EDITORIAL
Reaping research reward
Twenty cents a hog doesn't sound like a lot of money. But the roughly $800,000 it generates for Ontario Pork's research fund in a year must have seemed enormous to the many who faced financial hardship during the recent pork price crisis.Some producers might have preferred to slash research spending along with the many cuts they were making on their farms during hard times. Why spend money on the future if you're not going to survive the present? But most Ontario pork producers realize the need to invest in the future of their industry.
Today, some of those research dollars seem on the verge of paying off in spades. This spring, four years and some $250,000 in pork producer money after they began, University of Guelph researchers have discovered an environmentally friendly pig.
Now, Ontario Pork is exclusive licensee of a so-called genetically modified organism or GMO pig. And if it clears the many research and regulatory hurdles remaining, Enviropig will have the distinction of being the first GMO animal in the food system. There will be a consumer and even a producer backlash. You can count on it.
First, there are those who simply oppose change. Others won't understand the safeguards that ensure no animal will leave the research facility until Enviropig has been proven safe over a period of years. To fully appreciate the potential of this discovery we can't get hung up on current attitudes toward GMOs. That would be falling into the same mind set as those who may have wanted to cut research spending during the pork price crisis.
Whether or not we like the idea, GMOs aren't going to go away any more than cyclical pork prices. In fact, those who are fastest off the mark with any new technology, provided it's managed wisely, are most likely to succeed. The Europeans are known for their opposition to GMOs. They are also known for having problems managing manure and much more in the food chain. As more and more GMOs come to market and as attitudes inevitably change, dare we imagine Enviropig being the first to break the GMO barrier in Europe? Only time will tell.
Enviropig should be seen as a step forward no matter how things turn out. It's a tribute to the vision of Dr. Forsberg and his colleagues at the University of Guelph and to the pork producers of Ontario. Those producers now stand to gain substantial financial rewards. That 20 cents a hog keeps looking better all the time.
© copyright 1999 Agricultural Publishing Company Limited.
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Acres under glass
Consumer demand for greenhouse vegetables means expansion opportunity in Niagara region for Dutch farmersBY DENNIS MELLERSH
Agricultural land in Niagara region not designated for tender fruit may soon experience increased demand for purchase by Dutch greenhouse growers.They are being encouraged to move to Ontario to set up large greenhouse growing operations for vegetables such as tomatoes, cucumbers and peppers.
Aided by financial support from the federal and provincial governments, regional municipalities and the private sector, the Niagara Economic & Tourism Corporation (NETC) has been a key player in educating Dutch greenhouse growers about the benefits of relocating their operations in Ontario, and in particular in the Niagara region. The Dutch are widely acknowledged as world leaders in greenhouse growing technology. Consumer demand and Dutch know-how are driving the activity, says Tony Thompson, NETC horticultural business consultant. "North American consumers are increasingly quality conscious about fresh produce," says Thompson.
"One of the consequences of this is that the current and projected demand for greenhouse products such as cucumbers and tomatoes exceeds current production capacity."
Thompson says the ability to achieve this potential capacity does exist with greenhouse growers in Holland, where greenhouse land sectors in the south are becoming residential areas. Growers could move into the north of Holland, but many don't see this as a viable option. "We are trying to show Dutch growers that there are considerable advantages and opportunities in moving their operations to the Niagara region," he says.
Dutch greenhouse growers have a tough time finding room to expand their operations, says Thompson. He cites a Dutch grower who came to visit last year with three acres of greenhouse production and "no room to grow." He is now located in Ontario. The Dutch are looking for the ability to buy a piece of land, perhaps four times the size they need for immediate production, so they will be able to expand in the future, Thompson says - "In Holland, they can't do this."
As part of the effort to encourage Dutch growers to locate in the Niagara area, the NETC mounted a mission to Holland this spring to give presentations to growers outlining the advantages of the Niagara area and the ease of moving there. The presentations included talks by Ray Konkle and Ralph Beamer, mayors of Lincoln and Pelham; and a video, "An Invitation to Grow," which showcased benefits of the Niagara area and illustrated case histories of Dutch greenhouse growers operating successfully in the Niagara region.
