Canada's beef sector would like to see an end to the labour dispute at the Cargill Dunlop facility in Guelph.
The Canadian Cattle Association (CCA), National Cattle Feeders’ Association (NCFA) and Beef Farmers of Ontario note that the beef sector relies on a resilient processing industry across the country.
Members of UFCW Local 175 walked off the job in May, and there are no signs of an immediate resolution.
The Cargill Dunlop facility is the major processing facility for Canada’s largest fed-cattle region after Alberta.
NCFA Board Chair Will Lowe says this disruption is difficult for beef producers, who are already facing multiple other challenges.
"Cargill Guelph processes approximately 75 per cent of the cattle in Ontario and plays a significant role in the Ontario beef supply chain. The Cargill Guelph Dunlop facility fills 67 per cent of the federally inspected processing capacity in eastern Canada."
Some feeder cattle have been moving south to US facilities for processing.
The President of the Beef Farmers of Ontario, Craig McLaughlin, BFO President says with each passing day, the consequences of the strike continue to mount for the feedlot sector, beef supply chain partners, and farmers’ ability to cash flow their operations.
Nathan Phinney, President of CCA says beef producers rely on a strong and stable supply chain to get beef to Canadians and our global customers as efficiently as possible.
He points out that while they fully respect and support the collective bargaining process, they cannot turn a blind eye on the effect this stalemate is having on the beef industry.
"The problem grows the longer this goes on. So immediately, no, we're not seeing any impact, but if this continues to loom another few weeks and into the summer, even further then that's certainly a conversation that will probably change."