Canadian beef sector calls for end to Cargill labour dispute

Cattle groups are worried about the ongoing strike at a beef processing facility in Ontario.

The Canadian Cattle Association (CCA), National Cattle Feeders’ Association (NCFA) and Beef Farmers of Ontario (BFO) strongly encouraged the Cargill Dunlop facility in Guelph and members of UFCW Local 175 to come to an agreement.

CCA President Nathan Phinney said the beef sector in Canada relies on a strong processing industry across the country and the impacts of the strike are significantly impacting beef producers in eastern Canada.

“Canadian beef producers rely on a stable supply chain to get beef to Canadians and our global customers as efficiently as possible. While we fully respect and support the collective bargaining process, we cannot turn a blind eye on the effect this stalemate is having on our beef industry,” Phinney said.

The Guelph processing facility supports several regional brands and programs. BFO President Craig McLaughlin said there has been no indication of upcoming talks or negotiations that would see an end to the strike that began May 27.

“The challenges that come with the loss of eastern Canada’s largest beef processor cannot be understated. Ontario is the second largest cattle feeding province in the country, and our members rely on the important work of our processing partners and their role in getting beef on the plates of consumers here in Ontario and around the world,” he said.

McLaughlin said the consequences of the Cargill Dunlop labour strike continue to mount for the feedlot sector, beef supply chain partners, and farmers’ ability to cash flow their operations.

Ontario beef farmers have lessened the impact of supply chain challenges by sourcing alternative facilities in Canada and the U.S. to process their cattle or keeping animals on farm for a longer period. Both options present unique challenges and additional costs.

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.