U.S. tariff threat doesn’t change Maple Leaf’s plans
Advertisement
Read this article for free:
or
Already have an account? Log in here »
We need your support!
Local journalism needs your support!
As we navigate through unprecedented times, our journalists are working harder than ever to bring you the latest local updates to keep you safe and informed.
Now, more than ever, we need your support.
Starting at $15.99 plus taxes every four weeks you can access your Brandon Sun online and full access to all content as it appears on our website.
Subscribe Nowor call circulation directly at (204) 727-0527.
Your pledge helps to ensure we provide the news that matters most to your community!
To continue reading, please subscribe:
Add Brandon Sun access to your Free Press subscription for only an additional
$1 for the first 4 weeks*
*Your next subscription payment will increase by $1.00 and you will be charged $20.00 plus GST for four weeks. After four weeks, your payment will increase to $24.00 plus GST every four weeks.
Read unlimited articles for free today:
or
Already have an account? Log in here »
Hey there, time traveller!
This article was published 20/01/2025 (291 days ago), so information in it may no longer be current.
Maple Leaf Foods remains confident in its plan to spin off its Brandon-based pork operations into a new public company, Canada Packers, despite the looming threat of U.S. tariffs on Canadian products.
Maple Leaf Foods is bracing for potential U.S. tariffs on Canadian products, the company’s government and industry relations vice-president Kathleen Sullivan said.
“A healthy trading relationship between Canada and the U.S. is in all our best interests,” Sullivan told the Sun. “If tariffs are levied by the U.S., it will be important for the Canadian government to respond decisively to protect the Canadian economy and Canadian jobs. We have a resilient business and have done extensive planning and scenario analysis to understand the implications of tariffs for our business.”
Maple Leaf Foods staff in the company’s pork plant in Brandon. (Submitted)
Based on this planning, she said, the company will lean on its resilience to navigate the shifting playing field through a combination of focusing on its Canadian customers and consumers.
“We will be leveraging our strengths in international markets and working closely with our U.S. customers to mitigate the impacts. We will continue to monitor the situation closely and adapt accordingly,” she said.
Maple Leaf Foods announced in July 2024 that it would spin off its Brandon pork operations into a standalone entity, aiming for completion in 2025. Sullivan confirmed the new company would be named Canada Packers but provided no further updates on the process, noting that details would be shared during the company’s next earnings call.
The new pork company’s CEO, Dennis Organ, has ambitious plans for the Brandon facility, which currently employs 2,200 people. He envisions increasing production capacity by 15 to 20 per cent through facility upgrades and the repatriation of outsourced processes.
“Our Brandon facility is capable of increasing production by 15 to 20 per cent,” Organ said. “We are actively working on this expansion and see numerous opportunities to enhance our capabilities further.”
The planned expansion is expected to create new job opportunities in Brandon, ranging from entry-level to skilled roles, bolstering the local economy. Organ emphasized that the Brandon facility would serve as the cornerstone of the new company’s operations.
“We will continue to invest in this facility, making it the company’s primary asset,” Organ said.
The spin-off will establish Canada Packers as a publicly traded company with an evergreen pork supply agreement with Maple Leaf Foods. This arrangement will ensure a steady supply of sustainable pork to support Maple Leaf Foods’ prepared foods business while allowing the new company to leverage Maple Leaf’s North American sales network.
» aodutola@brandonsun.com
» X: @AbiolaOdutola