Evidence of meeting #21 for Agriculture and Agri-Food in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was industry.
A video is available from Parliament.
Liberal
Paul Connors Liberal Avalon, NL
Good day. Thank you for coming out.
There are lots of interesting discussions. We've done a lot of talking about supply and demand. In order for any industry to be successful and to build their industry within Canada, we need to have a strong supply. Do you think that implementing a reference margin here in Canada will help the supply side, especially at the cow-calf level?
I'll start with Mr. Vaags, and then I'll go to Mr. Beretta.
President and Chief Executive Officer, True North Foods
I think it will. It's not the be-all and end-all. It's not an all-encompassing solution, but it's a tool. It's a tool that, in Canada, we don't have, which our counterparts around the world do have. In essence, that's it. Why are we happy, in Canada, to not have that information at our fingertips when everybody else does? It puts Thomas at a disadvantage. It puts me at a disadvantage. Why do we want to put ourselves at a disadvantage? It's not that hard to put in our tool box the same tool that every other country has.
General Manager, Beretta Farms
I agree with what Calvin just said there.
When markets are tight like this, we want data that's as accurate as possible about what's actually happening in the Canadian economy. The trend we're seeing, in looking at the American futures market, is that when Canadian cattle come to slaughter, they're actually slightly under the price of what the futures were saying at that point in time. We're almost over-marketing and over-valuating the Canadian beef, in a sense. This has pros and cons, and there are winners and losers, depending on when it is and where the market is at. However, overall, yes, we need our own pricing in times like these.
Chief Executive Officer, Viandes Lafrance
Thank you for the question. It's very interesting.
What happens is that all the major beef-producing countries not only take care of their producers, but also look after their processors. Here in Canada, we stopped at the breeders. We didn't take things further to help the processors, known as the packers.
We need to compare ourselves to other major countries, which export to us and often engage in dumping here. I can tell you that, once we've adopted a reference price and have certain tools, the animals will be sent to us first, before being sent elsewhere.
We don't have those tools. We stopped at support for the various [Technical difficulty—Editor] production. It's particularly serious in the beef sector because, first and foremost, it's the slaughterhouse. I've been running a slaughterhouse for 15 years, but I don't receive any support. Our producers are left to fend for themselves, so that doesn't work.
Liberal
Paul Connors Liberal Avalon, NL
Thank you very much.
Before COVID, there was boxed beef pricing. Are you all familiar with that? Was that beneficial? Would that be something you'd like to see come back, or should we move on to another system?
President and Chief Executive Officer, True North Foods
Are you referring to the old CanFax boxed beef pricing reporting in Canada?
President and Chief Executive Officer, True North Foods
The short answer is that it was somewhat beneficial. The issue with that data was that it always came too late. Then, it just stopped because everybody...it was not mandatory anymore. I can't remember the exact reason that it stopped, but they're not doing it anymore. If we went back to that, you could reinvigorate that model, but really try to get it so that it's a lot more accurate and up-to-date.
General Manager, Beretta Farms
We wouldn't reject having more data at our fingertips. As I said before, knowing what's actually happening in the Canadian economy versus what's happening in the U.S. is only beneficial for us.
Chief Executive Officer, Viandes Lafrance
I don't remember that particular time, but I can say that we can't afford not to do it.
If our plants didn't exist, where would the 40 farms go today? They wouldn't be able to send their products elsewhere. In other words, the entire economic fabric of our regions would collapse. If that's what we want, that's another thing. However, if the solutions involve price transparency and the implementation of tools, I believe Canada must take action to ensure its own food sovereignty.
Liberal
Paul Connors Liberal Avalon, NL
Thank you.
Mr. Vaags, you mentioned a brief that the CMC had put forward. Is there anything in that brief that would benefit this study?
President and Chief Executive Officer, True North Foods
That brief does not talk about mandatory price reporting. That brief is really targeted on a small packer margin support program. I think it would behoove this committee to look at it.
Liberal
The Chair Liberal Michael Coteau
The time is done.
If there's something, Ms. Moudi, you have 10 seconds.
Go ahead.
Chief Executive Officer, Viandes Lafrance
I've sent that document to the committee, in English and in French.
Liberal
The Chair Liberal Michael Coteau
Thank you to our witnesses.
We will suspend for five minutes while we get ready for the next panel.
Thank you so much for joining us.
Liberal
The Chair Liberal Michael Coteau
I call the meeting back to order.
I will not go through the basic script. I think both of our panellists understand the procedures.
Pursuant to Standing Order 108(2) and the motion adopted by the committee on Thursday, September 18, 2025, we're resuming our study of reference prices in the beef and pork supply chains.
We have two witnesses joining us today.
From the Canadian Food Inspection Agency, we have Diane Allan, and from the Department of Agriculture and Agri-Food, we have Donald Boucher, director general.
We'll start with the Department of Agriculture and Agri-Food for five minutes. Then we'll go to the Canadian Food Inspection Agency, and then we'll start the questions.
Welcome to the committee. Go ahead.
Donald Boucher Director General, Sector Development and Analysis Directorate, Department of Agriculture and Agri‑Food
Mr. Chair, members of the committee, thank you for inviting me to appear before you today. I appreciate the opportunity to contribute to your study on reference prices in the beef and pork supply chains.
Canada’s pork and beef sectors are pillars of our agri-food economy. In 2024, together they generated approximately $23 billion in farm cash receipts, supported thousands of jobs in rural and remote communities, and contributed significantly to Canada’s export performance.
Each year, roughly 60,000 cattle producers and 7,000 hog producers supply about 1.2 billion kilograms of beef and 2.2 billion kilograms of pork to domestic and international markets.
These sectors are deeply integrated with North American supply chains. That integration creates important opportunities for growth and scale, but it also exposes Canadian producers and processors to external risks that must be managed carefully.
