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SERVING MANITOBA FARMERS SINCE 1925 | Vol. 73, No. 42 | $1.75

October 15, 2015

Grain backlog no impact on farm incomes: Ritz

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Mission accomplished: McDonald’s sustainable beef on track for 2016

A study says it cost farmers billions BY ALLAN DAWSON Co-operator staff

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he grain-shipping backlogs between 2013 and 2015 had “no negative dollar impact” on Praire grain farmers, Agriculture Minister Gerr y Ritz said Oct. 13 in response to a recently released study putting the losses in the billions. University of Saskatchewan agricultural economist Richard Gray has published a study estimating grain-shipping delays during the winter of 2013-14 and 2014-15 slashed western farmers’ revenues by $6.4 billion to $8.2 billion. “(I)f there had been that type of loss coming out of the grain sector in Western Canada AgriStability would’ve paid out huge money,” Ritz said in an interview Oct. 13. “And the other thing to point to is, we have the net incomes for those farmers for those years before, during and after it, and they keep climbing so there is no negative dollar impact on grain farmers in Western Canada through that glitch.” Gray stands by his estimates prepared for the Saskatchewan Wheat Development Commis-

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See GRAIN on page 6 »

The fast-food giant expects to have 300 beef operations verified by spring — and then it will hand off the initiative to the beef sector By Alexis Kienlen Staff

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cDonald’s Canada will reach its goal of selling “verified sustainable” beef next year, says the company’s senior manager of sustainability. “We’re right on track as far as we know — it’s hard to know how many producers we’ll be able to get interested and get through, but we’ve got some pretty good numbers now,” said Jeffrey Fitzpatrick-Stilwell. As of last month, 147 operations had signed up for the verification process, and 35 will complete it by the end of this month. The lion’s share — 105 — are from Alberta, and while most are cow-calf producers, there are also feeders, the two big slaughter plants (Cargill’s operation at High River and the JBS plant at Brooks), and McDonald’s burger patty facility at Spruce Grove. Eight ranchers from Manitoba have expressed interest and two producers are awaiting finalization of their verification. The goal is to have 300 operations verified by April when the McDonald’s pilot ends and the Canadian Roundtable for Sustainable Beef takes over the verification process. “This is the Canadian roundtable’s to own,” said FitzpatrickStilwell. “McDonald’s is not creating a McDonald’s standard. McDonald’s commitment is to source verified sustainable beef as defined by the Can­adian roundtable.”

Handover How that handover will work is still being decided, said Cherie Copithorne-Barnes, who has chaired the roundtable since it

Steve Easterbrook (centre), the head of the global fast-food giant, visiting Graeme Finn’s ranch near Crossfield in June.   PHOTO: MCDONALD’S

was established in early 2014 by the Canadian Cattlemen’s Association and other industry stakeholders. And while the roundtable will build on the McDonald’s pilot, it is a separate initiative and will chart its own course, she said. “From our perspective, the fundamental question is that we have to see if this is a viable concept and how it will fit in,” said Copithorne-Barnes, who operates CL Ranches just west of Calgary. “We have to ensure that we set it up in a way that our entire industry can handle. It’s not going to happen with McDonald’s paying for every step of it. “So we’ve got to build this slowly and carefully and ensure that we’re not limiting any areas at the same time. It’s a

delicate dance right now, so we will see how we can move forward without too many hiccups.” Who will pay for the verification process once the McDonald’s pilot is finished is also up in the air, but the goal is to have “something in place that will be there on an ongoing basis,” said Fitzpatrick-Stilwell. McDonald’s is sharing everything it has learned and will do all it can to “ensure that we’re setting up the roundtable for success,” he said. “We’re not going anywhere,” he said.

Other retailers interested While McDonald’s has been the driving force behind the initiative, other retailers — such as Loblaw and Walmart — also want a process that

verifies Canadian producers are good stewards of their land, care for their animals, and produce safe, wholesome food. Loblaw and McDonald’s both have representatives on the roundtable’s 14-member council, which is composed of beef industry players, retailers, packers, and the World Wildlife Fund. The McDonald’s pilot has given the group a clear idea of what a verification process involves and costs, but “there are a whole bunch of different questions that we really have to look at now,” said Copithorne-Barnes. “ We’re t r y i n g t o m a k e sure everything that is being demanded of the beef industry by the retail and food-service side are things that we can See MCDONALD’S on page 6 »

TRANS-PACIFIC PARTNERSHIP: Beginning or end? » PAGE 9


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