2008 Annual General Meeting
NOVEMBER 28, 2008
SIMCOE RESEARCH STATION AUDITORIUM-1283 BLUELINE ROAD, SIMCOE
AGENDA
- COFFEE AVAILABLE
- 9:00 A.M. FINANCIAL REPORT FROM THE AUDITOR — DOUG MURPHY
- 9: 15 A.M. MINUTES AGM 2007
- 9: 20 A.M. MINUTES DECEMBER 2007-TO ELECT AND APPOINT VACANT POSITIONS 2008/2009
- 9:25 A.M. REPORT FROM THE CHAIR — BRENDA LAMMENS
- 9: 35A.M. GENERAL REGULATIONS
- 9:45 A.M. AGRICULTURAL PRACTICES MARKETING ACT — AMY DALE (GUNN & ASSOCIATES)
- 9: 50 A.M. REPORT FROM THE GENERAL MANAGER — DENTON HOFFMAN
- 10:00 A.M. REPORT ON PROCESSING — BRENDA LAMMENS
- 10: 15 A.M. REPORT ON RESEARCH — JEFF WILSON, DIRECTOR RESEARCH & SEED DEVELOPMENT
- 10: 25 A.M. REPORTS FROM DISTRICTS #1,#2,#3,#4,#5
- 10:45 A.M. REPORT ON ACREAGE — PAUL VAN DEN BORRE, ROSSILIND LAMMENS
- 10:50 A.M. REPORT ON SAFETY NETS — MARK WALES, CHAIRMAN OF SAFETY NETS COMMITTEE OFVGA
- 11:15 A.M. REPORT ON FARM FOOD SAFETY PROGRAM — DENTON HOFFMAN, BRENDA LAMMENS
- 11:20 A.M. REPORT ON SEED — ED DEHOOGHE
- 11:30 A.M. AGM 2008 MEETING ADJOURNS — COMMENTS FROM THE CHAIR AND WRAP UP
2008 CHAIR“S REPORT
Brenda Lammens
November 2008
The year 2008 has been a year of review for the Ontario Asparagus Growers. We have spent a great deal of time getting our Regulations into a more relevant format and redefining our General Manager“s position, again to bring more relevancies to the duties of Denton Hoffman.
The Regulations have been delivered to each and every grower as required, and this is a living document that will change as needed to address our needs. We hope to perform the same review and updating to our By-laws this coming year as they are quite antiquated, and I question how our predecessors functioned within these laws. But, as we have learned throughout history, there is--and was--a reason for everything. I wish to thank Marilyn Sewell of the Farm Products Marketing Commission, for guiding us through our regulation exercise, and for her willingness to assist us in the many ways we have called upon her and her expertise. Thank you, Marilyn.
Speaking of change, we have a new logo with a fresh, clean design which clearly defines ‘Ontario Asparagus’. Our society wants clarity, and our present title can be cumbersome; and by the time we get to the end words, ‘Marketing Board’, people have forgotten what commodity you were talking about. We certainly are The Ontario Asparagus Growers Marketing Board for all intents and legal purposes, but Ontario Asparagus is our new line.
Denton Hoffman, our General Manager, has had his position redefined and now is our Executive Director. Why this redefinition? Well, Denton“s workload was becoming more than a one man show with his shared role overseeing Ginseng and Asparagus. It was obvious that realignment had to be undertaken, so it was, and in a nutshell, we are still very fortunate to have Denton stay on as our Executive Director. But, as a result, the Directors of our Marketing Board must get more involved. This is not a position that requires one to sit down at the board table several times a year or dial into a conference call on occasion. This is a hands-on, take-ownership position, and so be warned that Directors have expectations to work with our Executive Director on the many projects and issues we are dealing with today and into the future.
Speaking of projects, we were able to organize and deliver 248,000 pounds of processing asparagus to Michigan through Tom Facer of Farm Fresh First. You will see the Processing Committee“s report later in this Annual Report, and hopefully this is the beginning of a growth market in our industry. The processing did what I had hoped it would do--and that was move surplus product off of the Fresh Market in Toronto, and assist contract growers that had market glitches and needed to move their product. It gave growers more control over their sales, rather than be at the mercy of a poor deal. All indicators are that this market will grow, and hopefully become an established part of our market plans. I offer my thanks to Lonnie Duwyn and Denton Hoffman, for their participation on this committee.
On the Safety Net front, the federal government has been dragging their feet with their portion (60%) of funding for our programs. The Province has been very supportive and their 40% has been delivered, but all indicators are that they are not willing to pick up the tab from the Feds. SDRM was not funded this year by the Province, and the Feds have not put any funding into SDRM for years now, so we have been lobbying at every opportunity to continue with this program until a suitable replacement has been developed and funded. Today we have nothing. So a Risk Management Program for Horticulture is being developed, and each commodity group has submitted their Cost of Production, in order to be properly represented by this program — therefore, the survey that some of the asparagus growers have been asked to complete. Also, volunteers have been invited to participate, so hopefully we have good quality data to work with in our industry, for not only this program, but also project development and crop insurance, where quality data has been sadly lacking.
Jeff Wilson will be covering our Research Report, which continues to strength our seed business and partnership with Michigan. The willingness to share and work together is most encouraging and refreshing in a business that tends to hold its cards close to its chest. Ed DeHooghe continues to oversee the Seed Cage and production, under the watchful eye of Paul Banks, and we are very thankful for their contributions and dedication. Dr. Dave Wolyn, our seed breeder at the University of Guelph, and Elaine Roddy, OMAFRA“s research and production lead, both deserve our thanks for their continued dedication to our industry.
Food Safety and Traceability are critical in our industry, and we will be presenting more information around traceability in the coming months. I know that many have already developed their own methods of tracing their product, but many have not. At the recent Outlook Conference, I attended a session on Trade and it was suggested that the Federal Department of Agriculture (FDA) in the United States may have the power in the future to demand an audit of On Farm Food Safety plans being implemented with respect to imports coming into the US (exports from Ontario). The safety of food is a major concern to the consumer so if you have not implemented a recognized plan on your farm, I would strongly recommend you get with a program sooner than later.
The asparagus industry has been very proactive in this respect and provided a program free to all licensed growers for years, and continued to offer the program in 2008, at the cost of recovery, still minimal considering the importance.
Pilot projects are being developed for IQF (Individual Quick Freeze) of asparagus so that we can take advantage of the ‘Buy Local’ activities that are developing. In a market that lasts for two short months, our ability to be available 10 more months is a challenge, so this certainly meets that lost market. There are frozen products available, but look carefully at the country of origin and it is spelled ‘C-H-I-N-A’. Not where people want to be, in light of all the food recalls and scares that have been in the headlines.
We are also revisiting the microwaveable pack, grilling spear pack and flour milling. The grilling craze is not being properly serviced, so we need to develop education around the jumbo/large spears, and get them into a specific grilling market. At a recent meeting with our Shippers, the interest in grilling was expressed, so we listened and we will get to work developing that market.
A Grower Day is planned for March, 2009, and more details will be forthcoming. Our Annual General Meeting has taken a different format this year, and we have separated the politics from the education of our growers. So, on November 28th, we will attend to the business of our Board. In March, we will address the education and development of our Growers. I look forward to hearing from everyone as to how they received this format, either positive or negative, as all opinions are important.
Time has passed quickly, and traditionally, we look to quieter months to get much of our developmental work done. But those quiet months just do not happen anymore, so we never seem to stop thinking about next season. I remain very positive with respect to our Asparagus Industry, and asparagus is still in many conversations I have — the vegetable of choice — so we need to keep filling that demand with the best and safest quality product. I thank you for allowing me to Chair this determined Board, and I have at all times represented our industry to the best of my ability.
Thanks to Denton for his steadfast guidance,and Kathie for her administrative skills, and my board of directors for supporting our many endeavors. Grant Edwards is my Vice Chair, and due to his off farm commitments he was not able to devote as much time as he wished. Grant was very up front about his time restraints, and was just a phone call or email away. He heard from me and always responded with his advice. Thank you, Grant, for your commitment and devotion to this industry, and I look forward to you coming back in a more ambitious role in the future.
Raymond and the girls are my greatest supporters, and because of them, I can do what I do for Asparagus and Horticulture, so a sincere thank you to them for their love and support.
Respectfully submitted,
Brenda Lammens, Chair
2008 GENERAL MANAGER“S REPORT
Denton Hoffman, P.Ag.
November 2008
As this fiscal year ends, we watch the world around us grapple with markets in financial crisis, including sliding commodity prices. Whether this will have any impact on our asparagus crop in 2009 is anyone“s guess, although already most of the agri-food prognosticators are foreseeing no price increases for next year. We do like the U.S. exchange rate trend. Since 2008 was a rewarding one, for the Board and growers—our research initiatives, market development and ongoing investment in relationships continuing to deliver remarkable, and often unexpectedly profitable, returns.
We continue our excellent research partnership with Dr. Mary Hausbeck and the University of Michigan. Thank you, Mary, for sharing the expertise and resources to address our asparagus issues, and your excellent work in helping us find the answers to the challenges of continuing to grow healthy crops, season after season.
Dr. Dave Wolyn and Paul Banks continue to oversee the critical job of overseeing our varietal research, with superb—and award-winning!—results, like our world-class Millennium. Their painstaking efforts had made our seed program unique in North America—and demand for what we produce more and more outstrips supply. The seed sales—particularly since the launch of Millennium—is a key element of the OAGMB“s income that keeps grower fees artificially low and ensures the board“s ability to fund research, development and the pilot projects, launching its future success into new consumer markets. Despite last year“s best efforts with the old seed cage, there was a weather-related issue at/with the Simcoe Research Station which reduced the amount of seed harvest, so there will be less for sale next season. Not only will expectations from our sales groups have to be handled, but the Board will be carefully reviewing the overall impact on annual income versus commitments. Our current investment in a new seed cage is a good one—and an easy decision.
As the Processing Committee reported, the industry was able to move a significant amount of product into the U.S. through the pilot project this year with Farm Fresh first, taking some pressure of Ontario“s fresh market when the price of asparagus dropped. From this success, we are looking to extend into another area of processing—IQF (individual quick frozen)—to extend ‘locally grown’ Ontario asparagus to year round by making it available to our consumers in retailers“ freezers. Our product can beat out China“s, hands-down.
Our best marketing partner—Foodland Ontario—supported asparagus again this year, with radio, television and the ever-popular in-store display contest. Their fresh recipes always inspire the media and consumers. Thank you.
Unless you sat in your cold room this past year, away from any radio, TV or neighbor“s news, as a grower you have to be aware of the importance of implementing an On Farm Food Safety Program. Yes, it costs a few bucks, since the Feds weren“t kicking in their share, and as a result of the Board“s trade-off of lower acreage fees, but after all the contamination scares and now, potential new traceability audits by the U.S., any grower refusing to follow the HACCP-based, risk-reduction contamination processes of our OFF program is not only asking for trouble, he“s threatening to bring it down onto the entire industry. As someone involved in food safety with CHC—a national program in food safety and traceability across all commodity groups—it is not the next big thing. It is THE thing, here and now. Quit playing ostrich, sign up before your product sends the industry into a food safety crisis. The Ag Policy Framework will provide needed financial support for On Farm Food Safety in 2009. Details are coming—and they can“t come fast enough for us.
Transparency—with growers and shippers, born and bred to be independent cusses—is slow and painful, but coming. Eventually, everyone is going to realize we are all in the safe lifeboat together, and to survive and thrive, we need to share information so Ontario can come out on top. Our ongoing research into cost of production will provide valued information for us.
Thanks to Marilyn Sewell, of the Farm Products Marketing Commission, for her time, guidance and advice on regulatory issues. Every grower has a copy of the current OAGMB“s—a solid base from which to consider the future.
I always have to thank Kathie Vysick, who not only works hard, keeps long hours, and is dedicated to the organization, but tolerates my management style (long distance, for one). Thanks for hanging in with me, Kathie.
While this is still called the ‘GM“s Report’, as you know, my title and position has changed to ‘Executive Director’, reflecting increasing involvement by the Chair and Board of Directors, since the success and activities of the board has grown to the point where I cannot support it fully within the third of the hours my shared contract addresses. My heartfelt thanks to Brenda Lammens—a hands-on Chair, eager and responsive; as well as a fully involved Board of Directors, who have tackled the challenges and opportunities this year—exciting and daunting. This industry—like its leaders and progressive growers—will succeed, because you will not accept failure. I salute all of you.
Respectfully submitted,
Denton Hoffman, P.Ag.
Executive Director
PROCESSING ASPARAGUS REPORT 2008
Ontario Asparagus contracted with Tom Facer of Farm Fresh First a total of 250,000 pounds of asparagus for processing, to be delivered by 19 growers, who in turn contracted with Ontario Asparagus.
Two growers did not deliver any product; of the remaining 17, some filled their contract and delivered extra, and others only delivered a portion of their contracted weight. Therefore, the contracts will be closely reviewed before any 2009 contracts will be offered to these growers, as the 2008 contract stipulated penalties for future contracting, if the 2008 contract was not fulfilled.
A total of 242,805 lbs was shipped in seven loads from May 29 to June 24, since May was a slow start. Tom Facer was understanding of the growing conditions and challenges we experienced. It was comforting to be dealing with someone like Tom Facer, who understands the business and the challenges it presents to Growers.
The quality was acceptable to the Processor, and Growers complied with the delivery requirements for standards or faced discounted percentages based on a three pound sample taken from every bin.
The final payouts were based on the following:
| Negotiated Price | $0.70 per pound |
| Deduct MACMA fee | $0.01 per pound |
| Deduct Receiving fee | $0.05 per pound |
| Deduct Admin fee | $0.00 per pound |
| Net price | $0.64 per pound |
Any grade discounts were subtracted from the received weight. There were not any administration fees for 2008. If there were any minor losses or gains from exchange rate fluctuations, the Board assumed the risk/reward.
