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Big Sky Farms and Olymel Pull Out of Planned Winnipeg Processing Plant Project

by 5m Editor
6 December 2006, at 10:22am

CANADA - Farm-Scape: Episode 2257. Farm-Scape is a Wonderworks Canada production and is distributed courtesy of Manitoba Pork Council and Sask Pork.

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Farm-Scape, Episode 2257

Humboldt based Big Sky Farms has pulled out of a project to build a pork processing plant in Winnipeg and has decided to refocus its efforts on marketing opportunities within its home province.

Yesterday, citing uncertainty created by the Manitoba government's moratorium on new or expanded swine barn construction, Humboldt based Big Sky Farms and Saint-Hyacinthe, Quebec based Olymel announced they have withdrawn from the OlyWest consortium.

The decision leaves LaBroquerie, Manitoba based Hytek Limited to continue with plans to build a 200 million dollar processing plant in Winnipeg on its own.

Big Sky vice president corporate development Phil Dykstra says, in light of decisions by the Manitoba government, Big Sky has decided to seek marketing opportunities in its home province.

" At Big Sky we are disappointed with the recent actions of the Manitoba Government and have decided to re-focus our priorities in Saskatchewan.

Regrettably we have lost confidence in the Manitoba government's commitment to this project and therefor have withdrawn from further participation in this project. With the moratorium our concern is around the timing.

We don't doubt that the plan can happen but it's more of a timing issue than anything else and we need to look for marketing opportunities for our company in Saskatchewan. From the beginning of this project Hytek has been the majority stakeholder and provided the vision, the drive and the leadership.

The strength of this initiative has been and will remain Hytek's vertically integrated business model and there is no doubt that Hytek will take this business to fruition. Big Sky Farms fully supports Hytek in their continued leadership in this initiative."

Cullen fears, with the moratorium in place, investment that was going to Manitoba may go to other provinces which could hamper the long term sustainability of the industry in Manitoba.

Dykstra says, while Big Sky will be focusing its attention on Saskatchewan, the company remains confident in the ability of Hytek to proceed with the Winnipeg project,

Staff Farmscape.Ca

5m Editor