Industry watching impact of Lakeside strike
Last Updated: Monday, October 17, 2005 | 11:14 AM MT
CBC News
Meat-packing plants in the province say they are already operating at capacity and can't accommodate animals that can't be processed at Lakeside Packers because of a six-day-old strike.
That could mean more cattle being sent to the U.S., industry watchers say.
The United Food and Commercial Workers local 401 is trying to get a first contract with Lakeside, and walked off the job Wednesday. However, hundreds are willing to continue working, and the company is ferrying them into the plant, across the picket line, in buses.
- RELATED STORY: Workers file into Lakeside plant, police keep watchful eye
But the plant the largest in Canada isn't operating at full capacity, and is asking competitors to slaughter some of its animals.
Rob Meijer, with Cargill Foods, which has a plant in High River, says they don't have any room.
"It's difficult because, again, we're sort of at the ceiling, so to speak," Meijer said. "What's more, you obviously have to balance out the fact that even though we have regained some access in some markets, that is, the United States and Mexico, there are a vast number of markets that we have yet to gain a proper foothold in."
Canada is still rebounding from three cases of mad cow in Canadian-born animals, which saw the United States and more than 30 other countries shut their borders to cattle and beef in May 2003. While the U.S. resumed some beef shipments that August, it didn't allow live cattle in until July 2005, and that is restricted to animals younger than 30 months.
Erik Butters, with the Alberta Beef Producers, says the ongoing dispute at Lakeside shouldn't affect the price consumers pay for beef at the grocery store.
"That's highly unlikely," Butter said. "We export beef into the American market place, we might export a bit less. But it's highly unlikely that we would see any impact on consumer prices."
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