Last week and earlier today, this committee heard from cattle and swine organizations. They raised concerns related to price transparency, and in particular how reference prices are formed.
A central challenge is that reference prices used in Canada for livestock and meat products are often linked to, or influenced by, U.S. market prices. Canada’s meat industry has traditionally acted as a price-taker in global markets, given our smaller scale relative to major producers such as the United States and the European Union. In the context of a highly integrated Canada–U.S. market where live animals and meat products move fluidly across the border, U.S. prices are frequently used as a proxy for domestic price formation. Canadian prices are then adjusted to reflect exchange rates and local market conditions.
Unlike the United States, Canada does not have a legislated requirement for mandatory wholesale meat price reporting by packers. Agriculture and Agri-Food Canada recognizes the sensitivity of price disclosure in a processing sector characterized by a limited number of key players. That said, the Government of Canada recognizes that transparency is essential to the efficient functioning of markets across all sectors. This is why we support industry-led efforts to explore ways to improve price transparency that are fair, effective, respectful of confidential business information and supportive of food affordability.
AAFC has supported this work in concrete ways. For example, in 2019, AAFC funded the Canadian Pork Council’s made-in-Canada hog price study, conducted by Groupe Agéco and Gira, which examined potential options for a Canadian price reference model.
More broadly, the Government of Canada, through AAFC and Statistics Canada, plays an important role in providing relevant, accurate, timely and unbiased market information. This supports efficient markets and informs business decisions, independent analysis, industry intelligence and our own policy and program development. It is important to note that AAFC’s data collection framework is designed to protect business confidentiality.
In many agricultural sectors, the government receives sufficient participation from industry and data providers to publish regular market updates, or established reporting mechanisms already exist. However, these conditions do not exist for domestic wholesale beef and pork pricing, due to limited data availability and confidentiality concerns.
Agriculture and Agri‑Food Canada, or AAFC, continues to work closely with the industry, provincial and territorial partners, and other federal departments to address the challenges facing the meat sector in Canada.
The key areas of focus include expanding market access through trade negotiations to maintain, diversify and grow export opportunities; supporting investments in processing capacity and innovation through programs and initiatives; advancing industry-government collaboration through agencies such as Animal Health Canada and mechanisms such as the animal protein table; and improving data availability to support informed decision-making across the supply chain.
These issues are interconnected and require thoughtful, collaborative solutions. Today's discussion is an important step toward strengthening the resilience, transparency and competitiveness of Canada's pork and beef supply chains.
Thank you.
Liberal
The Chair Liberal Michael Coteau
Thank you very much.
Next, we'll go to the Canadian Food Inspection Agency.
Diane Allan Associate Vice-President, Policy and Programs Branch, Canadian Food Inspection Agency
Chair and members of the committee, thank you for the opportunity to appear before you today on behalf of the Canadian Food Inspection Agency.
The CFIA is a science-based regulatory organization. Our primary responsibility is to safeguard Canada's food supply and protect plant and animal health. This work protects public health, supports consumer confidence and underpins economic activity across the entire food system, including the pork and beef supply chain.
At the same time, the CFIA supports trade by protecting food safety and animal and plant health. These strong safety systems build trust at home and help Canada access international markets. CFIA's frontline inspectors work to verify that industry meets Canada's rigorous food safety standards and regulations, which help maintain Canada's global reputation for having one of the world's strongest food safety systems. In all of our work, we apply an economic lens without ever compromising health and safety.
While the CFIA does not set reference prices or market hogs or cattle, we do support the pork and beef sectors in several practical ways.
First, we have enhanced the services we provide to food businesses seeking a Safe Food for Canadians licence to trade interprovincially and export. Our teams provide tailored guidance to help companies understand federal requirements and navigate the Safe Food for Canadians licensing process. We are currently working with 20 companies across the country, both small and large. Under the Ready to Grow pilot with Ontario, we are helping 10 provincially licensed meat processors seeking a federal licence. Two have already received their licence, and two more are close to getting it.
The CFIA is also working with Ontario and Quebec on a slaughter service pilot. This initiative enables cattle producers in a remote area in Quebec to access slaughter services in an Ontario abattoir, with the meat returned to Quebec for sale under provincial oversight.
The CFIA has also heard from stakeholders that Canada's enhanced feed ban puts the cattle industry at a competitive disadvantage relative to its American counterparts. In response, the CFIA is moving forward regulatory changes that will allow certain tissues considered specified risk material to be included in non-ruminant livestock feed and other products, bringing Canada into alignment with the United States.
Beyond licensing and slaughter access, the CFIA also works with producers, provinces and industry to strengthen food safety and animal health systems. Under the Health of Animals Act, the CFIA develops and enforces livestock traceability requirements that support rapid response during a disease outbreak or food safety incidents. Traceability also underpins zoning arrangements and export certification by demonstrating that animals can be traced, contained and managed effectively.
Maintaining strong animal health is essential to Canada's agricultural competitiveness. Our export markets depend on Canada remaining free of diseases such as African swine fever and foot and mouth disease. That is why the CFIA works closely with pork and beef sector partners on prevention and preparedness through contingency planning and tabletop exercises with Animal Health Canada and enhanced border controls with the Canada Border Services Agency.
Zoning arrangements are another essential tool to limit trade disruptions during an outbreak. We now have African swine fever zoning arrangements with trading partners such as the United States, the European Union, Hong Kong, Singapore and Vietnam.
In closing, the CFIA supports economic activity in the pork and beef supply chains by protecting animal health, ensuring food safety and enabling trade. Industry stakeholders are essential partners, and we remain committed to working collaboratively to support a strong and competitive Canadian agricultural sector.
Thank you.