Business/Policy
Olymel L.P. executives are announcing the acquisition of all the shares of Pinty's Delicious Foods Inc., an Ontario poultry slaughtering and processing company that specializes in fully cooked products and other related products.

Headquartered in Burlington, Ontario, Pinty's employs 360 people. The company operates three processing plants, respectively located in Port Colborne, Paris, and Oakville, Ontario. Pinty's markets its products throughout Canada and the United States under the brands Pinty's Food Service, Pinty's Pub & Grill, Pinty's Eat Well, Pinty's Perfect Portions and Pinty's Delicious Food Inc.

"Olymel is confident that this transaction will benefit our development and growth. We are proud to welcome the employees of Pinty's Delicious Foods Inc. Over the past 70 years, Pinty's has developed great expertise on the Canadian and American markets by offering innovative and exclusive products under brand names that have become extremely popular with many consumers and customers. We know that this family business has been served by passionate owners throughout its history. We are also pleased to invest and strengthen our presence in Ontario and on the Canadian market," said Réjean Nadeau, Olymel's president and CEO.

Current employees of Pinty's Delicious Foods Inc. will continue to work within the company. The closing of this transaction is subject to the approval of the Competition Bureau. Meanwhile, both companies will continue their activities separately and independently.

"The owners and management of Pinty's Delicious Foods are happy to have found a Canadian buyer. We are confident that Olymel will grow our company and ensure it a promising future. I truly believe that our employees will benefit from the advantages of working for a large group like Olymel, a company that has a unique expertise in the processing and marketing of poultry products. We are proud of the company and the business network that we have built around Pinty's brands for decades and I am certain that this transaction will also benefit our customers and consumers," said Jack Vanderlaan, executive chairman of Pinty's.

This acquisition is part of Olymel's action to consolidate its position in Canada as the leader of the pork and poultry slaughtering and processing sector. Specifically, in the poultry sector, Olymel owns seven poultry slaughtering and processing establishments in Quebec, Ontario and New Brunswick serving the entirety of the Canadian market under the brands Olymel, Flamingo and Galco, in addition to placing its production capacity at the service of private brands. Pinty's will pursue its activities, continue to serve its current customers and honour its supply agreements according to the prevailing poultry market conventions in Ontario.
Published in Company News
The Canadian Agri-Business Education Foundation (CABEF) is proud to announce the winners of their annual scholarships. Each of these exceptional students will receive $2,500 for post-secondary agricultural education.

The 2018 winners are:
  • Adriana Van Tryp, Burdett, Alta.
  • Laura Carruthers, Frenchman Butte, Sask.
  • Pete Giesbrecht, Winkler, Man.
  • Owen Ricker, Dunnville, Ont.
  • Jeremy Chevalley, Moose Creek Ont.
  • Émilie Carrier, Princeville, Que.
  • Justin Kampman, Abbotsford, B.C.
Each year, CABEF awards scholarships of $2,500 to Canadian students entering their first year at an accredited agriculture college or university. CABEF is a charity foundation that encourages students to pursue their passion for agriculture and to bring their new ideas and talent to the industry.

Scholarship winners are evaluated on a combination of leadership attributes, academic standing and their response to the essay question, "What do you consider to be the three main opportunities for the Canadian agriculture industry and which one inspires you the most?"

“We are proud to support the future of the Canadian agriculture industry by providing these scholarships,” said Jenn Norrie, chair of the board for CABEF. “With the high-quality applications received from students across the country, the future of Canadian agriculture is bright.”

For further information about CABEF’s work, visit cabef.org.
Published in News
Canada and Prince Edward Island are working together to take climate action and find solutions to help Canadians save money, reduce energy waste, create jobs, and support healthy communities.

The Minister of Agriculture and Agri-Food, Lawrence MacAulay—on behalf of the Minister of Environment and Climate Change, Catherine McKenna—and Prince Edward Island’s Minister of Communities, Land and Environment, Richard Brown, recently announced a federal investment of $23.8 million to help the people of Prince Edward Island improve energy efficiency in their homes, businesses, industries, and farm operations across the province, as well as reduce carbon pollution in the forestry sector. This joint investment totals $47.8 million.

The Government of Canada’s Low Carbon Economy Leadership Fund will support three of the province’s programs that take climate action.

The first program—Reducing Greenhouse Gas Emissions in the Built Environment Through Energy Efficiency and Fuel Switching—will provide assistance with building retrofits, and it introduces new residential, commercial, and industrial programs with instant rebates on the purchase of energy-efficient products and their installation.

The program will also target fuel switching and process changes in the industrial sector and support carbon-pollution reduction in the agricultural sector.

The second program—Exploring Greenhouse Gas Emission Reduction Opportunities with Agriculture Producers—will support efforts to reduce carbon pollution in the agricultural sector.

