Transcript Slide 1

Canadian Food Strategy:
Implications for Livestock and
Meat Sector
Dr. Michael Bloom
Vice-President, Industry and Business Strategy
The Conference Board of Canada
Canadian Meat Council
94th Annual Conference, May 9 2014
conferenceboard.ca
Centre for Food in Canada - Purpose
•To create a shared vision for the future of
food in Canada articulated in a Canadian
Food Strategy - to meet Canada’s need for
a coordinated action plan for change.
•To raise public awareness of the nature
and importance of the food sector to
Canada’s economy and society.
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Demand for Canadian Food Strategy (CFS).
• Desire for action driven by economic
opportunities and worries, safety
incidents, health pressures,
environmental concerns, and the
fundamental societal & psychological
significance of food.
• Rising expectations of people, firms,
public institutions, governments—that
Canada will be more proactive and
collaborative about food and food issues.
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Pressure for System Change.
• Pressure for system change building due to
macro-trends, including:
– Changing consumer expectations
– Safety concerns
– Diet and health issues – fueled by
demographics
– Rising global demand for food
– Technological and scientific advances
– Green house effects, water shortages and
other environmental impacts
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Four Year Process to Develop
Canadian Food Strategy (CFS).
•Research – major themes and issues
•Surveys – household and industry
•Dialogue
•Consultation
•International analysis - national strategies
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20 Research Reports
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20 Research Reports
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Consultation.
• 20 live consultations across Canada
involving hundreds of organizations and
large numbers of individuals.
• 1,000+ organizations and individuals
contributed comments on-line.
• More than 5,000 individuals involved in
CFS-related events and surveys.
• Vital in building a Canadian Food Strategy
with broad relevance and appeal.
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Canadian Food Strategy
Launched at 3rd National Food Summit
•March 18-19, 2014 in Toronto
•Released the Strategy
•Presented plans for promoting action on the
Strategy and tracking national performance
in the food sector.
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The Canadian Food Strategy.
• Comprehensive, action-oriented
framework to guide and stimulate
change in food and the food system.
• Driven by opportunity and imperative:
• Opportunity to achieve much – economic,
health, social, environmental.
• Imperative to address challenges and
concerns—regarding prosperity, health,
safety, security, environment.
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Content & Structure
• Emphasizes opportunities available to
food sector domestically, internationally.
• Balances three facets of economic
activity:
• global competitiveness.
• national capacity.
• local specialization.
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Net Food Exporting Countries
Source: Food and Agriculture Organization of the United Nations.
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Content & Structure
• Builds on Canada’s advantages – e.g.
emphasizes our Canada brand and
product brand potential—yielding
advantages in international food markets,
as well-known producers of safe and
healthy foods.
• Several national strategies around the
world take a similar approach: e.g.
Scotland, Australia, Sweden.
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Canadian Food Strategy
Pyramid.
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Five Elements.
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Industry Prosperity
Healthy Food
Food Safety
Household Food Security
Environmental
Sustainability
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Eight Goals.
• Goal 1: The food sector is viable and
prosperous.
• Goal 2: The food sector is innovative,
competitive and growing.
• Goal 3: Up-to-date policies, laws, and
regulations address food industry and
household interests.
• Goal 4: Canadians eat healthier and have
balanced diets.
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Eight Goals.
• Goal 5: Canadians have low rates of dietrelated chronic diseases.
• Goal 6: Canada is the world leader in food
safety.
• Goal 7: All Canadians have access to safe,
nutritious and affordable food.
• Goal 8: The food sector is an excellent
environmental performer that increases
food production sustainably.
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The Rest of the Pyramid
• 62 Desired Outcomes
• Outcomes that would contribute to success in
achieving the eight objectives.
• 110 Action Strategies
• Types of action (e.g. trade deals) that would
generate the desired outcomes.
• 400 + Specific Actions
• Policies, programs, investments, promotional
activities, collaborations and partnerships.
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1st Element: Industry Prosperity.
Strategic Challenge.
Canada must improve the
competitiveness of its food
industry in order to ensure that it
can feed all Canadians, contribute
to national economic growth,
sustain local specialization, and be
more competitive in global
markets.