The Processing Committee was composed of Denton Hoffman, Lonnie Duwyn and Brenda Lammens. If you have any questions or comments — please contact your committee.
Thank you and respectfully submitted.
The Ontario Asparagus Processing Committee
ASPARAGUS RESEARCH REPORT 2008
This report will summarize research conducted by the board over the past 4 years.
I have attempted to weigh the projects under 3 main categories;
- Research that benefits our seed business.
- Research that benefits asparagus generically.
- Research that is specific to Ontario growers.
I will identify risks that I see in the future, both immediate and potential.
I will offer recommendations from my perspective as research chair, and a member of the board.
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Combating Foreign Competition , Canadvance ADV0119 Dave Wolyn, Paul Banks, Maury Bredahl University of Guelph.
This project was a broad ranging (at the request of AAC) one that embraced the following areas,
- Identify new female and supermale parents annually.
- Develop and evaluate hybrids in tests combining ability at Simcoe for yield, qualitystance, and analyze data annually.
- Establish replicated-multi-location trials, produce seed in 2005-6-7.
- Cross females and supermales with superior combining ability and establish trials of new asparagus hybrids, annually.
- Evaluate potential market developments in North American market.
- Evaluate competitive position of Ontario Producers in Atlantic Coast and Midwestern markets.
Progress/milestone reports available on request/online.
Total Project Cost $539542.00 Cost to OAGMB 30%, AAC Grant 70% Budget available on request.
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MSU , Dr. Mary Hausbeck, This project was outlined with a full report in our 2007 annual meeting book. The current first stage is complete.
Total Project Cost $206000.00 Cost to OAGMB, approx $9000.00 (fluctuating U.S. Dollar) Cost to CORD IV (Canada/ Ontario Research and Development) approx $94000.00, cost to Michigan Asparagus Producers/ USDA $103000.00.
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NSERC Project (CRDPJ) 326255-05-10 "Enhancement of Asparagus Production Systems" Dave Wolyn, Paul Banks, Scott Liddycoat, Eric Landry
- Plastic Tunnel Enhancement, Technology from Europe, tried, no interest in pursuing. 2005.
- Plant Rhizobacteria & Irrigation. This work was presented at our annual meeting by Scott Liddycoat, Masters Student. Over two years Scott could see no identifiable response to the treatment. The Irrigation work showed positive response in new plants in 2007.
- Senescence Project, Eric Landry Masters Student, The largest component of the NSERC work which is looking at the "proper" winter hardening off to suppress plant mortality. Millennium shows significantly lower levels of mortality compared to Jersey varieties. Why, and does the trait extend over the lifetime of the planting.
Total Project Cost $158,500.00 Cost to OAGMB $58,250.00 Cost to NSERC $100,250.00 in kind $42,000.00
Reports and Budget available on request.
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Agricultural Management Institute (AMI) Dr. Maury Bredahl "Benchmarking Study". This initial work was presented at our annual meeting.
Total Project Cost $12500.00, in kind growers $8000.00
Cost to OAGMB $0, in kind includes office support.
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University of Guelph, Economics Dept. MBA (Agriculture) "Investigating a Business Plan for Rutin" MBA team presented initial results at our 2006 annual meeting.
Total budget $12500.00 Cost to OAGMB $0
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Donna Shaw, part of the above team, did further work on public acceptance/reaction. Presented initially at 2006 annual meeting follow up Sept 2007
Total budget $500.00 Cost to OAGMB $500.00
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OAFT "Potential for Dried Asparagus By-Products" Presented throughout 2006 as part of a larger project Dr. Gord Surgeoner/OAFT was/is working on.
Total Budget $5000.00 Cost to OAGMB significant in kind, approx $15000.00
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GFTC (Guelph Food Technology Centre) "Freeze Dried Asparagus Project" looking at Rutin levels at various stages of development and utility of end dried product. Presented at AAC annual meeting 2007
Total budget $6000.00 Cost to OAGMB $6000.00
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Minor Use Work, An outcome of the work with Michigan collaboration. Michigan provides us with the data that given the identical PMRA classification zone, negates us from having to re-do or duplicate the data. Their researchers have been personally involved on our behalf.
