Canada - Saskatoon Slaughter Plant Expected to Boost Swine Production

Saskatchewan's swine producers are confident expansion of the province's pork processing capacity will allow them to more fully capitalize on the potential for growth that exists in western Canada. Maple Leafs Foods is scheduled to begin construction of a 160 million dollar hog slaughter and processing facility in Saskatoon in mid to late 2006. The new plant will replace the 65 year old Mitchell's Gourmet Foods plant, potentially more than doubling its existing capacity. Sask Pork General Manager Neil Ketilson says, over the past ten years, Saskatchewan has doubled its production to about 2.4 million head and the new plant will allow that growth to continue. "It's really important that we have processing facilities here in Canada. It avoids a lot of the trade issues vis a vie the United States in terms of live animal movement and also, with a very solid reputation and infrastructure that Maple Leaf has, through that company we'll be able to secure more domestic as well as international markets. If you look across Canada and you look the various jurisdictions and really seriously think about where the potential is to grow, I think it's in Western Canada first of all. Given the growth that's been in Manitoba, now they're at a balance with their feedgrain supply and things like that. Alberta has all kinds of issues with respect to oil and gas and the competition for labor and all those kinds of things as well as the other infrastructure. It seems to us that Saskatchewan has tremendous potential to grow the industry here in the province." Ketilson says, in terms of future growth, Saskatchewan has lots of potential but whether production can again double over the next ten years remains to be seen. He cautions we have to bear in mind that growth will only come when there's a demand for it and producers can make a dollar at it.