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041189 Canada Hog Exports Set to Decline As Strike Ends

November 29, 2004

Winnipeg, Canada - Canadian live hog exports to the United States should decline now that a four-week strike at a major processing plant has ended, a spokeswoman for Ontario Pork said.

Workers at Quality Meat Packers Ltd., Ontario's second-largest hog slaughter plant, voted to accept a contract offer, ending a strike that sent an estimated 50,000 extra hogs to U.S. plants.

"This is excellent news for farmers," said Clare Illingworth of Ontario Pork, a farmer-owned marketing agency.

More than 500 workers went on strike on Nov. 1 at the privately owned plant in Toronto, which usually processes 28,000 hogs a week.

The new contract increases wages, attendance bonuses, and pension and dental plan contributions, the United Food and Commercial Workers union said.

"The mechanics are back getting the lines up and running and the workers will be called back gradually as they get the hogs coming in again," said Cheryl Mumford, a union spokeswoman.

The plant will start processing some hogs and should be back at full capacity next week, Illingworth said.

Ontario will likely export 18,000 to 20,000 hogs this week because of sales commitments made before the strike ended, she said.

The agency normally ships 4,000 to 7,000 hogs a week to U.S. plants, Illingworth said. During November, all Ontario farmers were assessed an extra fee of C$4.89 ($4.14) for each hog sold to cover the costs of exporting extra livestock to U.S. plants because of the strike -- exports that were assessed steep duties because of a U.S. trade challenge.

Ontario Pork will likely lower the fee this week, Illingworth said. The fee had been C$2.11 before the strike.

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