds in progressive dairy circles. To meet rising consumer demand for raw milk and also make entry into the dairy sector easier for new entrants a proposal is being floated that would allow someone to start up a dairy for up to 10 cows, without need for quota, with the milker being able to sell the milk direct to consumers. Now this would be regulated - the facilities would be inspected for cleanliness just like regular dairy operations so it would help make raw milk safer than it is today in it's illegal, underground existance. Ten cows doesn't sound like much but I've heard raw milk is in demand at $2.50/litre from consumers - even 5000 litres per cow at $2.50 = $1250 per cow so 10 cows might be $125,000 output!
The intent is that a producer could start this way but at the point they want to go over 10 cows they would need to buy quota like other dairy farmers.
I think this is a brilliant solution - it would probably increase overall milk consumption too but the toughest sell would be getting Government to change the regulation on selling raw milk.

[perfecho]

Certainly would be a challenge to change the rule book. As it currently stands, if I buy milk directly from a dairy farm, (which I wanted to) they can be fined $25000 plus possibly lose their license.......even though raw milk is most likely healthier than processed milk.
Always thought if I wanted to go back into dairy, I would do it with goats....no quota to deal with there that I am aware of.

[smcgrath76]

The no quota deal would be great. I
could have 10 cows, my wife could have
10 cows, our 3 kids could each have 10
cows, both our sets of parents could
have 10 cows, etc.
It would be hard to regulate and/or
write reasonable rules. Not saying it
shouldn't be done, but I can see the
death by 1000 cuts to SM in dairy doing
this.
I believe the egg quota allows so many
birds before you get into the quota
system, but not sure exactly how it
works.

[gaucho]

thats 12,500 .... one too many 0 GF

[kato]

In Manitoba you can have 999 meat birds without quota. I think this is "per year". You can sell them direct, but if they're not government inspected, you have to say so in your ad. You can sell in a retail store if they are government inspected. I only know of one local abattoir who sells this type of chicken.

You can have 99 layers, and sell eggs direct from the farm, but not at farmer's markets. You have to let the customer know they're ungraded. IMHO, 99 layers would be a big job. I've got 16 of them, and it seems like all I do is wash eggs. LOL

I don't know what the other provinces are like for rules.

[grassfarmer]

Actually I missed a 0 gaucho 5000 x $2.50 = $12,500 but the $125,000 for 10 cows was correct.
Sean, don't see why it would should be any harder to regulate than the dairy sector is now - if guys now want to fill their quota and sell surplus beyond it direct to customers what's to stop them? I don't see that should derail the proposal.

[smcgrath76]

GF - I don't disagree, but I think I have
an understanding of regulators and also
how adept people are at getting around the
results of regulators. A lot of these
things are good ideas until the regulators
squeeze the life out of them.
We grew up with a cream separator and the
strong family trait of a strong desire to
dry up cows as fast as possible.