A new program to strengthen the production and marketing of Prince Edward Island beef was announced in the Legislature today by Agriculture and Forestry Minister Mitch Murphy. Under the new Beef Development Program, a financial incentive of three cents a pound on a carcass weight basis will be paid to producers who are enrolled in the "Atlantic Tender Beef Classic" program and who meet the program's criteria. Start up grants of $10,000 will be available for the establishment of feeder cattle cooperatives. Another component of the new program will also offer financial incentives of $350 to $450 to encourage the purchase of premium sires to improve the quality of feeder cattle.
"Taken together, these new initiatives will result in an increase in the production, quality and marketing of beef cattle in Prince Edward Island and higher returns to producers," said Mr. Murphy. "The branded beef program developed by regional cattle producers, packers and Co-op Atlantic represents an exciting new opportunity for our producers, and the beef development program will assist in the expansion of the beef industry in this province."
Mr. Murphy said that Prince Edward Island is expected to produce about 80 percent of Co-op Atlantic's requirements for the "Atlantic Tender Beef Classic," or about 400 head of cattle per week. That would result in sales of more than $25 million annually for the Island's beef industry. About 18,000 head of the province's total annual production of 22,000 head are now enrolled in the program.
The "Atlantic Tender Beef Classic" was launched by Co-op Atlantic in late March of this year. It is based on locally-produced beef which meets strict criteria to ensure a consistent, high quality product. The Maritime beef marketing initiative was undertaken by regional beef producers, packers and Co-op Atlantic.
"This program which I am announcing today reaffirms the commitment of the provincial government to our Food Strategy objectives which are based on the production and marketing of Prince Edward Island agriculture and food products to high quality standards," said Mr. Murphy.