Amendments to Regulation 440 (Vegetables for Processing - Marketing) to revise the negotiation dates for cucumbers.
Regulation 440 (Vegetables for Processing – Marketing)
Regulation - Other
Bill or Act:
Farm Products Marketing Act
Summary of Decision:
The Ontario Farm Products Marketing Commission approved the proposed amendments to R.R.O.1990 Regulation 440, (Vegetables for Processing - Marketing) concerning revised negotiation dates for cucumbers on January 17, 2013. The amendments were filed with the Registrar of Regulations on January 22, 2013.
November 1, 2012
Summary of Proposal:
The prices and term/conditions for the sale of the 13 vegetables included under the Vegetables for Processing Plan are determined through a negotiation/arbitration process between the Ontario Processing Vegetable Growers (OPVG) and buyers of the relevant vegetable. The process is established in Regulation 440 (Vegetables for Processing - Marketing).
For each vegetable, Regulation 440 establishes four specific dates with respect to the negotiation and arbitration process: (1) initial round deadline; (2) local board offer deadline; (3) processor or greenshipper determination deadline; and, (4) second round deadline.
Industry has asked for the initial round deadline for cucumbers to be moved from December 5 each year to December 15, and for the local board offer deadline to be changed from December 15 each year to December 20. No other changes to the regulation are proposed.
For cucumbers, the buyers that are subject to this process are processors and green shippers. Green shippers buy cucumbers to resell them to processors and may, before selling the cucumbers, clean and separate them, brine them to extend their storage life, inspect them, and/or sort them.
The "first round deadline" is the date by which a negotiating agency in Round One must reach an agreement; if an agreement is not achieved, the matter is referred to final offer arbitration. The "local board offer deadline" is related to the second round of negotiations. For cucumbers, any processor or green shipper who hasn't been involved in Round One is automatically in Round Two. By the "local board offer deadline", OPVG must send each Round Two processor and greenshipper either (a) a proposed agreement or (b) a notice of intent to negotiate. Each processor or greenshipper must respond to OPVG by the "processor or greenshipper determination deadline". If Round 2 agreements are not reached by the "second round deadline", the matter is referred to final offer arbitration.
Both OPVG and the Ontario Fruit and Vegetable Processors Association support the amendments.
Ontario Farm Product Marketing Commission
1 Stone Rd. W., Guelph, ON, N1G 4Y2
Phone: 519 826-3242
Fax: 519 826-3400
January 22, 2013