Subjective Weighting For Future Cost Allocation
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- Seed Development
- Seed Development
- Seed Development
- Seed Development
- Ontario Growers
- Ontario Growers
- Generic to all asparagus growers
- C Seed Development
II "Irrigation" generic to all asparagus growers - Ontario Growers
- Seed Development 'Millennium"
- Seed Development "Millennium"
- Generic to all asparagus growers
- ALL Seed Development for nutraceuticals Generic to all "Millennium" growers Ontario Growers
- Ontario Growers
The reason for this exercise is I feel the need, as we mature as an organization, to develop budgets that properly allocate costs where the greatest benefit will occur. Where your monies are spent, with the intended benefits and beneficiaries, need to be clearly outlined in the future...Why?
Risks That Are Starting To Emerge;
- Overall costs, Similar to our farms, costs at research institutions, wherever they are located are spiraling out of sight. We can point fingers or find ways to work together with others (Michigan) or harmonize within the system (FVGO) to get a greater "Bang for the buck"
- Dependence on Fed/Prov programs. As identified above we paid a small but significant cost of the overall projects. There is only so much money, but while the board has taken a judicious approach, there are important areas and issues that will impact on our future. While governments have backed out of direct commitments on research, they have put significant resources into "programs" , while containing potential for political mileage, lack the long term financial commitment, necessary for an industry such as ours.
- Administration Costs; whether within programs, or within our board office, what is not identified in the above research projects was the growing cost to both seek out and then administer a particular project. I would suggest a factor of 20% cost above the real budget to cover our board, director and staff costs that are becoming a part of the future.
- Research Station Fees . We use a significant and growing amount of land at the Simcoe Station. While our agreements pre-dated the new fee structure, there is an element of uncertainty looking to the future. As long as there are programs in place, the issue is workable. What if there are no programs when a continual project (breeding program) comes to the end of a specific 5 year rotation?
- Effort. The above program took a significant amount of time and work to make happen. We know the current year will throw a number of challenges to the board and our staff. There is irony that we are looked at as the model in innovation and advancement. We are only as good as the support you the growers provide to us on your behalf.
Recommendations;
- Seed Business, It started as an effort to give Ontario growers a "made in Ontario variety" that was bred for Ontario climates and markets. The seed business is now viewed as "World Class" with a growing reputation for quality. What do we want as the OAGMB in the future? The market is there to grow significantly in the future. That market however is global in nature. Economies of scale grow as the seed business grows. Michigan is a prime example. New varieties are in trial and interest is growing as Dr. Wolyn has identified traits that stand out in specific areas or circumstances I RECOMMEND WE GROW THE SEED BUSINESS TO ITS ULTIMATE LEVEL. There COULD be a significant financial benefit to Ontario growers and the OAGMB.
- Part of the above is the evolution of the breeding program, but also Dave Wolyn and Paul Banks ability to identify desirable traits, which they are now starting to incorporate in the new germplasm. I RECOMMEND WE CONSIDER A FORMAL APPROACH TO IDENTIFY AND INCORPORATE DESIRABLE TRAITS INTO THE BREEDING PROGRAM.
- We did no work in 2007 on new uses for asparagus ie. Flour, pasta, nutraceutical (rutin). This was due to an overwhelming workload (asp/ginseng) in the office that is growing. Most of the potential appears to be specific to the variety "MILLENIUM". I RECOMMEND WE PUT A SIGNIFICANT EFFORT TO EXPLORE THE MARKET POTENTIAL FOR ALL NEW AND POTENTIAL USES FOR ASPARAGUS.
- Relationship with Michigan. It started with research and has expanded into other areas. The more we partner, the more we can deliver affordable solutions to joint problems. Dr. Hausbeck“s work has led to 3 fungicides registered with a fourth (Folicur) anticipated in 2008. They are looking at the next generation of Dr. Hausbeck's work, SOLUTIONS. I RECOMMEND WE PARTNER WITH THE MICHIGAN ASPARAGUS GROWERS, TO SEEK SOLUTIONS TO ROOT DISEASES.
- Production enhancement; The question of irrigation has come up here and in Michigan. I feel it would be advantages to work collaboratively, for efficiency to look at the effects of Irrigation, during all stages of asparagus production. I RECOMMEND WE PARTNER WITH MICHIGAN TO STUDY THE EFFECTS OF IRRIGATION AND PRODUCTION SYSTEMS.
- Funding. The board has been astute/fortunate to secure funding from a variety of sources, some not commonly known in agriculture. I RECOMMEND THE BOARD AMPLIFY ITS EFFORTS TO NETWORK AND PARTNER WITH ANYONE OR GROUP THAT CAN BENEFIT OUR INDUSTRY.
Respectfully submitted
Jeff Wilson - Director Research & Seed Development
DISTRICT #1 REPORT - AGM 2008
The 2008 season started on April 26 in the southern area of the district. After this early start there was a production set back with a frost freeze event on April 30. The damage varied from light frost to a heavy froze depending on location. Even with the frost freeze damage most fields produced an average crop.
