DuBreton is concerned by the conclusions of the report on the pork industry in Quebec

Saint-Bernard, QC, Canada – DuBreton, a leader in organic pork production and animal welfare, expresses its concerns about the conclusions of the recent report on the pork industry in Quebec, commissioned by the Quebec Ministry of Agriculture, Fisheries and Food (MAPAQ) and carried out by Raymond Chabot Grant Thornton (RCGT).

The report highlights the many weaknesses of Quebec's pork industry and shows that the unit cost of pork production is 19% higher in Quebec than in Ontario. Data from CECPA's recent cost-of-production study shows that the average cost of a hog is $306 in Quebec, compared with $257 in Ontario. These figures speak for themselves: the competitiveness of the pork sector in the province of Quebec is weaker than that of Ontario, and we believe that outdated Quebec regulations have a lot to do with it.

AN INDUSTRY-WIDE SUBSIDY

Industry insiders point out that, due to increased vertical integration, Farm income stabilization insurance program (ASRA) takes the form of an industry-wide subsidy. Companies integrated at all levels of the chain, including those owning hog farms, benefit from financial assistance from ASRA. It is important to note that ASRA has compensated hog farmers for 11 of the last 14 years. This reliance on compensation underscores the need for reform to ensure the long-term financial sustainability of the pork industry in Quebec.

LACK OF PROMOTION FOR SPECIALTY PORK

The report points out that the marketing agreement is not adapted to specialty pork producers. Although marketing costs are paid by all stakeholders, the budget is used to promote pork in general, without specifically targeting specialty pork. This unfortunate situation limits the development and growth of companies like duBreton.

“In light of this report, it is clear to duBreton that an exit from collective marketing is necessary to better meet the specific needs of specialty pork producers. What's more, reform of ASRA is crucial to ensure a fair distribution of financial assistance and to promote the competitiveness of all producers,” concluded Vincent Breton, President of duBreton.