moving up the beef value chain...moving up the beef value chain organic connection saskatoon,...

Clear Creek Organics Ltd.

Moving Up the Beef Value

Chain

Organic Connection

Saskatoon, Saskatchewan

Nov 22/23, 2010

Gene and Pat Kessler

Certified Organic Mixed Farm

Since 1997

Pangman, Saskatchewan

Saskatchewan Organic Livestock

• Formed 2005

• Formed as a COOP

• Develop an Inventory

• Approx. 60 members

• Emphasis on Live

Sales

MOMA Trade

• Formed in 2005

• Not for profit COOP

• Similar Programs to SOL

• Approx. 35 members

• MOMA Trade:

February 2008

• Formal Discussions/Regina

• Marketing Arm

• Sask.. Value Added and retail

• Man…. Live Sales

Formation of CCO June 2008

• Established a formal

structure Ltd Co..

• Producer owner through

“A” Share

• Must be certified organic

• One Share per operation

• “B” Share open to anyone

with a common vision

The Vision

• Number One

Supplier of

Organic Fresh

and Processed

Meat in Canada

How to Accomplish This Vision?

• Value from the whole

carcass

• Keep all players in the

value chain profitable

and sustainable

• Meet consumer

demand.

What is Organic Meat?

• Fed certified organic food from last 1/3 trimester to slaughter.

• No implants, no antibiotics, no pesticides to be applied.

• Humane Treatment. (Must be treated if a need arises).

• Comply to annual inspection by a third party.

The Producer

• Ensure a consistent supply with consistent types.

• Grain Fed, Grade A or better

• Some Niche for Grass Fed.

• Protocols to meet consumer demand

• Some room for cull animals and OTM animals

Standards

• CCO has very high standards to meet market demand

• No Ivomec or other pesticides

• Encouraged to have an environmental farm plan

• Up to date organic certificate

• Tagged when shipped if 100% organic.

Feeding Stations

• Consistent Feeding

Protocols

• Aim for 1200-1350

Live Animal

• Meet Organic

Standards with access

to open exercise areas

Abattoir

• Federal Facility to meet Canadian Market.

• Flexibility and ability to handle OTM animals

• Food Safety prime concern.

• Ability to expand into International Markets

Processor

• Federal Facility

• Flexibility

• Research Capabilities

• Safety of Food Prime

Concern.

Distribution

• Federal Warehouse

• Federal Transportation

• Reliable Sales Staff

• Access to Target

Market

Retail

• Closest to our Customers

• Face of the Company

• Branded Product

• Flexible to react to local demand

Clear Creek Organics Program

• Name

• Brand

• Vision for the Market

Place

• Partnerships

Value Added Products

• Organic Beef Jerky

• Organic Beef Sticks

• Organic 3 Pepper Smokies

• Organic Cheddar Cheese Smokies

• Organic Farmers Sausage

• Organic Breakfast Sausage

• Organic Dinner Sausage

• Organic Adult Franks

New to Canada

• CCO was the first to receive approval for the process that does not use nitrites in their processing.

• No MSG, Gluten, Sulfides added as well.

• Researched through the Food Development Centre.

Label Design

• Nutritional Labeling

• Bilingual

• Organic Status

• Bar Codes

Canadian Organic Regime

Fresh Meat Retail Cuts

• Presently partnering with

retail outlets.

• Fill the void in many

specialty stores of no

fresh meat

• Competition in this area so

moving towards a

fresh/frozen program.

In Store Promotions

• Promote Organic Meat

• Alternative to

Natural/conventional

• First Class

• Flexible and Reliable

Market Trends

• Meat, fish & poultry is 21% of the total food market but in the organic market it is only 1%

• Hasn’t been available.

• $1.4 billion for organic and natural sales in Canada but represents only 1% of total.

• An increase of 1% = 1.4 Billion additional $14,000,000.00

Other Markets

• Western Canada Main Stream Stores

• Eastern Canada

• USA

• Mexico

• Hong Kong/China

Optimism

• Two things people consider priorities.!

• Food and their

• Health

• So room for growth and diversification.

Good News/Bad News

Rejection of Conventional Meats

• Recent books and media reports have put

consumer pressure on conventionally raised

meats.

• Although this spells some concern for meat

in general, it does provide a positive

opportunity for organically raised meats.

Barriers to Expansion and

Development

• MONEY …………………………

• Regulations…regulations…regulations

• Time it takes to work through the system

• Capacity within the system

• No Federal abattoir in Sask.

• Provincial borders

Recent Developments

• Moving Production to

TML Melfort.

• Acceptance through

CFIA and the organic

certifier, EcoCert for

an additional 9 SCUs.

Organic Deli Meats

New

Retail Store in Conjunction with

Dad’s Organic Market

425 Victoria Ave E.

Regina

In Store Products

Frozen Fresh Program

Future Retail Expansion

• Look for our

fresh meat and

deli early 2011 as

part of Saskatoon

Dad’s Nutrition

Centre, 8th St.

East

As We Move Ahead

CCO is a small producer driven company with

limited resources.

Future partnerships must

be based on this fact.

What Are CCO Meat Needs?

Organic Pork

Organic Chickens

Organic Turkeys

Organic Bison Etc.

Require consistent and year

round supply

Other Possibilities

Organic Cheeses

Organic Salads

Organic Spices

Organic cold pressed garlic oil

Let’s Support Organic!

If we grow or

Raise organic

Produce are

We not obliged

To eat it as well?

“Organic”

Just because it is organic

does not make it a

quality product. We as

producers must ensure

that we provide the best

goods possible.

Everyone is now watching!

Support for Market Research

Clear Creek Organics

Thank you for the Opportunity to Give you an Opportunity!