The program will accomplish this goal by partnering program and policy experts with the agricultural community, who, together, will explore best practices and will design action plans for growers, leading to more innovation and efficient farming systems.

Finally, the Expanding and Managing Forests for Carbon Sequestration program will also receive funding. This program will enhance the capacity of carbon storage through the conversion and development of new forests on idle and less productive agricultural land.

Prince Edward Island is investing $24 million to support a wide range of projects to help families, businesses, industries, farmers, and landowners make environmentally friendly changes that benefit the economy and the environment. With this investment, Islanders will continue to benefit from a clean environment and make the province a leader in the global fight against climate change.

The Government of Canada’s Low Carbon Economy Leadership Fund provides $1.4 billion to provinces and territories that have adopted Canada’s clean growth and climate action plan, the Pan-Canadian Framework, to deliver on commitments to reduce greenhouse gas emissions.

“The environment and the economy go hand in hand. By investing in PEI to make homes and buildings more energy efficient and by reducing emissions in the agriculture and forestry sectors, we are supporting PEI’s economy, creating good middle-class jobs, and tackling climate change while providing savings for Islanders," said MacAulay.
Published in News
Canadian dairy, chicken, turkey and egg farmers have once again teamed up to host the Downtown Diner in Ottawa. The event is a unique opportunity to meet Canadian farmers and learn first-hand how they provide fresh, local, high-quality food to Canadians every single day, thanks to supply management.

Farmers also welcomed celebrity chef Lynn Crawford, a champion of made-in-Canada food, to help Members of Parliament, Senators, Hill staffers and the public have a better understanding of how their food makes it from the farm to their plate.

"We are thrilled to bring Downtown Diner to Sparks Street in Ottawa for another year and to welcome Chef Lynn as our special guest," said Roger Pelissero, chairman of Egg Farmers of Canada. "Our farmers are proud to be working under the system of supply management, which has helped build sustainable and vibrant dairy, chicken, turkey and egg sectors for the generations to come."

Farmers representing Chicken Farmers of Canada, Dairy Farmers of Canada, Egg Farmers of Canada, Turkey Farmers of Canada and Canadian Hatching Egg Producers were present at the Downtown Diner to share how Canada's system of supply management allows them to deliver a stable supply of food products as well as answering questions about farming.

"The Diner is an exciting opportunity for Parliamentarians and the public to meet the farmers dedicated to producing fresh, local high-quality food for Canadians from coast to coast," added Benoît Fontaine, chair of Chicken Farmers of Canada.
Published in News
Chicken Farmers of Ontario (CFO) is providing a second Ontario chicken processor with a new and unique opportunity to supply smaller-sized chickens, ‘Small Whole Birds’, aimed at meeting the demands of distinct Ontario consumer markets, including the increasingly popular Portuguese barbecue restaurants or ‘churrasqueiras’.

“Earlier this year, CFO strengthened its growing suite of processing programs, which are designed to meet new and emerging markets and satisfy the complex demands of today’s consumers,” said Ed Benjamins, chair, Chicken Farmers of Ontario. “With the introduction of CFO’s Small Whole Bird Supply Program, Ontarians can look forward to even more chicken choices on retail shelves, in restaurants and foodservice establishments across the province,” stated Benjamins.

The announcement welcomes a second Ontario processor into this new program. Sure Fresh Foods Inc., of Bradford, Ont., is planning to start processing ‘Small Whole Birds’ for the Portuguese barbeque market in early fall of 2018.

“CFO is pleased to announce that Sure Fresh Foods will target the needs of a specific market which is intended to further enhance the ability of our industry to meet consumer demand for Premium Ontario Chicken,” said Rob Dougans, president & CEO of CFO. “All of our processor programs are designed with the consumer in mind and are developed through strategic consultation across the chicken industry value chain.”

CFO’s Small Whole Bird Supply Program was established with the purpose of meeting the demands of consumer markets requiring chickens that are smaller than what is traditionally grown and processed in Ontario (approximately 1.7 kg versus 2.2 kg). Serving these distinct markets may also require different processing equipment than is used in the mainstream chicken industry to accommodate the smaller size of the bird.

To learn more about how the chicken industry is committed to providing Ontarians with even more choice, check out some of the other Chicken Farmers of Ontario Programs for Ontario Processors by clicking here.
Published in Processing
For anyone wondering why Donald Trump has been tweeting about Canadian agriculture lately -- Justin Trudeau insists that he is the instigator.

The prime minister said Thursday that the U.S. president's complaints on Twitter about Canada's trade barriers are the result of his refusal to give in to Trump's demands to do away with the country's supply management system.

Trudeau's comments were meant to address fresh criticism from Canadian farmers who fear he is prepared to open up the system to provide more access to American competition.

