Building a brand

One of Canada’s top businessmen pitches organic beef operation to advisory committee

Frank Stronach, the founder of Magna International—a leading global automotive supplier—made a presentation to the County’s Agricultural Advisory Committee Wednesday night. The presentation outlined a proposal to build a 10,000 square foot abattoir on the south shore of the County.

Stronach told the committee he and his son Andrew want to build a beef brand, catering to the organic markets in Toronto, Ottawa and Montreal. “I would love to work with the farmers and create a brand name. Prince Edward County should be known as the place with the healthiest food,” said Stronach.

The processing facility would be built at 191 Hilltop Road. Stronach told the committee it would start small and possibly expand in the future. He envisions processing 10 cattle per week, and maybe building to as many as 100 a week. He explained he would likely have 20 employees, and would like to be up and running in a year. Stronach was also clear that he would not use all the properties for cattle as he might also grow corn and hay. “I don’t want to have a feed lot where cattle can’t move. We have to see if it is overgrazed,” said Stronach.

Stronach explained that he currently owns and operates a 100,000-acre beef operation in Ocala, Florida. There, he raises animals under what he calls a no pain, no stress, no hormones, no antibiotics, Non GMO and healthy organic lifestyle. “Our cattle live good lives, with just one bad day,” said Stronach. He hopes to offer the same type of mandate with his County farm. “Basically I think I have always been a farmer,” said Stronach. “ I think I can use my mind, knowledge and experience to do something. I propose working together with local farmers in a mutually beneficial arrangement where farmers would grow organic cattle for us,” he said.

Councillor Jamie Forrester asked what the purpose of the presentation was. “Why does he even need permission to do this? Why are we here?” asked Forrester. Manager of Planning Paul Walsh told the committee that Stronach wanted to ‘feel out’ the committee, and the County. “It depends on the scale and type of other associated accessory uses. There may be very little approvals involved. The abattoir might need a zoning amendment,” said Walsh. “But the interest of the Stronach team was to test the concept of something of a larger scale, and they wanted to liaison with the agriculture community to see what the reception might be.” Clerk Catalina Blumenberg added that this was a precursor to a more formal discussion. “Staff is trying to proactively gather public input. This is an effective way to address any potential concerns and to see what the appetite for this application is,” said Blumenberg.

John Thompson, a member of the agriculture advisory committee, wondered if an abattoir was permitted on the lands. Paul Walsh confirmed that the lands could house an abattoir. “In the official plan we have a rural designation and an agriculture designation. Both of those permit an abattoir. The lands that have been presented so far are located in both rural and agriculture designation.” Stronach acknowledged that rules regarding the lands may be in place. “Rules are made by people and changed by people. And if the rules don’t permit it, then we accept that. Today we are just seeing if this is something positive or negative.”

Many members asked Stronach about a business plan, to which he admitted he doesn’t have a formal business plan or marketing research to back up his proposal, but that he has a gut feeling that he’s acquired through talking to both farmers and consumers. “I am a farmer. I can talk farming. I touch the soil with my hands. I think I have a good feeling,” he said.

Forrester added that Stronach has a good track record in business. “I realize you are a smart man. I don’t think you’ve been lucky that many times in your life. You know exactly what you are doing,” said Forrester.

Councillor Brad Nieman asked what Stronach had planned to manage water and wastewater “You need a lot of water, and it is important you have a great filtration system,” said Stronach. “I’m talking to a few companies to have a settling pond and the waters monitored.”

Cheryl Anderson spoke on behalf of the South Shore Joint Initiative, saying this is not the place to house such an operation. “My concern is Mr. Stronach has described this endeavour as agriculture. In fact I believe it is an industry. Not only that it is an industry that brings with it heavy truck traffic, noxious smells, loud noises and massive amounts of biological waste.” Anderson explained that the proposed land sits on a provincially significant wetland and areas of hardwood forest. It also backs onto the northern boundary of the Prince Edward County South Shore Important Bird and Biodiversity area, home of 23 species at risk. “Not only will it cause destruction to natural habitat but any rural calmness that exists now will be extinguished,” said Anderson.

Former Stouffville Mayor, Justin Altmann, joined Stronach for the presentation. He has worked with Stronach, and told the committee he has its best interests in mind. He wants to make sure that the residents are okay with this and that people work together. He is a partner at your side,” said Altmann. Altmann explained that Stronach wants to keep the lands naturalized, which means not cutting or clearing trees. He explained that the characteristics of the lands on the south shore has meant scaling back the operation. Lack of water on site means that the facility has to be smaller to meet demands. Ultimately, they would like to see a water pipe run form Lake Ontario to the facility.

Altmann said that this could help fill a void in the County’s agriculture industry. “There are a lot of younger generations doing smaller plots of farming, but they can’t go all year. The demand for natural and organic meat has spiked.”

Stronach admitted there are other levels of government he has to get approvals from, but he believes the discussion starts in the County. “There are also provincial rules we know we have to meet. But we start here. