Hunsberger out as chair of hog processing co-op

Tuesday, November 9, 2010

by BETTER FARMING STAFF

One of the prime movers in the establishment of Ontario’s only producer-owned hog slaughter plant has stepped down.

Last month, Bob Hunsberger became past-chair of Progressive Pork Producers Co-Operative Inc., and Lambton County hog producer Mike Huybers moved to the chairman’s seat. Huybers was the co-operative’s vice-chair.

There are no hints as to what this means to the future direction of the co-op. The new chair, from Wyoming, was reached at his home Wednesday after several messages were not returned. “We’ve kind of got a policy at 3P, any releases we do for the press are just press releases. Otherwise we just stay out of the press. Ok?” Asked if he was declining comment, he said, “Yup, that’s right.”

The coop did not distribute a press release about the change in leadership.

The elections for the board’s executive positions took place Oct. 27, shortly after the co-operative’s annual meeting. Leroy Van Ryswyck, the board’s secretary, said there was no actual election held. “There was only one name put forward. Ok? That’s as far as I’d like to go."

One large investor said he learned about the leadership change in the co-op’s newsletter.

“None of us are going to be around forever,” said Hunsberger on Tuesday. “My term as a director is up a year from now.” He says he’s cut back his hog operation substantially. “I don’t have sows anymore, still finish some pigs.”

Hunsberger has chaired the 150-member co-operative that owns Conestoga Meat Packers in Breslau in Waterloo Region for five years. Previously he was the co-operative’s vice-chair. He was closely involved in the acquisition of the plant in 2001 and its expansion in 2003.

In July, the plant received a provincial grant of $350,000 for upgrades on its cutting floor; in December it received a $2.3 million interest free loan under the federal slaughter improvement program.
 
The plant currently processes 15,000 animals a week. “We’ve increased our numbers in the last six months,” Hunsberger says, noting the plant had been slaughtering 13,000 hogs a week.

“There’s been hogs available and it’s been profitable for plants and so we’re pushing to the extreme,” he says. The added volume has meant cooler and shipping space is tight. “It takes some special effort on the part of staff to make sure that everything gets done with that high a volume . . . .  according to the protocols and so forth.”

For the past 16 months, the co-operative has operated a pilot for negotiating sales directly with producers. Previously, Ontario Pork, the provincial marketing board was responsible for marketing all hogs in the province. In May, however, Carol Mitchell, the province’s agriculture minister, ordered the industry to allow producers to sell either through an intermediary such as Ontario Pork or directly to processors. The decision followed an Agriculture, Food and Rural Affairs Appeal Tribunal ruling that supported challenges to an earlier Ontario Farm Products Marketing Commission decision to dismantle Ontario Pork’s marketing powers. The change must take effect by Dec. 4.

For years the co-operative had pushed for the freedom to negotiate directly with its producers. Now, with less than a month before that goal is formally reached, Hunsberger calls the date a non-event. “It’s not as though on Dec. 4 there’s going to be major changes. Everybody can keep doing exactly what they have been doing if they wish.”

Hunsberger says the 11-member board has been working over the past decade towards bringing new directors on and notes at least one new seat will open up next year.

“I haven’t personally made a decision about whether I’ll be there for another term or not.” BF