In recent days, Trump's Canada-focused tweets have included: "Canada has treated our Agricultural business and Farmers very poorly for a very long period of time. Highly restrictive on Trade! They must open their markets and take down their trade barriers!" | READ MORE

Related: Exploring a future without supply management 
Published in News
B.C. businesses are watching closely as Canada’s trade dispute with the U.S. heats up, with the latest threat directed at protected dairy, egg and poultry production.

Soon after extending its “national security” tariffs on imported steel and aluminum to include Canada, U.S. president Donald Trump took to Twitter to warn of demands for increased access to the Canadian agriculture market.

Canada’s government-protected dairy, egg and poultry market has been a trade irritant for the U.S. and other countries for years. Only minimal foreign access to those markets was given up in the recently concluded Canada-European Union trade deal, and the Trans Pacific Partnership discussions that Canada has been involved in. | READ MORE

Related: Exploring a future without supply management
Published in News
The Federation of Canadian Municipalities (FCM) recently released a report that details the important contribution rural municipalities make and outlines the unique challenges they face.

The comprehensive report titled Rural Challenges, national opportunity – Shaping the future of rural Canada includes recommendations encouraging the federal government to tackle these challenges head-on and raise Canadians’ quality of life nationwide.

“When it comes to providing the infrastructure necessary to support a strong economy and high quality of life, rural governments are faced with two key problems—the challenge of serving dispersed communities and the limits of their fiscal and administrative capacity,” said FCM’s rural forum chair, Ray Orb.

The report provides recommendations to address the realities rural municipalities face. Key recommendations of this report include:
  • Applying a ‘rural lens’ to all federal policies and programs aimed at empowering smaller communities to better support local needs
  • Designing future rural infrastructure programs that provide long-term predictable funding with flexibility to account for rural realities
  • Committing long-term predictable resources to expanding broadband internet access in rural, northern and remote communities
“This report tells the story of the significant contribution rural municipalities make to the nation’s economy, but it also highlights the fiscal squeeze they face due to low population densities and the exodus of younger generations,” added Orb. “But as a key driver of economic growth, we know that investing in rural Canada means building a better country for everyone.”

FCM is leading the way in advocating for new tools that empower rural communities to build tomorrow’s Canada and has secured unprecedented federal investment in recent years. The full report is available here.

The Federation of Canadian Municipalities is the national voice of municipal governments, with nearly 2,000 members representing more than 90 per cent of the Canadian population.
Published in News
Proposed service fee increases for veterinary drugs will create serious and unintended consequences, says a new report from Agri-Food Economic Systems.

The report, commissioned by the Canadian Animal Health Institute, finds that proposed service fees for the review and maintenance of veterinary drugs are to increase up to 500 per cent, effective April 1st, 2019.

Access to veterinary drugs would become more challenging as a result of these excessively high fees. This in turn will result in fewer veterinary drugs available in Canada leaving our food animal industries in a less competitive position, and leaving pet owners and horse enthusiasts with an increasingly difficult challenge to maintain their animals’ health and welfare.

Health Canada suggests that the proposed fees make Canada consistent with those applied in the United States (US), the European Union (EU) and Australia, “But Canada has a much smaller livestock population than the US, EU, or even Australia, and as such the animal health market
from which to recover these service fees is much smaller”, says Douglas Hedley, Agri-Food Economic Systems Associate and co-author of the report. “These service fees proposed for Canada will exceed those in competing regions, on a unit basis, by a considerable margin."

The report finds that the high fees being proposed for Canada would result in fewer veterinary drugs being registered in Canada. It says that some companies will cease to market drugs for minor species and for niche products in this country. Options such as not treating and culling an
animal, finding alternative therapies to licensed medicines, increased use of compounded drugs and other unapproved products will be used in the absence of licensed veterinary drugs. In other cases, firms may attempt to pass through increased costs in pricing, and many will find animal health products unaffordable.

Reduced access to veterinary drugs could harm the health status of food animals due to the substitution of unregistered product as a means of keeping animals healthy. This in turn threatens the phytosanitary standards of Canadian food animal exports.

“The proposed fees will have unintended consequences that will hurt the safety of our food supply, our trade with foreign countries and reduce pet owner access to health management tools for their pets”, says report co-author Al Mussell, Agri-Food Economic Systems research lead.
“This is an administrative decision made without the full understanding of the ramifications for Canada’s economic competitiveness and welfare of its animals; it also sets an alarming precedent for regulatory service fees that could apply elsewhere in the agri-food chain”.

The report can be accessed at www.agrifoodecon.ca. Agri-Food Economic Systems is an independent economic research organization dedicated to agri-food located in Guelph, Ontario.
Published in Farm Business
The British poultry industry has today launched a new apprenticeship standard for poultry workers, creating a pipeline to bring skilled workers into the sector.

A cross-industry group, which includes the NFU, British Poultry Council (BPC) and Poultec, has launched the new initiative at the Pig and Poultry Fair.

It is a significant investment from the poultry sector in its workforce, and strengthens the existing Poultry Passport.

