Hog Board Offer Quashed
PRINCE EDWARD ISLAND - A proposal by Prince Edward Island's Hog Marketing Board to take control of the struggling NOFG processing plant, has been quashed by Premier Robert Ghiz. The plant will now close unless another buyer comes forward.
13 March 2008
2 minute read
The Government said it could not justify its support of a business that was clearly not working. The plant is currently losing up to $30,000 a week with few hopes of increasing profitability.
PEI's hog board said the decision was regretful, but it was in no position to increase offer. It said that further options are under review, but a package to save the factory is unlikely. It felt the proposal was considerable in light of the current economic and market conditions. Most pig production businesses are losing in excess of $60 per head.
We informed the hog board that we’re looking for the private sector to step in here,” Ghiz told The Guardian newspaper.
The plant is likely to close with the loss of 100 jobs. It's closure also means that PEI producers and those in neighbouring provinces will have to ship slaughter pigs further afield for processing - adding to costs in an already desperate market.
To view the full story click here.
PEI's hog board said the decision was regretful, but it was in no position to increase offer. It said that further options are under review, but a package to save the factory is unlikely. It felt the proposal was considerable in light of the current economic and market conditions. Most pig production businesses are losing in excess of $60 per head.
We informed the hog board that we’re looking for the private sector to step in here,” Ghiz told The Guardian newspaper.
The plant is likely to close with the loss of 100 jobs. It's closure also means that PEI producers and those in neighbouring provinces will have to ship slaughter pigs further afield for processing - adding to costs in an already desperate market.
To view the full story click here.
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