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Goal 1:
The food sector is viable and prosperous.
Emphasizes that all three levels of economic
activity are complementary and increasingly
integrated (not trade-offs).
A strong national food economy
performance, profitable local production, and
greater competitiveness in global markets
stem from common factors (e.g. resources,
expertise, innovation, investment etc.)
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Sources of Potential Gain
• Increase capital investment in food
businesses, innovation and
commercialization of R&D into inputs,
products and processes.
• Enhance management skills.
• Strengthen value chains and supply chains,
and expand trade.
• Maximize production for domestic niche
markets and premium international brands.
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Desired Outcome and Action Strategy.
1.2 Desired Outcome
International Trade is Liberalized
1.2 Action Strategy
• Improve exporters’ access to international
markets through government-negotiated
multilateral and bilateral free trade
agreements.
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Specific Actions
1.2 Specific Actions
• Complete Canada-European Union
Comprehensive Economic and Trade
Agreement (CETA)
• Complete Trans-Pacific Partnership
(TPP) trade deal.
• Complete bilateral trade deals with 60
countries, now under negotiation.
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Implications for Meat Sector.
•Trade is essential for meat sector as it
produces more than can be sold domestically.
•Higher export sales = higher returns and
margins.
•Greater access to global markets (through
CETA, TPP, South Korea trade deals) is key.
•Greater harmonization and cooperation is
needed with EU and US – remove
unnecessary barriers.
•Need to adapt to export market requirements
and import rules, e.g. hormones free.
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Desired Outcome and Action Strategies
1.3 Desired Outcome
Canada’s Food Brands are Internationally
Renowned and Widely Sold
1.3 Action Strategies
• Develop high quality national, provincial and
regional food brands and product specializations
for wide sale in international markets.
• Build a Canada Brand to reinforce food brands
and products using positive images of Canada’s
natural environment and culture, and our
reputation for product quality and safety.
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Specific Actions.
1.3 Specific Actions
• Develop regional product specialization to
produce, for export, premium and
provenance products, such as Alberta Beef,
Bison, free-range chicken, Quebec
cheeses, for instance.
• Highlight geographical indications (e.g.
terroirs or appellation d’origine contrôlée)
and link to regional agro-tourism promotion.
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Implications for Meat Sector.
•Build on Canada’s strengths in:
–Grading.
–Cattle identification.
–Consistent quality.
–Food safety standards.
•Emphasize health benefits, taste;
•Promote desirable attributes and worldclass genetics;
•Showcase Canadian products in trade
missions, media etc.
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Goal 2: The Food Sector is Innovative,
Competitive and Growing.
2.6 Desired Outcome
Food Traceability Wins International
Customers for Canadian Products
2.6 Action Strategies
• Implement a universal “one-forward, oneback” food traceability system in Canada and
help firms build their traceability capacity so
they can participate.
• Promote more comprehensive food
traceability for food supply chains and value
chains.
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Sources of Potential Gain.
•Calls for better traceability systems and tools
grow louder.
•Traceability can improve a company’s supply
chain management that cut costs.
•Improves consumer trust and industry
efficiency.
•Challenges (complexity, globalization, poor
communication, limited participation) hamper
the efficiency and effectiveness of food
traceability initiatives.
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Specific Actions.
2.6 Specific Actions
• Implement a universal one-step forward,
one-step back traceability system in
Canada.
• Provide support and expertise for small
and medium-sized food enterprises to
build traceability capacity.
• Use food traceability advances to
demonstrate Canada’s advantage over
competitor countries.
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3rd Element: Food Safety.
Strategic Challenge.
Canada should strive to become
the top food safety performer in the
world, to safeguard the health of its
people and to strengthen its
competitiveness.
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Goal 6:
Canada is the world leader in food safety.
Highlights ways to enhance domestic
safety performance and build trust in our
food supply, and minimize firm-level
economic losses by solving safety
problems quickly and effectively.
This would enhance Canada’s already
strong international brand as a source of
safe and healthy food, boosting our
competitiveness in global markets.