The apprenticeship places a greater emphasis on all-round development, which could include a work-based diploma and assessments which consider the skills, knowledge and behaviours needed for an apprentice to be properly trained. | READ MORE
Published in News
The Minister of Agriculture and Agri-Food, Lawrence MacAulay, recently announced three appointments to the Farm Products Council of Canada (FPCC).

Brian Douglas begins a four-year term as the newly appointed Chair of the FPCC, effective June 11; Yvon Cyr joins the Council for a four-year term, effective immediately; and Maryse Dubé returns for her second three-year term, which began on April 30.

These appointments were made following an open, transparent, and merit-based selection process.

Minister MacAulay expressed his gratitude to Mike Pickard for all his hard work and leadership as Interim Chairperson of the FPCC, as he returns to his role as Vice Chair.

"I am pleased to announce the appointments of Brian Douglas, Yvon Cyr and Maryse Dubé to the Farm Products Council of Canada. All three appointees bring valuable and diverse experiences to their respective roles, as well as a strong understanding of the agriculture sector. I offer them my congratulations and wish them continued success in their new roles,” MacAulay said.

The role of the FPCC is to ensure that the supply management system for poultry and eggs as well as the promotion and research activities for beef cattle work in the balanced interest of all stakeholders, from producers to consumers.

Biographies
Brian Douglas
A graduate of the University of Guelph, Douglas has enjoyed a public service career spanning over 37 years. His career has provided him with an appreciation and an understanding of the opportunities and challenges facing Canadian producers.

From 2015 to 2016, Douglas was the clerk of the executive council and secretary to Cabinet for the Government of Prince Edward Island.

Previously, he held other senior-level positions in the Prince Edward Island government, including Deputy Minister, Transportation and Infrastructure Renewal and Deputy Minister, Agriculture.

Douglas spent most of his career at the Department of Agriculture where he served as director of the Agriculture Resource Division and manager of the Farm Extension Services.

Throughout his career, he also served as a member and representative for the Province of Prince Edward Island on various boards and committees related to agriculture, transportation and infrastructure at the provincial and national levels. Douglas remains active in the agricultural community as the general manager of the World Potato Congress Inc.

Yvon Cyr
Cyr has a strong background in agriculture. A poultry producer from Saint-Francois-de-Madawaska, New Brunswick, Cyr is a manager and founding shareholder with the Groupe Westco Inc., one of the largest poultry businesses in Atlantic Canada.

He is also very active in his community and the poultry industry, serving on the boards of both the Chicken Farmers of New Brunswick and the Chicken Farmers of Canada. He is also a past chair of the local chamber of commerce.

Maryse Dubé
Dubé completed her law degree at Laval University in 1996 and was admitted to the Quebec Bar in 1997. A partner of Sylvestre & Associés since 2004, Dubé works as a lawyer in commercial and food law representing several financial institutions.

She also practices real estate law and handles collection cases. Dubé also represents small to medium-sized enterprises in security law, bankruptcy, commercial litigation and corporate law (manufacturing and agricultural components).

She is very active in her economic and social milieu and serves on numerous corporate boards and community organizations. She was President of the Bar of the Richelieu Division in 2014 and served on the executive committee of the Quebec Bar until 2015. Dubé has been a member of the Farm Products Council of Canada since April 2015.
Published in News
New specialty market approval, scientific forum discussion and broadened adoption are all rapidly taking shape for the Nuscience elite level feed technology platform in Canada, available under the Biotica product brand via strategic marketing partnership with Canadian Bio-Systems Inc. (CBS Inc.).

The advances come as Nuscience, a member of the Royal Agrifirm Group, launches the next phase of its Biotica introduction for the Canadian market, providing the feed industry including poultry, swine and ruminant sectors with fresh solutions designed to fit with the paradigm shift toward reduced antimicrobial use.

Versatility for specialty and conventional markets
Nuscience and CBS Inc. recently received authorization for Biotica as approved for use in Canadian organic production, further adding to the specialty market versatility of the platform, which is designed for use across conventional and a range of specialty production approaches.

“We are seeing strong initial uptake of Biotica by progressive companies and producers looking to prepare for the new standards on judicious use of antibiotics and also to align production strategies with a range of both current and emerging market opportunities,” says Rob Patterson, technical director with CBS Inc.

“There is a lot of rising interest to learn more about this new solution at a time of rapid industry evolution. We look forward to furthering this discussion with our animal nutrition colleagues at the upcoming science and technical forums.”

Lessons from Europe benefit North America
Biotica is a functional feed additive that fits well with advanced strategies designed to support health, well-being and overall performance of animals.

The Nuscience technology featured in Biotica has become a market leader globally with a proven decade-plus track record of use with production systems designed to optimize animal and production benefits without the inclusion of antibiotic growth promoters.

