Thank you, John.
The Beef Information Centre markets Canadian beef in Canada and the United States. To date, our domestic market has always been the largest and most secure market for Canadian beef. In 2006, 64% of Canadian beef was consumed here in Canada, while 29% was exported to the U.S.
Increasing the demand for Canadian beef in Canada is one of our key mandates at BIC, and BIC has been committed, since 2003 specifically, to promoting Canadian beef to the Canadian public and industry partners. These efforts support Canadian consumers' loyalty to Canadian products.
In support of this, we completed a domestic survey of about 1,000 Canadian consumers in 2007. The survey indicated that just over 75% of Canadians considered “Produced in Canada” as either a very important or somewhat important attribute when choosing and buying meat. BIC fully concurs with CCA's recommendation to support the use of “Canadian” as a voluntary marketing tool.
This concept is not new for the Canadian beef industry. In 2003 we introduced the “Make it Beef” logo, which includes the red maple leaf to promote Canadian beef and some beef products in consumer advertising. For example, key retailers and food service partners have utilized the logo in recognition of Canadian content.
When BIC funding allocations occur, the use of the logo is linked to Canadian content where the supply of beef has been verified. As the Canadian beef industry is market driven, supply changes are dynamic; hence, it is important to maintain voluntary use of the Canadian logo link to content.
At this time, the Canadian beef industry is developing a new brand identity for Canadian beef. To maintain the integrity and value of the new brand logo with trade partners and the Canadian public, a set of specific logo use guidelines will be developed. The guidelines will include how the logo can be used and what it will specifically represent.
In addition to Canadian content, the logo may represent other attributes that build a meaningful value proposition for the respective target markets.
A further recommendation that we have today is to ensure that government has sufficient resources to monitor and enforce product labels. The Standing Committee on Agriculture and Agri-Food's own concern about the misleading nature of the current “Product of Canada” label will not be alleviated by only changing its definition.
Currently there are several laws and regulations that govern the labelling of beef products, including the Meat Inspection Act, the Consumer Packaging and Labelling Act, and the Meat Hygiene Manual of Procedures.
Despite the array of labelling regulations, we are aware of the activities of some operators in the industry who misrepresent beef as Canadian.
Another problem that we have identified is that many people incorrectly assume that the Canadian inspection mark signifies Canadian origin. All beef processed in Canada must bear the Canada inspection mark. This symbol means that the product has been inspected—and really nothing more than that. It does not refer to origin, but many consumers are likely under the impression that it does indicate Canadian origin.
In an effort not to mislead consumers, increased investment in effective monitoring and enforcement as well as consumer and trade education should be considered.
To conclude, we are committed to the promotion of Canadian beef products. However, the tools used to achieve this goal should be voluntary, should be consistent with Canada's international trade agreements, and should be meaningful to the Canadian public.
Persons voluntarily labelling beef as Canadian should be held accountable as to the veracity of their claim, and greater education should be undertaken so that both the trade and the public are not misled by the meaning of the inspection of grading marks.
On behalf of Canada's beef producers, we would like to thank the Standing Committee on Agriculture and Agri-Food for giving us the opportunity to comment on behalf of Canada labelling, and we look forward to staying engaged in any future consultations on this important issue.
Thank you.