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Desired Outcome and Action Strategies.
6.2 Desired Outcome
Food System Incidents and Breakdowns
are Resolved Quickly and Transparently
6.2 Action Strategies
• Implement a universal traceability system
to increase accuracy of diagnosis and
speed of response to incidents.
• Improve multi-jurisdictional collaboration,
surveillance activities, outbreak
responses, and food safety investigations.
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Specific Actions.
6.2 Specific Actions
• Increase frequency of food inspections
of imported foods and food ingredients.
• Augment and harmonize systems of
private food safety standards.
• Benchmark safety practices in all parts
of the food system.
• Make premises identification mandatory.
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Issues and Opportunities for Meat Sector.
• Food safety is critically important for the meat
industry – must maintain focus.
• Use leadership in food safety and animal health
to market animals and products.
• Build on Canada’s reputation (disease-free etc).
• SMEs face unique challenges to improving food
safety, e.g. costs, lack of expertise, time, low
awareness, and workplace culture.
• Harmonization and cooperation with US
regulatory system opens US market further –
but scale, inspection challenges.
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5th Element: Environmental Sustainability.
Strategic Challenge.
Canada’s production of food and export
levels need to be increased sustainably,
while minimizing environmental impacts,
and improving performance compared
with competitor countries.
Areas for action include: the sustainable
use and management of water, air, land,
biodiversity, aquaculture and fisheries;
reducing waste relating to all these; and
adaptation to climate change.
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Goal 8: The food sector is an excellent
environmental performer that increases
food production sustainably.
Areas for action include:
• packing and processing efficiencies to
reduce waste, carbon, water use;
• improving sustainable sourcing;
• producing biofuels;
• strengthening labour skills and resource
management for enhanced sustainability.
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Desired Outcome and Action Strategies
8.3 Desired Outcome
Water Supply, Soil, and Arable Land Are
Sustainable
8.1 Action Strategies
• Improve water quality, resource management
practices, consumption, and contamination in
agricultural production, food processing and
manufacturing.
• Reward producers and processors for improved
environmental results and include environmental
footprint in criteria for income support programs.
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Specific Actions.
Specific Actions
• Design food packaging to minimize its
environmental impact while retaining its
ability to protect and prolong product life.
• Improve nutrient, input and water use
efficiency.
• Reduce air pollution including GHGs,
particulate matter and ammonia.
• Measure carbon footprint using life-cycle
analysis.
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Implications for Meat Sector.
•Increasing production to meet
international market demand will put
stress on water, soli and air.
•Strong efforts to improve efficiency and
minimize intensity of impact in urban
regions and areas of high production are
required to enable economic growth
without heightening negative
environmental impacts.
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From Strategy to Action—Next Steps.
•Success in achieving the CFS’s goals
depends on the actions of key food sectors
including meat sector, individual companies,
governments, communities, households and
individuals.
•3rd Food Summit announced the Strategy—
now we are communicating and encouraging
action.
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Next Steps:
Encouraging CFS Implementation.
Tracking Progress and National Performance.
• The Canadian Food Observatory.
• Annual Report Card: Food in CanadaPerformance and Potential.
• Research on Emerging Issues.
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New CFIC Initiatives.
•Canadian Food Observatory:
– Food sector/system monitoring.
– Track progress on CFS implementation.
– Promote strategic action, raise
awareness, communicate with media and
stakeholders.
– Hold future conferences and convene
stakeholder networks.
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New CFIC Initiatives.
• On-line metrics, tracking and tools create and maintain, updates.
• Annual Report Card
• Track and report on food performance in
Canada; highlight emerging challenges
• Report on progress on the Strategy
• Future research on emerging and evolving
issues and strategies.
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Lead and Adapt to Change.
• Global demand is creating unprecedented
opportunity for your sector.
• CFS highlights ways for the food sector to act
collaboratively to solve safety perception issues,
and access growing markets.
• Canadian branding, with help from government
as well as industry wide efforts, will strengthen
competitiveness—the world likes Canada!
• We will be monitoring food sector as it surmounts
challenges and achieves goals for growth and
prosperity.
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