Manitoba is on the downswing again, as producers brace for market losses. (re: Tough Time For Hog Producers, Brandon Sun, Sept. 18)
I believe there is another very important factor that should not be disregarded.
The final straw, in this most recent case, that may have broke the hogs producers’ back, in my view, was the previous actions of our governments.
When governments, including Manitoba, decided to support and sponsor ethanol plants, for the benefit of grain producers, the price of relatively cheap grain became more expensive. The hog producers, who did not grow sufficient grain to feed their huge inventory had to pay much higher prices to feed their animals just to stay in business.
Then came the recent drought, especially in the United States, where corn was relatively inexpensive.
Now, there was no more cheap feed available from any agricultural grain producer.
The prices have skyrocketed! This leads me to conclude that our federal and provincial governments, by sponsoring ethanol fuel plants, created a detrimental situation that was instrumental in the eventual and present situation of the factory hog producers and their portly industry.
With government contributions of burning the candle at both ends, the hog industry ended up getting burned, and of course, also the Canadian taxpayers. Rather than flapping about the consequences and concerns, now would be a good time for all governments to refect on the repercussions of their own actions and involvement that contributed to the downfall of the hog industry.
The following statement by Ronald Reagan, the 40th president of the United States, rings the truth. For that is exactly the scenario of what took place.
“Government does not solve problems; it subsidizes them.”