Herd expansion among programs BFO's beef check-off fee hike will be used to finance

Wednesday, October 29, 2014

Correction made October 30, 2014

by DAVE PINK

The province’s beef farmers will be paying a $4 per head check-off to the Beef Farmers of Ontario beginning Nov. 1 – an increase of $1.

That will add an extra $800,000 to the BFO’s annual budget of about $3 million. That money will be used to continue the organization’s ongoing industry support programs and get into some new ones, says BFO communications manager LeaAnne Wuermli, pointing out that $1 of that check-off will be forwarded to the Canadian Cattlemen’s Association Canada Beef and the Beef Cattle Research Council to support its their programs.

Even though beef farmers are getting some of their best prices ever, the number of cattle in the province is way down over the past 10 years, she says, and that’s cut sharply into the BFO budget. As of Jan. 1, there were 288,400 beef cattle in Ontario, down from 415,000 10 years earlier. Across Canada, there are 26 per cent fewer beef cattle than in 2005.

Among the BFO’s ongoing projects is its herd expansion program. “It’s a major focus of the organization,” says Wuermli. “We’ve been working on an economic model, and it is feasible to expand cattle herds.”

That expansion, she says, could be largely into northern Ontario.

“There’s certainly a demand for beef, both internationally and domestically, and we know that land prices in southwestern Ontario can be challenging for farmers that are starting out, so we have been looking into other areas of the province that are suitable for beef production.”

The check-off increase was approved at the BFO’s annual general meeting in February. When cattle are sold, the check-off is deducted from a farmer’s payout by packing plants, auction operators and livestock dealers. Breeding stock, cull dairy cows, bob calves and veal calves are included in the check-off program. The only exemption is cattle sold for the production of milk. BF