Economics

 Industry Partners


Prairie Swine Centre is an affiliate of the University of Saskatchewan


Prairie Swine Centre is grateful for the assistance of the George Morris Centre in developing the economics portion of Pork Insight.

Financial support for the Enterprise Model Project and Pork Insight has been provided by:



Author(s): P. O'Neill
Publication Date: March 28, 2012
Reference: London Swine Conference, 2012
Country: Canada

Summary:

The Ontario Pork marketing environment has changed due to changes in regulation and changes in the market environment itself.  Changes in regulation have made enrollment in Ontario Pork’s marketing services voluntary, and credit protection is only available to pigs sold through Ontario Pork. The market has changed to favour farmer’s bargaining, and to create more market options. For example, there are now grids that will accept a variety of sub-par finishing weights, and the trend of speciality products is expected to continue to rise. The Ontario processing industry also has increased investment and capacity. The new market has increased risks with receiving payment, created a hog deficit which favours farmers, and resulted in more variable plant grids. As well, a new pricing methodology was created by Ontario Pork Universal Services. The Ontario Pork Marketing Service is voluntary, but offers benefits like credit protection, plant contracts, benchmarking and evaluation services, and the Forward Pricing Program.

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