“In Europe we have gone through the transitions now underway in Canada, the U.S. and other jurisdictions,” says Rob Goedegebuure, global lead, Health4U Feed Additives, Nuscience. “These transitions have driven our scientific focus and shaped the evolution of our feed technology solutions that are widely used in Europe and growing rapidly in adoption elsewhere. This includes our latest generation elite level feed technology suite featured in Biotica.”

Canada has set December 2018 as the deadline for moving all use of antibiotics to prescription only.

Major producer and commodity associations have implemented various stages of programs aligned with this shift, often addressing antimicrobial stewardship along with broader sustainability initiatives encompassing additional aspects of production such as housing, biosecurity, environment, welfare, quality and food safety.

Healthy animals, healthy production
Goedegebuure has been part of several recent Nuscience delegations that have toured key production regions in Canada and participated in numerous meetings and industry events along with CBS Inc. team partners.

“We have enjoyed meeting with Canadian colleagues and have been encouraged with the increasingly progressive focus we have seen on embracing innovation and science-based solutions. With today’s knowledge, tools and strategies, there is excellent potential for production systems that raise the bar on performance and profitability while also ensuring high standards of animal care and welfare.”

Nuscience approaches the animal feed industry with two focused business units, Nutrition4U and Health4U.

Nutrition4U by Nuscience is a range of young animal nutrition concepts, customized premixes and performing concentrates. Health4U by Nuscience, which includes the technology featured in Biotica, offers innovative additives and functional feed ingredients.

Royal Agrifirm Group, headquartered in the Netherlands, is a leading agricultural cooperative with an international network of subsidiaries in 16 countries within Europe, South America and Asia and a worldwide distribution network.

CBS Inc., based in Calgary, Alberta, Canada, is an innovation-focused company with global reach that researches, develops and manufactures a wide range of bio-based products used in feed, food and industrial applications. It is a pioneer and leader in enzymes and other bio-based feed technology options, leveraging over 30 years of research and development. Producers and industry can contact their CBS Inc. sales representative for more details on Biotica and CBS Inc. Feed Science Platforms. More information is also available at www.canadianbio.com.
Published in News
La Coop fédérée, an agri-food cooperative with operations across Canada, announced recently that it has reached an agreement with Standard Nutrition Canada (SNC), a Winnipeg-based company offering animal nutrition products and services, to integrate their activities into Western provinces. Thus, they will become one of the most prominent players in the 4-billion-dollar Canadian industry.

Through this deal, La Coop fédérée's agri-business division will extend its animal nutrition activities that are already well established in Québec and the Maritimes.

The division is also already present in Western Canada, in the crop production sector through its network of Agrico retailers, while La Coop fédérée's meat processing division Olymel is active in swine production in Alberta and Saskatchewan through its subsidiary Olysky and in Alberta through its pork processing activities. U.S.-based Standard Nutrition assets and activities are excluded from the transaction.

The conditions of the sale will not be disclosed. The transaction is final and all operations are now integrated within the livestock production sector, of La Coop fédérée's Agri-business Division.

"For the past decade, working under the Standard Nutrition USA umbrella has allowed our company to become an integral part of the Western Canadian protein supply chain, recognized for its extremely high-touch, consultative sales approach that leverages the technical and operational expertise of our best-in-class team of nutrition consultants" explains Jason McNaughton, president and general manager of Standard Nutrition Canada. "Partnering with La Coop fédérée, a true Canadian Ag Industry powerhouse, is now the occasion to kick-start our growth plan for the decade to come, with the mutual goal of supporting Canadian agricultural producers," he adds.

"Standard Nutrition's top-of-the-line products and service are at par with our high standards in terms of quality and customer relationship. We also share the same values when it comes to responsibility and solidarity toward the producers that we serve, in order to tailor our service to their needs. Furthermore, their strong presence in Alberta, Saskatchewan and Manitoba makes them a partner of choice to pursue our growth plan in Canada. We believe that by combining the findings from our world-class research program to Standard Nutrition's personalized approach and highest level of expertise, we will deliver even more value and innovation to our customers," adds Sébastien Léveillé, executive agri-business vice-president of La Coop fédérée.

The transition will be seamless for current Standard Nutrition Canada customers as key management and sales teams will remain in position.

Establishments included in the sale are:
  • Feed processing and grain-handling facilities and retail store in Winnipeg, Manitoba
  • Retail store and warehouse in Brandon, Manitoba
  • Premix facility, warehouse and retail store in Lethbridge, Alberta
  • Retail stores, offices and warehouses in Red Deer, AB, and Swiftcurrent, SK.
  • Lazard Middle Market acted as the exclusive financial advisor to Standard Nutrition Canada.
Published in News
The Agri-Food Management Institute (AMI) will be delivering a mixture of established programming and new projects under the newly launched Canadian Agricultural Partnership.

The focus will be on business management, productivity enhancement, and local production opportunities for both farm businesses and food processors.

