Why rural infrastructure must be a government priority

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Our farmers rely on rural roads and bridges  to bring in supplies and get their products to market – but a lack of government funding to maintain and rehabilitate that infrastructure is working against them.  

There are three primary types of infrastructure – municipal (local roads and bridges), provincial (secondary and primary highways) and federal (railways and ports). The problem lies at the municipal level.  Local governments do not have large tax tools like personal income tax, corporate income tax, and sales tax.  Their taxing power is limited to the property tax. In rural areas, where the population is small, municipalities simply do not have the funds required to sufficiently maintain local roads and bridges.  

More and more, business is also being conducted online, but rural areas have limited access to consistent, reliable internet. This service needs to be extended to remote areas so that agricultural producers can benefit from the reach and efficiencies of digital commerce.

How municipalities are managing

Because municipalities are not receiving the financial support they require from senior level governments, some are taking radical measures.  Examples include the ‘livestock head tax’ imposed in Lethbridge County, recategorizing intensive livestock production from ‘agricultural’ to ‘commercial’ or ‘industrial’, and creating exclusion zones where agriculture activities are not allowed.   

Solutions

1) For rural infrastructure to adequately support farmers and rural residents, provincial and federal governments must provide adequate financial support. Rural infrastructure is just as important as urban projects such as transit or green initiatives.  

2) The taxation system for farmland in Alberta has not been updated in decades. Assessment does not capture farmland used for intensive livestock production, and the values attributed to cultivated land are inaccurate because new technology has made previously less productive land more productive.

Since the 1920s and 1930s, consecutive federal and provincial governments have invested billions of dollars in irrigation including headworks, canals, and reservoirs.  If there are no roads and bridges to go along with that, we will not maximize the return on these billions of dollars of historical investment.

Without the infrastructure to get product to market, investment in agriculture will slow. But high quality, public infrastructure will stimulate investment and support agriculture.

You can read about other issues affecting Alberta’s cattle feeders in ‘Pressing cattle feeders issues discussed with politicians during Ottawa trip’. 

How roller-compacted concrete is improving cattle health in feedlot pens

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Alberta’s cattle feeders are always looking for innovations that will contribute to their excellent standards of animal care and improve the sustainability of their operations.

Roller-compacted concrete (RCC) is a product new to the industry that can be used as a base for feedlot pens instead of clay. Jared Clark, of KCL Cattle Company Ltd., near Lethbridge, explains some of the benefits of RCC, in this video:

Benefits of RCC

Roller-compacted concrete was developed in the 1960s, but its application in the feedlot world is new. The benefits for cattle health, feedlot efficiencies and environmental performance are all being studied, but feedlots using the product have already observed:

– Reduced pen dust, which improves air quality, as well as water quality in the dugouts near the pens.

– Reduced loss of clay every time a pen is cleaned. This means less pen maintenance, and also reduces the emissions created by trucks hauling away manure mixed with clay.

– Less mud in pens gives cattle more room to roam, and also promotes foot health.

RCC is just one of the many ways cattle feeders care for their animals. You can learn more in ‘Why our high standards of animal care make Canadian beef the best’, and ‘How 5 freedoms help ensure excellence in animal care’.

Micro-machine helps reduce feedlot waste

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Feeding cattle the best diet for growth is a complicated business. Now, new technology is making it not only easier to do but also more efficient. 

Micro-machine technology enables cattle feeders to accurately measure individual additives or supplements that help cattle grow. 

There are three primary constituents in cattle feed – the concentrate, which is typically grain; the roughage, or silage; and supplements, including minerals and vitamins. The makeup of the feed varies with the gender of the animal and how long it has been in the feedlot.

Most Canadian feedlots hire nutritionists to create a balanced feed plan for their livestock.

Once a nutritionist has decided on the optimum supplement blend, it is typically made into a custom pellet. These pellets are then mixed in with the grain and silage. A feedlot might have four or more different pellets formulated for use during different stages of the feedlot growth cycle. 

Simon Cobban, manager of feedlot solutions at United Farmers of Alberta (UFA), said customizing feed for different groups of cattle can be wasteful. “If a feedlot operator wishes to increase the use of any given supplement, he must increase the number of pellets added to the feed. This means increasing all the supplements in that pellet and incurring a great deal of waste.”

How technology is reducing waste and improving accuracy

With micro-machine technology, cattle feeders can measure individual additives or supplements to within 1/100th of a gram. Once measured, these supplements are then sprayed directly onto the grain. It provides a much more accurate and homogenous mix than mixing in a pellet.

“The machines aren’t new, but the high capital cost puts them out of reach for most feedlots,” said Simon. “At UFA, we have a program for cattle feeders where we provide the machine at no cost, as long as they buy our feed, additives and supplements. We install the machine in a custom building, set it up, program it and maintain it. It makes this technology much more accessible.”

Initially, UFA’s micro-technology program was only available for feedlots that feed 10,000 or more head of cattle per year. It is now available to feedlots with 5,000 head, and it will soon be going down to 1,500 head.

“We currently service something like 60 to 65 per cent of the fed cattle in Western Canada,” said Simon. “We have 100 per cent customer retention, and we have quite a few smaller feedlots waiting for when we can reduce that threshold to 1,500.”

To learn about other ways technology is used in feedlot operations, read ‘How technology is helping improve feedlot efficiencies’.

Revised NAFTA agreement a relief to Canada’s beef producers

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Image Credit: KCL Cattle Company Ltd.

After more than a year of negotiations, Canada, the U.S. and Mexico have reached an agreement on NAFTA. The new, proposed agreement is called the U.S.-Mexico-Canada Trade Agreement (USMCA).

The agreement is good news for Canadian beef producers, as it preserves the duty-free trade in live cattle and beef, which has benefited all three partners under NAFTA. The existing rules of origin and the mechanisms for fair dispute settlement also remain intact.

Brian Innes, president of the Canadian Agri-Food Trade Alliance (CAFTA) issued a statement on the new agreement: “We welcome an agreement to renew NAFTA. Free and fair trade has made our agri-food exporters globally competitive. We’re very pleased that free and fair trade of North American agri-food products will continue.”

The U.S. is Canada’s largest trade partner for beef and live cattle, and the new agreement ensures that will continue. “USMCA gives the Canadian beef industry critically important ongoing access to our largest markets: U.S. and Mexico,” said Bryan Walton, ACFA’s president and CEO. “This is an integrated industry here in Canada and free trade in North America benefits producers in all three countries.”

Why diversification still matters

The uncertainty over NAFTA has been trying for Canada’s beef producers, and it has highlighted the need for Canada to expand its global reach and forge new trading partnerships.

Trade with Asia recently received a boost with the signing of the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP). Speedy ratification of this deal is of the essence for Canadian producers to ensure Canada is on the ground floor when it comes to securing lower tariffs with other partners. 

Europe is another market that provides export opportunities to Canadian beef producers. The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) is designed to encourage free trade between Canada and Europe, although Canada doesn’t currently fill its quota for beef exports because there are not enough Canadian packing plants qualified to send beef to Europe.

“The most important thing that we got out of reaching this USMCA agreement is we’ve removed most of the cloud of uncertainty that was hanging over the Canadian economy and discouraging investors from moving forward,” said John Weekes, former chief negotiator for NAFTA.

The pursuit of an ambitious international trade agenda is one of the key tenets of Canada’s National Beef Strategy, which is designed to ensure that Canada’s beef producers are positioned to weather challenges and take advantage of opportunities. You can read more about that in ‘4 reasons the National Beef Strategy is important to Canada’.