ontario regulation 51/21

made under the

Farm Products Marketing Act

Made: January 21, 2021
Filed: February 5, 2021
Published on e-Laws: February 5, 2021
Printed in The Ontario Gazette: February 20, 2021

Amending Reg. 402 of R.R.O. 1990

(CHICKENS - MARKETING)

1. (1) Subsection 18 (2) of Regulation 402 of the Revised Regulations of Ontario, 1990 is revoked and the following substituted:

(2) Beginning with quota period A169, the negotiating agency shall negotiate the minimum live prices for chickens by applying the following formula and negotiating adjustments to the various components of the formula in accordance with subsections (3), (4), (5) and (5.3):

MLP = CP + FP + PM

where,

“MLP” means the minimum live price for chickens,

“CP”  means the weighted average live chick price established by the Ontario Broiler Hatching Egg and Chick Commission for each quota period, expressed in dollars per kilogram of live chicken, and adjusted as necessary by the negotiating agency each quota period,

“FP”  means the weighted average feed price derived from at least three independent Ontario feed mills with the largest volume of sales of chicken broiler feed that is reported by the Ontario Agri Business Association for each quota period, expressed in dollars per kilogram of live chicken, and adjusted as necessary by the negotiating agency each quota period, and

“PM” means the producer margin, being the sum of the costs and expenses described in Column 2 of Table 1 of this section, as those costs and expenses are valued by the negotiating agency annually under subsection (4).

(2) Subsection 18 (4) of the Regulation is amended by striking out “other than the costs and expenses referred to in items 9, 10 and 11 of the Table that have a fixed value set out in Column 3 of the Table”.

(3) Subsection 18 (5.2) of the Regulation is revoked.

(4) Subsection 18 (5.3) of the Regulation is revoked and the following substituted:

(5.3) Despite subsections (2) to (5.1), the negotiating agency shall negotiate the minimum live prices for chickens for quota period A169 by applying the formula set out in subsection (2), subject to the following rules:

1.  The chick price shall be determined by using the amount of $0.3422 as the chick price for quota period A148 and negotiating adjustments to that amount to reflect the changes from quota period A148 to quota period A169.

2.  The feed price shall be determined by using the amount of $0.6301 as the feed price for quota period A148 and negotiating adjustments to that amount to reflect the changes from quota period A148 to quota period A169.

3.  The producer margin shall be determined by using the sum of the values set out in Column 3 of Table 1 of this section as the producer margin for quota period A148 and negotiating adjustments to those values to reflect the changes from quota period A148 to quota period A169.

(5) Table 1 of section 18 of the Regulation is revoked and the following substituted:

Table 1
Costs and expenses included in Producer Margin

Column 1 Item	Column 2 Costs and Expenses	Column 3 Value of Costs and Expenses as of Quota Period A148 (expressed in dollars per kilogram of live chicken)
1.	Energy	0.0541
2.	Repairs and Maintenance	0.0134
3.	Property Taxes and Insurance	0.0132
4.	Office and Overhead	0.0230
5.	Contract Services	0.0932
6.	Labour — General Management	0.1220
7.	Return on Capital	0.0886
8.	Working Capital Interest	0.0009
9.	Farm Vehicle	0.0085
10.	Levies and licence fees	0.0215
11.	Depreciation of assets	0.0726
12.	Non-Feed Additives	0.0022
13.	Avian Influenza Disease Insurance	0.0015
14.	Modular Loading	0.0120

2. (1) Subsection 19 (1) of the Regulation is amended by striking out “(5), (5.2) or (5.3)” in the portion before clause (a) and substituting “(5) or (5.3)”.

(2) Clause 19 (2) (b) of the Regulation is amended by striking out “or (5.2)”.

(3) Subsection 19 (3) of the Regulation is amended by striking out “(5), (5.2) or (5.3)” and substituting “(5) or (5.3)”.

(4) Clause 19 (5) (b) of the Regulation is amended by striking out “or (5.2)”.

(5) Clause 19 (8) (b) of the Regulation is amended by striking out “or (5.2)”.

3. Schedule 1 to the Regulation is revoked.

Commencement

4. This Regulation comes into force on the day it is filed.

Made by:
Pris par :

Ontario Farm Products Marketing Commission:
La Commission de commercialisation des produits agricoles de l’Ontario :

Valerie Gilvesy

Vice Chair

Brendan McKay

Secretary

Date made: January 21, 2021
Pris le : 21 janvier 2021