The Honourable Noble A. Villeneuve
Ontario Minister of Agriculture, Food and Rural Affairs
11th Floor, 77 Crenville Street
Toronto, ON M5S 1133

Via fax: (416)3264083

Dear Minister:

The Canadian hog production industry is experiencing a crisis caused by the downturn in the commodity market. In writing to you today, I want to express my support for Ontario's farming community and encourage you, as the Minister responsible for Agriculture, Food and Rural Affairs, to work with your federal counterpart to develop a comprehensive, accessible and income-based relief program to immediately meet the needs of our nations' farmers.

Canadian hog producers are operating in a commodity-driven environment impacted by prices established in the United States at the midwestern livestock exchanges. In Ontario, current prices of hogs have fallen to only 60% of the average cost of production, the lowest since 1972. This results in a loss of over 23% from last year's sales of $687 million.

These are exceptional disaster conditions also affecting farming communities globally. Other countries are providing disaster relief and we also urge our government to help our farmers during this unusual time. While we support this extraordinary measure, part of the reason we are in a difficult situation today is because of the extent of ongoing subsidies in other countries.

Maple Leaf is committed to supporting a world-class hog processing industry in Canada. Our plans for Brandon, Manitoba and Burlington, Ontario are proceeding as planned. Our commitment to the long-term development of the Canadian hog industry depends on short-term disaster relief for farmers.

We encourage your leadership in supporting Canadian hog producers through an income- based relief program. Your action during this extraordiflary period will ensure long-term viability of the hog industry and work towards the safeguard of farming and processing jobs.

Sincerely,

Michael H. McCain
President and Chief Operating Officer

cc: Paul Knechtel
Chief Executive Officer,
Ontario Pork

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