Yields for this season could be reduced because of the extreme dry summer we had in parts of District #1 with virtually no rain from July 1 to September 1 we would expect to see some yield reduction.
With increasing input costs and somewhat stagnant grower returns, growers in District #1 would like to see the GRDU (Grower Requested Own Use) program expanded to include more crop protection materials. We feel that there is an opportunity for the Board to assist growers in accessing these competitively priced products. Price surveys have consistently shown us that we in horticulture are paying a lot more than our neigbours in the USA. On behalf of the growers in District #1, I would like to thank John Jaques for his many; years of service and dedication to this industry. You represented us well and we are forever grateful.
District #1
Committeemen will be Josh Jaques, Kim Fysh, Bob Kerr, Keith Wright
Director to the board will be Keith Wright
Respectfully submitted
Keith Wright — Chair District #1
DISTRICT #2 REPORT - AGM 2008
The 2008 asparagus crop harvest began at the end of April this year. However, due to frost in the first week of May, the harvest was delayed again for approximately a week to 10 days for most of the area growers. Despite these conditions, yields were relatively good in the month of May. Again, toward the end of the month, weather conditions became cold, and the flush of asparagus production we were hoping to experience in June never really materialized. Some growers experienced some hail damage within the season. Despite these set backs, the asparagus crop appeared relatively uniform throughout the season, with good colour holding well until the end.
Market prices were depressed, with the chain stores putting downward pressure on our product. Other than a few U.S. loads being dumped into Toronto, most of the problem was an oversupply of product in Ontario, with not enough local markets to buy it. We did, however, find the shipments of asparagus to Michigan a ‘blessing,’ as it took our #2 spears off the Toronto market, completely eliminating those unprofitable sales.
With respect to the Food Safety issue, personally, it seems to be getting easier. The transition process of continually documenting things has become smoother. It also helps that the reviewers who come to our farms yearly are committed to helping us make these transitions as smooth as possible. It“s definitely all a matter of getting used to it. I hope that all growers are participating in the program that the Board was instrumental in initiating.
On a personal note, I must apologize for not being able to assist the Board more with my duties as Chairman for District 2, but our particular farming operation demands a lot of my time and commitment. With ever-increasing responsibilities that the Directors will need to shoulder in the coming months and years, I regret that I could not remain on the Board as a Director.
Directors appointed for District #2 — Brenda Lammens, Ed De Hooghe, Jason Ryder, Lonnie Duwyn
Respectfully submitted,
David Delhi — Chair, District 2
DISTRICT#3 REPORT - AGM 2008
This year—2008--brought a spring (and summer) loaded with weather challenges. This seems to be the norm now for asparagus growers. The crop was below average for yield, but we saw an increase in price (overall) that evened things out. We are concerned the southern districts had similar reductions in yield, but no apparent increase in price. We welcome the study that will determine how growers can make a profit, given increased input costs, when/if there is no price increase. As things stand now, we can't.
We applaud the Board in its efforts to seek new processing markets. Some growers in District 3 participated in the effort, and appear to be pleased. We would like to see some effort from the Board to offset the high cost of transportation to get District 3 product to the receiving station in Norfolk. All in all, we applaud the Board“s ongoing efforts on our behalf.
The committeemen for 2009 are: Morris Gervais and Jeff Wilson. The Director to the Board is Jeff Wilson.
Respectfully submitted,
Jeff Wilson — Chair, District 3
DISTRICT #4 REPORT - AGM 2008
Our District meeting was a well planned, advertised meeting via conference call in October.
The idea—mine--was to have Denton and Brenda participate on the call. Our growers are few, and widely spread out across Eastern Ontario. The hope was our growers would take one-half hour to participate via telephone for the District meeting. Only two growers--myself and Jack Ketcheson—attended, bringing to bear a bigger question: the existence of a District 4 in Ontario. An issue the 2009 Board needs to review with Farm Products and our growers.
| 2009 | |
| Director | Brian Beatty |
| Chair | Jack Ketcheson |
| Committeemen | Henry Jansen |
Our season was early, the last week of April, and then very slow through May. The weather in June co-operated with an increase in production. If you don“t get it in May, you won“t get it in July. The major labour problems we encountered would distort our production levels, as they wouldn“t reflect the District performance.
I would like to thank Denton, Brenda and the 2008 Directors for a good job. We continue to battle fear orchestrated within our industry, for profit on the backs of our producers. Our growers need to support OAGMB initiatives.
I would like to take a moment after 35 years as a grower, packer, shipper and 30+ years as a Director of OAGMB to thank all present and past Directors for their commitment to serve our industry, where we have been and where we are going in the future. To those who continue to spread fear for profit and would like to destroy OAGMB or undermine our efforts — please stop — get involved to assist your fellow grower and your Board of Directors.