Popular AMI initiatives, including Advanced Farm Management Program, Transition Smart and the Learning Roadshow, will continue under the new Partnership funding framework.

A Beginner Farmer Entrant Workshop will also be launched this year to complement a new online resource AMI has just unveiled on its website.

New to AMI’s offering will be resources and tools to address productivity-related issues in farm and food processing businesses. The organization will also be focusing on regional opportunities for value-adding by building connections along the value chain and identifying supply chain gaps in local food production.

AMI promotes new ways of thinking about business management by developing resources, providing information and offering training opportunities for agri-food and agri-based producers and processors. AMI receives funding from the Canadian Agricultural Partnership, a federal-provincial-territorial initiative. For more information, visit: www.takeanewapproach.ca
Published in News
Chicken Farmers of Canada is proud to announce the election of the 2018 executive committee. The elections followed the annual general meeting and the 15-member board of directors, made up of farmers and other stakeholders from the chicken industry, has chosen the following representatives:

Benoît Fontaine, Chair (Stanbridge Station, Quebec)
Hailing from Stanbridge Station, Quebec, Benoît Fontaine, chair of Chicken Farmers of Canada, most recently served as the first vice-chair of the executive committee. He first joined the board of directors in 2013 as an alternate, and became the Quebec director in 2014. He farms in the Lac Champlain area and raises 5.5 million kg of chicken and 500,000 kg of turkey. A former high school Canadian history teacher, and second generation chicken farmer, Benoît has also been heavily involved in the Union des producteurs agricoles since 1999. Benoît has also served on Chicken Farmers of Canada’s policy committee and the production committee.

Derek Janzen, first Vice-Chair (Aldergrove, British Columbia)
Derek Janzen, first vice-chair, and his wife Rhonda have farmed in the Fraser Valley since 1998. They currently produce 1.4 million Kg’s of chicken annually and manage 22,000 commercial laying hens. Prior to farming, Derek worked for B.C.’s largest poultry processor for nearly nine years. He worked his way up from driving delivery truck to sales and marketing where he took the position of Major Accounts Manager. Derek’s experience in the processing industry has served him well with his board involvement. Derek has held various positions on a variety of boards including chair of the B.C. Egg Producers Association and also was appointed by the Minister of Agriculture as a member of the Farm Industry Review Board, B.C.’s supervisory board. Derek enjoys being involved in the industry and is excited to represent B.C. at the Chicken Farmers of Canada.

Nick de Graaf, 2nd Vice-Chair (Port Williams, Nova Scotia)
Nick de Graaf is a third-generation poultry farmer in the Annapolis Valley of Nova Scotia operating the farm founded by his Dutch grandfather in the early 1960’s. Today the farm produces more than 660,000 chickens, and 67,000 turkeys per year. Nick is also part of Innovative Poultry Group (IPG). IPG farms 55,000 broiler breeders and owns Maritime Chicks, a new, state-of-the-art hatchery employing the HatchCare system. In addition to poultry, Nick grows more than 1,600 acres of wheat, corn and soybeans. He is self-sufficient in the production of corn and soybeans for his on-farm feed mill where he processes poultry feeds for his own flocks. Nick is in his 8th year as a director with Chicken Farmers of Nova Scotia. He has participated in Chicken Farmers of Canada as an alternate director and as a member of the policy committee. Nick and his wife, Trudy, have three children and two grandchildren.

Tim Klompmaker, Executive Member (Norwood, Ontario)
Tim Klompmaker lives in Norwood, Ontario and was elected to the Chicken Farmers of Canada Board in 2017. Tim started farming in 1984 along with his wife Annette and his three sons. He is a third generation chicken farmer with the fourth generation already in place and running chicken farms of their own. Tim served as a district committee representative for Chicken Farmers of Ontario before being elected to the Ontario Board in 2000. He served as CFC alternate representative for Ontario from 2012 to 2013, and has represented Ontario on the CFC Production Committee, the AMU Working Committee, and at NFACC. He has also served as first vice-chair of Chicken Farmers of Ontario.

The Board looks forward to continuing its work together, ensuring that Canada’s chicken industry continues to deliver on consumer expectations for excellence. With an eye to the future, Chicken Farmers of Canada will work with all its partners, ensuring clear, common goals for the future, and setting a solid path and purpose for all stakeholders, and for generations of chicken farmers to come.

Canadians want Canadian chicken, so we deliver them fresh, locally-raised food, just the way they like it. Our farmers are a stabilizing force in rural Canada, where they can – and do – reinvest with confidence in their communities, but their contribution is much wider. In sum, we are part of Canada’s economic solution, and do so without subsidies, and are very proud of both.

Chicken Farmers of Canada introduced its “Raised by a Canadian Farmer” brand in 2013 to showcase the commitment of farmers to provide families with nutritious chicken raised to the highest standards of care, quality and freshness.

