Thursday, June 13, 2013

Chicken board studying cost-of-production formula


The Chicken Farmers of Ontario marketing board is undertaking a joint review of its cost-of-production formula that guides the prices it charges processors.

The announcement comes hard on the heels of blistering criticisms leveled by Glenn Black of Providence Bay, Manitoulin Island, who has posted data and charts showing how chicken-feed prices in Ontario have risen sharply and far more than feed for livestock and dairy cattle and by far more than poultry-feed prices in the United States.

The review will be done jointly with the Association of Ontario Chicken Processors whose members not only dominate the chicken-processing industry but are hold significant market shares in chicken-feed production and hatcheries.

The chicken board says it’s going to use the “best-in-class methodology” for the study that will involve visiting some farms.

It says one of the “key elements” of this study is “ensuring data defensibility”.

Black has been engaging in research to embarrass the chicken board which has refused his push on behalf of small-flock chicken farmers to have the board increase its exemption from having to own quota from 300 to 2000 chickens per six-week quota period.

In his most recent posting on his website, he draws attention to a huge increase in imports of “spent fowl” from the United States and says that has taken up about five per cent of the Ontario market for chicken.

The chicken board raised the issue of spent fowl imports when the leaders of five supply-management marketing boards met with Premier and Agriculture Minister Kathleen Wynne on June 6.