Chicken deal might fall apart

Jim Romahn
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The deal Ontario and Quebec chicken marketing boards signed to end cross-border trade is in danger of falling apart.

Informed sources indicate that Quebec is asking for permission to increase production enough to offset the birds it is losing to Nadeau Poultry Ltd. of New Brunswick, a company wholly owned by Maple Lodge Farms Ltd. of Norval, Ont.

The Quebec demand probably means Ontario would have to make up the difference to Quebec, and that’s not likely to go down easily at the Ontario chicken board, with Ontario processors and with the Ontario government.

On the other hand, chicken processors are almost desperately keen to end inter-provincial trade because it not only increases transportation costs, but also involves the payment of premiums to out-of-province producers.

                                   

 

Organizations: Nadeau Poultry Ltd. of New Brunswick, Maple Lodge Farms Ltd. of Norval

Geographic location: Quebec, Ontario

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