People care deeply about their food, about knowing where it comes from and that what they’re serving to their family and friends is of the highest quality; our farmers and their families are no different. So, when we say that the Canadian chicken industry is good for Canadians, it’s because we know that we’re raising our chickens to the highest standards: yours.
Published in Marketing Boards
As if tax planning weren’t painful enough for poultry producers… Over the past year, the federal government has made things even more confusing – and drawn the ire of farmers in the process. Last summer, the feds unveiled controversial small business tax reforms.
Published in Farm Business
Noble Foods - the U.K.'s largest egg producer which currently has around 4.3 million hens in cages - has announced its commitment to moving to solely cage-free egg production by 2025.

The announcement follows a six-month long campaign by The Humane League U.K., launched in October last year. More than 68,000 people signed a petition calling on Noble Foods to go cage-free. | For the full story, CLICK HERE.
Published in News
Canada is a leading producer of high-quality, safe agricultural and food products. Agriculture is a major contributor to Canada's economy, and the sector is expected to prosper throughout 2018.

A growing world population, the rise in disposable income in developing nations, and increasing trade in farm products present opportunities to further grow the Canadian agriculture sector, creating more jobs for the middle class.

Canadian exports of agriculture, agri-food, fish and seafood to all countries in 2017 rose to $64.6 billion, a $2 billion increase from 2016 exports.

Canada is the world's fifth highest total exporter (by value) of agricultural and food commodities. Maintaining and enhancing the strength of our exports is vital to achieving the Government of Canada's trade target of growing agriculture and food exports to $75 billion by 2025.

Agriculture and Agri-Food Canada recently released the 2018 Canadian Agricultural Outlook with analysis on the economic state of the agriculture and food sector. The Outlook report provides a forecast of farm income for 2017 and 2018, and looks ahead to longer-term trends that could impact the agriculture sector.

According to the report, Canada's producers are forecast to see record farm income levels in 2017 and near-record levels in 2018. Crop and livestock receipts are both set to increase in 2017 and 2018. Net cash income is forecast to reach a record level in 2017 and remain high in 2018. At the same time, continued growth in asset values is expected to raise average farm net worth to $3.16 million by 2018.

Budget 2018 takes the next steps towards building a gender equal, competitive, sustainable and fair Canada – where science and innovation spur economic growth.

Budget 2018 contains many initiatives that will build on the ambitious growth agenda for agriculture set out in Budget 2017, which included many significant ongoing investments to help our farm families and agri-food processors excel, including the $3 billion federal-provincial-territorial agricultural policy framework, the Canadian Agricultural Partnership, $950 million Innovation Supercluster Initiative including the Protein Industries Supercluster, $1.26 billion Strategic Innovation Fund, $70 million for agricultural science, and $2 billion in rural infrastructure.

Together, these investments will build on the Government of Canada's strong agenda for agriculture and help ensure Canada's agriculture and agri-food sector remains a leader in job creation and innovation, and a continued engine of economic growth.

"Strong international demand for Canada's safe, high-quality agricultural products has helped make the sector a key driver of the economy. The Government of Canada is working hard to ensure farmers and the agriculture and food system as a whole, are prepared to meet global needs, helping to strengthen the middle class and keep Canada on the path to prosperity," said Lawrence MacAulay, Minister of Agriculture and Agri-Food.
Published in Farm Business
Many of you are aware that the Federal Government recently introduced tax legislation that affects farm business owners all over Canada.

Because of the rapid way in which things progressed, there is a lot of confusion as to what legislation was proposed, modified, or simply dropped altogether.

I have attempted to outline the “evolution” of these tax changes in this article, from early 2017 to where we are today.

I wish I could tell you that the tax changes create a better tax environment for business owners, but in my opinion the opposite is true – business owners now face more complexities and uncertainties then ever in managing their tax affairs and trying to comply with tax legislation.

On that positive note, let us start with a quick history lesson:

Background/Timeline
March 22, 2017 – Budget 2017
Finance signals its intention to address specific tax planning strategies employed by business owners.

July 18, 2017 – Finance releases the Proposals
Finance releases the consultation paper, and unexpected draft legislation and explanatory notes (“the Proposals”).

The Proposals target the following strategies:
  • Income splitting (“Income Splitting Proposals”): Income splitting is redirecting taxable income between the family so that the family “unit” pays the least amount of income tax. This includes allowing more than one family member to access the Enhanced Capital Gains Exemption (ECGE).
  • Private corporations investing in passive assets (“Passive Investment Proposals”): Canadian-controlled private corporations carrying on an active business in Canada (which includes farming) have the ability to pay a low rate of tax on the first $500,000 of corporate business profits. Corporations can invest the after-tax business profits in rental property, stocks, bonds, etc., and delay triggering personal tax until some later date.
  • Surplus stripping (“Surplus Stripping Proposals”): Converting what would otherwise be a taxable dividend from a company to a capital gain, which are currently taxed at lower rates.
July 19, 2017 – October 2, 2017 – Reaction to the Proposals
Outrage within the business and tax community ensues.

