Multinationals

[grassfarmer]

Here is an interesting comment I read by an American producer on a Holistic management messageboard.

"In the recent **** of Canadian cattle producers, thanks to BSE, by Tyson and Cargill (I think it was), those two giant cattle processors made more money in this year past than all the Canadian farmers and ranchers put together."

Don't know if that is true or not.

[ALICIA]

Of course its true. Just were are you from any way. You must hate us ranchers and farmers to even rewrite a quout like late, Talking about throwing durt in our faces, or rubbing us in it.

[cowman]

Without a doubt IBP(Tyson) and Cargill have done all right. Lets not forget the likes of Safeway, Superstore and Sobeys.
BSE has got to be the best thing that has ever happened to them. Buy meat for peanuts. The Canadian public wades in to save their ranchers even though the prices stayed relatively high. Result...pure profit! And with every little patriot filling up the cart with hamburger and steak, demand for pork crashes and the meat industry is able to beat the price paid to the hogman down! Result...more profits! Ah, life is good for the packer/retailer Mafia!

[grassfarmer]

Alicia, I fail to understand why you take offense to my postings on this site. The quote I posted here was by an American rancher and I thought it might interest some of the readers as it highlights the scale of thr problems we have due to multinational companies in Agriculture.
I am an eighth generation farmer who chose to emigrate from the UK to Alberta in 2000. I make my sole living from beef cattle, both pedigree and commercial.

[cakadu]

The multinationals haven't been hurting too much throughout this BSE crisis as far as I can tell. The quote likely has some merit.

It is tough to take in view of the fact that so many are struggling out there right now and it doesn't look to be getting any better - at least not in the short term.

They could be killing the goose that laid the golden egg, though, if they are not careful. Sure they can pick up cheaper livestock at the moment, lining their own pockets. However, there will come a point in time when they have driven enough out of business that they will have to source product from elsewhere.

Sometimes you have to be really careful about what you wish for.

The other thing that concerns me with them is the fact that the top 5 retailers in the world are not in North America. In fact, it seems to me that Walmart makes it into the top 20, but they are basically the only ones.

I'm not so sure I want my food controlled by such a few conglomerates.

Take heart all, we need to stick together in this!

[cakadu]

The multinationals haven't been hurting too much throughout this BSE crisis as far as I can tell. The quote likely has some merit.

It is tough to take in view of the fact that so many are struggling out there right now and it doesn't look to be getting any better - at least not in the short term.

They could be killing the goose that laid the golden egg, though, if they are not careful. Sure they can pick up cheaper livestock at the moment, lining their own pockets. However, there will come a point in time when they have driven enough out of business that they will have to source product from elsewhere.

Sometimes you have to be really careful about what you wish for.

The other thing that concerns me with them is the fact that the top 5 retailers in the world are not in North America. In fact, it seems to me that Walmart makes it into the top 20, but they are basically the only ones.

I'm not so sure I want my food controlled by such a few conglomerates.

Take heart all, we need to stick together in this!

[cowman]

Linda: I suspect most modern corporations look at quarterly earnings and seldom look down the road. If supply gets weak they use their influence to get more foreign product and be damned to the locals! Afterall they are multi nationals and not citizens of any country? They have no loyalty to any country or group of individuals. They are the emerging Global Economy that every little tinpot politician spouts about. Welcome to the future.

[kato]

Actually, welcome to the past. It's colonialism minus the country.

At one time countries like France, Spain, and Britain had colonies all over the world which were taken over based on their merits as "sources of wealth". This is the same thing, only the divisions are not on a national level, or even a physical level, but on an economic level. Companies, industries, and natural resources are acquired for the sole means of providing wealth to the parent company. When no longer profitable, they are disposed of.

These huge multinationals care only about their share values, and have the welfare of no one in mind. They also have ways of making governments dance to their tunes, and have no qualms about doing it.

It's starting to look like we tough old cowboys may be just about the last independants left standing. I wonder if we're up for the battle? I like to think we are.

[ALICIA]

Grassfarmer I really wasn't taking a shot at you. And we shouldn't be taking shots at the guys that are buying because even your own nabour down the road will try to take you. We all whant something for as cheep as we can get it and it doesn't matter if its a cow or car or shoes. Even you and me love to get a deal. Thats just life.

[ValueChainFX]

For the past 10 to 15 years the multi-nationals along with our government and the blessing of some of the industry have been centralizing the infrastructure of the rural communities into larger centers'. This move was seen as a good business move and as we see in hind site, has striped the rural communities of almost everything that supports them or identifies them. Rural communities have suffered noticeable for the past few years and have desperately struggled to keep their heads above water. The farmer input costs have gone up due to the lack of this infrastructure. BSE has only magnified the challenges in the agriculture industry and highlighted the policies challenges and politics of export trades. (Hurting the producer to the core for sure)

The only bright side (even though the light is dim) is that the agriculture community can now see the need to empower a unified voice with some real leadership behind it! The Canadian consumer has tried to show support (and the multi-nationals and big retails capitalized on that, as usual the trickle down didn't go to the producers) and I believe they would support a real grass roots movement done in a coordinated manner. Finger pointing is over as if we really care what the so called experts say to shift blame, we have businesses to run and a future to build (at least decisions to make about our own futures) The multi-nationals don't have the ability to mass produce a product that the consumers are crying for, there is an opportunity to begin reconstructing and reengineering the infrastructures so clearly stripped from us in the past. But it can only be done in a unified way, and you can bet the politicians and bureaucrats will be on board when a critical mass of unified agriculture industry participants are on board. I can almost hear some of you saying how big the challenge is to do this! But if not now? When? If not you? Who?

I guess the question is what are the risks? If you don't do something like this ... What are the risks? If you do something like this ... are the risks lower or higher?