Thompson says the video shows an example of a 300,000-square-foot greenhouse: "We wanted to show the potential for large-scale operations to the Dutch growers." The video also stresses that Dutch growers can buy 10 times the amount of land in Niagara for their money as they could in Holland, where land is often sold by the square metre, and emphasizes that sufficient land can be bought to allow expansion well into the future. It was also carefully formulated to emphasize the Dutch history and connection in the Niagara area. It was produced in various tape formats and was available in Dutch or English. While in Holland, the Niagara mission was featured on two radio stations and received positive press coverage.
A farmer who came from England to attend one of the meetings in Holland, the fourth-largest grower of tomatoes in the U.K., expressed interest in learning more about the growth opportunities in North America. Approximately 145 people attended meetings in Holland, mostly greenhouse growers, and 45 of those completed forms indicating they wanted to visit Niagara to assess the opportunities. "Since we returned, a number of Dutch growers have already visited the Niagara region," Thompson says, "and more are coming in June, July and September to see for themselves what we have to offer."
The competitive advantages of the region described to the Dutch growers are the same factors they're looking for in their efforts to expand. Some of these include: significantly increasing demand for greenhouse vegetables from more than 120 million consumers within one day's driving distance of the region; large tracts of land available for expansion at attractive prices; an excellent highway infrastructure to major markets such as New York, Toronto, Detroit, Montreal and the heartland of North America; a microclimate that enables the production of products of superior quality; twice as much sunlight as the Netherlands in the winter months; a good supply of skilled workers at competitive wage rates; a strong greenhouse operations supplier base eager for an expanded customer base; and plentiful, economical natural gas and electricity.
"We're also emphasizing to Dutch growers that there is a large population here of Dutch origin," says Thompson. "It is important that the family of the grower feels comfortable. So, we are emphasizing the family life, and the fact that there are Dutch churches, schools and stores in the Niagara area."
He says the Dutch community in Ontario traditionally has been a big influence on the greenhouse industry. In some areas of the region, 16 to 25 per cent of the population is of Dutch origin, particularly in the areas of greenhouse concentration.
"This is not a short-term effort," says Thompson. It could take growers in Holland one or two years to sell their land, move here and set up operations. Because the Dutch growers are getting such good prices for their land in Holland, they have capital for buying land in Ontario. Some growers, nevertheless, will be borrowing for expansion after they are established and they should be attractive to financial institutions, Thompson says. Land in Holland can sell for up to $200,000 per acre, he notes.
With 250 greenhouse operations occupying 1.25 million square metres, the Niagara area is already a success story in greenhouse growing, Thompson says. "Niagara is the largest floral greenhouse area in Canada, but we currently have relatively little in the way of greenhouse vegetable production. Suitable vegetables are primarily tomatoes, seedless cucumbers and, potentially, peppers. This type of produce will complement the floral business rather than competing with it."
Purdue University marketing and economics Professor Glenn H. Sullivan's study - "Ontario Greenhouse Vegetable Strategic Initiative" - predicts consumer demand in Ontario, Quebec and the U.S. eastern seaboard will require a substantial increase in greenhouse acreage: up to 550 acres over the next few years. Niagara's goal in the next three years is 55 acres, says Thompson.
Satisfying that market will take ingenuity and a long-term commitment to quality greenhouse vegetable operations. The Dutch have an outstanding international reputation in both areas and may step in where some Ontario growers are hesitant - or capital short. "There is a reluctance on the part of some greenhouse vegetable growers in the Niagara region to make the required leap to the critical mass they need for large production or to diversify crops," says Thompson. "However, this leap is necessary in order to remain competitive."
© copyright 1999 Agricultural Publishing Company Limited.
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Grapes to greenhouses?