The business and tax community identify a significant number of issues with the Proposals, including but not limited to:
Income Splitting Proposals:
  • Too complicated for business owners, let alone professional tax advisors, to understand, increasing tax compliance costs.
  • Significant concern that the Proposals will result in CRA challenges to what should be a relatively simple business decision, i.e. how much can I pay my family members and myself.
  • The cost of incorrectly applying these rules is significant – income is taxed at the highest marginal tax rate for the province of residency. In Ontario, this can be as high as 54%.
  • Farmers and their family members may not be able to access their ECGE.
Passive Investment Proposals:
  • Business owners will pay extremely high rates of tax on investment income earned in a corporation and paid out to the owner as a dividend. In some cases, the rate of tax could be as high as 73%. The sale of land or quota within a corporation, or the rental of land owned by a corporation, is treated as investment income, which would specifically affect farmers.
Surplus Stripping Proposals:
  • Estates could face significantly larger tax burdens if a business owner passes away.
  • Tax costs to transition incorporated businesses to the next generation increase significantly, providing a tax incentive to sell the business “outside” the family.
October 16, 2017 – October 19, 2017 – Finance Takes a Step Back
Finance makes a number of significant announcements regarding the Proposals:
  • October 16, 2017: Finance announces it intends to proceed with the Income Splitting Proposals, however
    • They intend to simplify them; and
    • Restrictions on the ECGE will be dropped altogether.
  • October 16, 2017: Finance announces it will reduce the small business tax rate to 10% effective January 1, 2018 and to 9% effective January 1, 2019. This affects CCPC’s carrying on an active business in Canada. This announcement is a surprise, albeit a welcome one.
  • October 18, 2017: Finance announces it intends to proceed with the Passive Investment Proposals, however current investments will be “protected” from the new rules, as well as corporations earning less than $50,000 of investment income in any given year.
  • October 19, 2017: Finance announces it is going to drop the Surplus Stripping Proposals altogether.
December 13, 2017 – Finance releases “Version 2” of the Income Splitting Proposals
The revised Income Splitting Proposals are simplified, and a number of exclusions to the rules are introduced.
The Income Splitting Proposals are to be effective January 1, 2018.

February 27, 2018 – Budget 2018
Finance releases draft legislation regarding the Passive Investment Proposals.
These rules are simpler and less complicated compared to what Finance was originally proposing.

March 27, 2018 – Bill C74 – Budget Implementation Act, 2018, No. 1 (March 27, 2018)
“Version 3” of the Income Splitting Proposals as well as the Passive Investment Proposals are introduced in this Bill.

Where are We Now?
Income Splitting Proposals
We are in a completely different world now when it comes to income splitting.

A family business carried on through a corporation, partnership, or trust must consider the new rules when any family member is paid from that business.

Generally speaking, if you pay a family member income from a family business, that income will attract the highest marginal tax rate for your province. This concept is known as “tax on split income,” or TOSI.

Thankfully, there are exceptions to the TOSI rules. Some of the more notable ones are as follows:
  • TOSI does not apply to a wage or salary – which have always been subject to a “reasonability” requirement;
  • TOSI does not apply to income from an “excluded business” – this exception looks at the level of involvement of the family member in the business, both in the current year and throughout the history of the business;
  • TOSI does not apply to income from “excluded shares” – this exception is only relevant for incorporated businesses, and looks at the nature of the business being carried on in the company, the source of its income, as well as the type and number of shares owned; and
  • TOSI does not apply to a capital gain from the disposition of “qualified farm property,” which can include shares of a family farm corporation, however you still have to be careful if a minor shareholder is involved.
There are other exceptions to TOSI as well which might be relevant for your situation.

Passive Investment Proposals
Effective January 1, 2019, if a corporation earns in excess of $50,000 of investment income in the prior year, access to the low small business tax rate in the next year is affected.

This will apply to the corporation earning the investment income, as well as any other corporations “associated” with that corporation (essentially a group of corporations with common control/shareholders).

“Investment income” will not include the sale of assets that are used in an active business, such as farmland or quota.

Next Steps
Consult with your tax advisor immediately to:
  • Determine the impact of the Income Splitting Proposals on the current business structure/remuneration plan for family members;
  • Consider the impact of the Passive Investment Proposals and whether access to the low small business tax rate is affected, assuming your business is incorporated; and
  • Determine whether any planning or restructuring is required because of these new rules.
In the meantime, we anxiously await more direction from Finance and CRA on many of the issues, uncertainties, and complexities relating to the legislation in its current form.
Published in Farm Business
How time flies – it’s been a year since two major fast food chains introduced all-day breakfast (ADB) in Canada.
Published in Emerging Trends
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