Farmscape for January 15, 2009   (Episode 3066)

Canadian pork producers are hopeful key changes to U.S. mandatory Country of Origin Labelling will eliminate the discounts imposed by U.S. processors on Canadian origin pigs since the law's implementation.

Earlier this week USDA unveiled the final rule for mandatory Country of Origin Labelling, which will take effect March 16.

Since the interim rule took effect September 30 Canadian origin feeder and early wean pigs entering the U.S. have been discounted by as much as nine dollars per head.

Canadian Pork Council Director and CPC representative with Canada Pork International Florian Possberg says the Americans have responded to concerns expressed by stakeholders throughout North America.

Clip-Florian Possberg-Canadian Pork Council
We made some of our views know to the U.S.

Mexico made their views known to the U.S.

We know that there are also producers in the U.S. that benefit from business with Canada and Mexico.

We know that slaughter plants wanted to have more flexibility.

So it appears to us like they've listened to some of the concerns around the North American market and have responded at least somewhat positively.

We know that some of the major packing plants, Cargil, Hormel, Tyson, all were concerned about whether they could incorporate Canadian hogs into their production runs.

We don't know for certain yet if they'll be able to do that.

We think they should be able to and we're very hopeful that they will.

If we have a number of competitors competitively bidding for Canadian hogs then there really shouldn't be much of a discount for our animals in the U.S.

Possberg says there appears to be a recognition that cattle from Canada and Mexico and hogs from Canada entering the U.S. is good business for the U.S. and improves North America's global competitiveness.

For Farmscape.Ca, I'm Bruce Cochrane.

       *Farmscape is a presentation of Sask Pork and Manitoba Pork Council