Land below the Niagara Escarpment is at a premium, according to Land Market/Realty World broker Carl Thomas. Grape land on the Beamsville bench is going for up to $15,000 an acre, according to Farm Credit Corporation's Agri-Land eastern appraisals manager Tom Nolan.Thomas says there are good buying opportunities on top of the escarpment, with vacant land parcels between 20 and 40 acres, zoned agricultural, selling for $2,000-$3,000 per acre and up to $5,000. "There's a variety," says Thomas, who works out of Realty World's Smithville, Grimsby and Dunnville offices. "You might find 40 acres going for $80,000, 10 acres for $70,000, and bigger parcels selling for as little as $1,000 an acre. Much of it is open scrub land," often bought by urbanites looking for a slice of the country.
Thomas says a number of dairy farms on top of the escarpment might be suitable for greenhouse operations. Most are currently run by older farmers whose children have left farming. Selling the quota and the land while holding back a severed lot for a retirement home could fund a satisfactory golden age period - and give greenhouse vegetable producers a place to grow. - Richard Charteris
© copyright 1999 Agricultural Publishing Company Limited.
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UNEARTHED
Notes from All Over
French corn and Cuban reform
Fidel still has his fingers in farming in Cuba, but reforms are creeping in, reports the Economist.Cuban farmers were hard hit when the Soviet Union collapsed. Input costs such as fuel and fertilizer skyrocketed.
Today, however, they are getting back on their feet with a little help from president Fidel Castro, who permits any production exceeding quotas to be sold at a handsome premium at local farmers' markets, which have been legal since 1994.
Farmers may not own land, but may hold lifetime leases. Self-run co-operatives with democratically elected boards have replaced the old state farms, and now hold three-quarters of Cuban farmland. Sustainable farming practices such as intercropping corn and sweet potatoes and crossing Holsteins with local breeds are catching on. There's even a 160-member organic co-op.
Ontario corn producers can expect tougher competition from Quebec on world corn export markets this year. La Belle Province is rolling in the stuff, according to Bulletin des agriculteurs magazine.
The provincial crops federation says Quebec must export overseas 175,000 tonnes of the 1998 crop this year, 35 times more than 1997 crop. Some 5,300 transport trailers were enlisted to get the crop to the grain terminal at Sorel, a St. Lawrence port past Montreal.
Historically, Quebec has exported to the U.S. and Cuba, as well as Egypt, Iran, Libya, Lithuania and Jordan.
Quebec corn producers harvested 2.5 million tonnes last year, a half-a-million-tonne increase versus '97. Exports to the U.S. this year are expected to increase from 115,000 tonnes in 1997-98 to 140,000 tonnes, and overseas sales from 5,000 to 175,000.
It's point-and-click programming for Chatham-based farm radio broadcaster Dennis Guy, who is pioneering a new Internet-based system to disseminate his daily farm reports.Guy's Ontario AgRadio Network broadcasts daily Foodland Forum programming, including Agri-News, market reports and commentary, to 17 radio stations across Ontario. Since February, stations have been downloading the programs from the network's web site www.ciaccess.com/~agradio using audio-Internet software developed by the network.
Guy says bypassing the satellite makes for more reliable transmission, and a 70-per cent savings in distribution costs. Advertisers can do the print equivalent of a "split-run," targeting different ads at different listening areas.
The software, called Orator, turns 90-second and three-minute programs into digital files that can be sent over the Internet while maintaining broadcast-quality sound. Orator is compatible with browser programs Netscape and Explorer. As the system is not "real time," Guy's open-line live shows are still broadcast by satellite. Reports will also be transmitted with text sidebars. He says six of the stations needed computer upgrading, and one declined altogether.
Guy, who has a staff of four, is already looking at distributing other programming via Orator. He says ultimately farmers will be able to download their own programs Check your RAM, however: one show takes up 937 kilobytes.
© copyright 1999 Agricultural Publishing Company Limited.
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