The Chicken Farmers of Ontario marketing board is revealing
details of the new national agreement that will enable Ontario to make gains
whenever the national agency aims for increased production.
Ontario will immediately gain 14.2 million kilograms of base
quota, yielded to it by all other provinces except Alberta (which is not a
member of the national agency), but only when there is growth in the Canadian
market. That will happen for the next 10 years.
Then it will also gain under the new agreement which parcels
out market growth this way:
1. 45 per cent of the growth is given out to
provinces according to their existing market share.
2. 7.5 per cent reflects population increases.
3. 7.5 per cent reflects increases in Gross
Domestic Product (i.e. the economy).
4. 7.5 per cent reflects the Consumer Price Index.
5. 10 per cent reflects the Farm Input Price
Index.
6. 7.5 per cent reflects the degree to which a
province fills its quota.
7. 10 per cent reflects demand from further processors.
8. Five per cent is for “Supply Share”.
Factor eight is not explained in the year-end
newsletter from the marketing board.
