Producers in Districts eight and nine voted unanimously
against the board’s proposal, but general manager Harry Pelissero told them the
system’s going into effect no matter what they say.
Board chairman Scott Graham and Geri Kamenz, chairman of the
Ontario Farm Products Marketing Commission and Paul Glennie, commission staff
member who deals with egg-board issues, were also in attendance at the producer
meeting called by the board to discuss the proposal.
The commission has called for an investigation of egg-board issues with a focus on governance. It's due in December.
Pelissero said the proposal has met favourable responses in
other district meetings held across the province.
That is, however, at variance with grapevine reports that
the meetings have been hot because many farmers are strongly opposed. It’s also
at variance with reports of upset farmers prior to the district meetings,
including complaints that the system would give too much control to Pelissero
whom they do not like or trust.
Under the proposal, all buyers and sellers would need to
submit a price to the marketing board that they are willing to pay or accept.
When the bidding closes, the board excludes the lowest and
highest bid prices, then calculates the price at which the maximum volume of
quota would change hands.
That becomes the price that all willing sellers and buyers
then pay.
It’s a system that was pioneered by the Dairy Farmers of
Ontario milk marketing board; that board has since changed policy to set a
ceiling price on quota transfers.
The Ontario proposal is similar to one introduced in Quebec.
Since it began there, the volume of quota that is changing
hands is a small percentage of previous trades because many sellers have not been willing to participate.
There have been complaints from Ontario farmers that they
won’t know who is buying or selling quota and that they won’t be able to make
deals with friends and neighbours.
That, for example, is a major concern of members of the
Mennonite communities who strongly prefer to sell only to fellow Mennonites,
often at prices below the prevailing market prices.