OAGMB initiatives“ to spend time and precious capital on our asparagus varietal improvements is the highlight of all these years. Where and what would we be growing without the integrity of the University of Guelph and the OAGMB breeding program. Witness the lack of honesty in the New Jersey varieties that have disease and mortality problems from the day they are planted. Ask your neighbor in Michigan or Ontario about his 10 year-old field.
OAGMB has a legitimate ‘Food Safety Program’ that is accepted by ‘Industry’ and needs to be supported and instituted by all our growers. Our group cannot afford HAACP or ISO programs.
OAGMB has initiated a common box, double-banded via graded all green pack at a maximum length of 9 ¼’. Some grower groups continue to violate the Canadian and US standards. Labour issues and perceived increased production per acre, plus the cost of the ‘plastic’ box, seem to be the driving force behind this product“s production. Adherence to a standard length will have to be addressed in the future by these ‘grower groups’ and OAGMB.
OAGMB has initiated a successful exit of #2 asparagus to processing in the USA that will expand in 2009 with increased grower support. Even the best grower or the poorest math expert should quickly calculate its benefits to the Industry“s bottom line, and his proximity to a receiving station is a key. Perhaps several stations are needed. I don“t know any grower that doesn“t have 10% #2s.
OAGMB has initiated a ‘shipper license’ for 2009. A recent shipper meeting in Toronto highlighted the concerns of the shippers with the legal implications of the current proposed agreement. Our Board needs to rework the language to make it acceptable and accomplish the OAGMB“s goal to have a ‘shipper registry’ that our growers can commit to in 2009. Gone are the days of hauling ‘red hot asparagus’ to the farmer“s market. Re-entry of this product into a Quality Chain is just too risky without hydro-cooling. Any of this type of product will be steeply discounted, affecting the perceived wholesale price.
OAGMB in the future, with our recently legislated finance cuts--i.e. acreage assessment reductions--must be leaner, and reflect growers“ need to survive. We can“t save your farm but we are trying to.
OAGMB needs to convey to growers that we do not support the use of illegal or undocumented workers in our industry. It is unfair competition. Does OAGMB need to request high-toned audits by WSIB and HRDC for 2009? The cost to be legal in 2009 is $10.36 per hour. USA minimum is $7.35. The undocumented employer and his workers have a 22% advantage on every $100,000 of payroll over legal employers. That is a big chunk of money and unfair competition. What should OAGMB do about this issue if our growers continue this practice?
I thank you for your attention and appreciate your attendance at our 2008 AGM.
Respectfully submitted,
Brian Beatty — Chair, District 4
DISTRICT #5 REPORT - AGM 2008
The 2008 growing season started a couple of weeks early, with a very strong marketplace. The lack of foreign product in the market helped us get off to a quick start. However, this was hampered by a frost on April 29th. Our farm was not able to get started again until May 8th. Once harvest resumed, things seemed to roll very well. The month of May brought excellent growing conditions, without any overly high temperatures that can overwhelm our coolers. This season ended with an above-average yield--possibly due to the cooler weather and adequate rainfall.
The marketplace also cooperated with decent pricing. Processing contracts provided us a place for our excess asparagus without harming the fresh market. We no longer had to lower the price just to move a few cases of excess fresh product. It has been a number of years since we have had a bottom price for asparagus. The processors in Michigan have been extremely accommodating to the needs of our industry. We are very lucky to have a processor that allows us the flexibility needed to make the deal work. In our case, the processing contract has allowed us not to sell a pound of fresh market asparagus for less than a $1.
District 5 would like to thank the efforts of the Board for reviving the processing market. I believe that a strong processing market is the cornerstone of a profitable industry.
The Directors for District 5 this year will be: Murray Porteous and Charles Welsh.
Respectfully submitted,
Charles Welsh -- Chair, District 5
ACREAGE MEASUREMENT REPORT 2008
The acreage measurement program maintains an acreage inventory for the purpose of assessing annual license fees. Measurements were completed this year by Rossilind Lammens using GPS technology and database input compiled by Paul Van den Borre.
