By Suzanne Armstrong
August 19, 2016
In the midst of this summer heat, many of us are enjoying the crops of sweet corn, tomatoes and
cucumbers that our local farmers are harvesting and selling. In Ontario, producers also grow
these vegetables along with beans, carrots, cauliflower, beets, and others for processing, so that
we can enjoy tomato sauce, relish and pickles, and many other delicious processed foods. The
Ontario Processing Vegetable Growers (OPVG) marketing board has been representing these
growers for around 70 years in Ontario. They negotiate prices with processors on behalf of
growers, and are authorized to regulate production as well.
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On June 28 th , the Ontario government posted a regulation amendment proposal to Regulation
440, which governs the OPVG board and its authority relating to 14 vegetable varieties for
processing. In it, they proposed removing the negotiating powers of OPVG, and “moving to a free
market system.”
The proposed changes are concerning for two reasons. First, the consultation process itself is
short (45 days), poorly timed in the busy harvest season, and has given producers limited
information about the proposed changes and the reasons behind them. This leaves producers
anxious about the details and implications of how a new free market system would operate in
Ontario.
Second, the proposal seeks to remove negotiating power from the OPVG marketing board which
has been working effectively on behalf of producers. Ontario processing vegetable farmers have
enjoyed the stability of the marketing regulation, where they are confident to invest in their farm
businesses, and have predictable, fairly negotiated prices.
Vegetable farmers depend on vibrant food processing businesses, especially those within
Ontario, in order for their own businesses to thrive. Because of this, farmers recognize the
importance of maintaining competitive pricing within a global market, as well as the importance of
providing quality products which keep up to the specific needs of the processors. At the same
time, farmers are marketing highly perishable crops, in a market that has a limited number of
purchasers. Marketing boards such as OPVG are an effective means to balance these concerns
for farmers.
Al Mussell from Agri-Food Economic Systems argues that the relatively stable contracted
acreage and minimal number of formal disputes indicate that the OPVG marketing board has
been working effectively on behalf of farmers. The strongest evidence is the support of the
producers themselves, who see the OPVG as working both for their interests, and for the benefit
of the industry as a whole. A free market system is unlikely to effectively balance the power of
processors with that of farmers. We hope the government will recognize the benefits for all
involved of a managed marketing system for these crops.
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Paul Bootsma is the Field Service Manager for the Christian Farmers Federation of Ontario. The
CFFO Commentary represents the opinions of the writer and does not necessarily represent
CFFO policy. The CFFO Commentary is heard weekly on CFCO Chatham, CKNX Wingham, and
UCB Canada radio stations in Chatham, Belleville, Bancroft, Brockville and Kingston. It is also
archived on the CFFO website: www.christianfarmers.org. CFFO is supported by 4,000 family
farmers across Ontario.