| Size of Acreage | # of Producers | Percentage of Producers |
|---|---|---|
| 2 to 5 acres | 19 | 17.9% |
| 5 to 10 acres | 18 | 17.0% |
| 10 to 20 acres | 23 | 21.7% |
| 20 to 50 acres | 31 | 29.2% |
| 50 to 100 acres | 14 | 13.2% |
| 100 acres plus | 1 | 0.9% |
| Total | 106 | 100.00% |
| Year | District 1 | District 2 | District 3 | District 4 | District 5 | Total |
|---|---|---|---|---|---|---|
| 1999 | 452 | 1,212 | 213 | 74 | 235 | 2,186 |
| 2000 | 419 | 1,273 | 231 | 106 | 230 | 2,259 |
| 2001 | 431 | 1,325 | 215 | 94 | 226 | 2,291 |
| 2002 | 377 | 1,571 | 221 | 98 | 250 | 2,517 |
| 2003 | 328 | 1,607 | 178 | 117 | 213 | 2,443 |
| 2004 | 314 | 1,972 | 187 | 116 | 257 | 2,846 |
| 2005 | 264 | 2,296 | 165 | 116 | 221 | 3,062 |
| 2006 | 262 | 2,359 | 131 | 98 | 206 | 3,056 |
| 2007 | 198 | 2,329 | 124 | 89 | 198 | 2,938 |
| 2008 | 183 | 2,004 | 127 | 89 | 218 | 2,621 |
| Acres Ploughed Out | |
|---|---|
| 2008 | 327 |
| 2007 | 198 |
| 2006 | 147 |
| 2005 | 70 |
| 2004 | 100 |
| 2003 | 170 |
| 2002 | 93 |
| 2001 | 123 |
| 2000 | 141 |
| 1999 | 220 |
Acreage Measurement Program Report — 2008
| District 1 | District 2 | District 3 | District 4 | District 5 | Total | ||
|---|---|---|---|---|---|---|---|
| Number of Producers | 11 | 65 | 10 | 7 | 11 | 104 | |
| Number of Producers | 11% | 63% | 10% | 7% | 11% | 100% | |
| Acres Planted | 2008 | 0 | 11 | 5 | 0 | 4 | 20 |
| Acres Planted | 2007 | 7 | 22 | 3 | 0 | 5 | 36 |
| Acres Planted | 2006 | 19 | 58 | 7 | 0 | 32 | 116 |
| Acres Planted | 2005 | 0 | 154 | 13 | 2 | 69 | 239 |
| Acres Planted | 2004 | 0 | 365 | 3 | 0 | 1 | 368 |
| Acres Planted | 2003 | 3 | 285 | 2 | 1 | 22 | 313 |
| Acres Planted | 2002 | 0 | 214 | 11 | 8 | 13 | 247 |
| Acres Planted | 2001 | 26 | 233 | 14 | 22 | 26 | 320 |
| Acres Planted | 2000 | 14 | 130 | 21 | 1 | 10 | 176 |
| Acres Planted | 1999 | 40 | 54 | 15 | 1 | 13 | 124 |
| Acres > 10 years | 75 | 477 | 33 | 54 | 23 | 662 | |
| Total Acres | 183 | 2,004 | 127 | 89 | 218 | 2,621 | |
| Percent of Acres | 7% | 76% | 5% | 3% | 8% | 100% | |
| Sales in pounds | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | |
| Guelph Millennium | 473 | 93 | 305 | 303 | 248 | 273 | 512 | 607 | 558 |
| Guelph Tiessen | 41 | 375 | 236 | *** | 73** | 125 | 97 | ||
| Summary of Acreage Measurement | |||||
|---|---|---|---|---|---|
| 2004 | 2005 | 2006 | 2007 | 2008 | |
| Total producers | 59 | 41 | 22 | 24 | 29 |
| Total Acres Measured | 1333.2 | 832.7 | 518.9 | 444.5 | 687.312 |
| Average Acres Measured | 22.6 | 20.3 | 23.6 | 18.5 | 23.7 |
| Total Cost of Measurer | $5,555 | $3,565.52 | $2,113.58 | $2,107.00 | $2,144.15 |
| Average Cost per Measurement | $94 | $86.96 | $96.07 | $87.79 | $73.93 |
| Average Cost per Acre | $4.17 | $4.28 | $4.07 | $4.74 | $3.11 |
SEED REPORT - 2008
The following is a summary of the varieties of seed that have been licensed under the ARIO-U of G-Asparagus Board agreement (established 28 May 1996)
| Production totals | Guelph Millennium (lb) | Tiessen (lb) |
|---|---|---|
| Start inventory 2008 from harvest year ended 2007 | 558 | 97 |
| End inventory 2008 | 0 | 33 |
Decisions were made this season in regards to the seed plot. We saw continued decline on the west side so have decided to discontinue production there and move the cloth from the west to the east where production is maintaining itself. The cloth on the east side was older and showing deterioration. Plans have been made to cover the new plot and the trial plots in the east farm in 2009. Thanks to Paul for all of your help this past year and the staff at Simcoe Research Station.
Respectfully submitted,
Ed DeHooghe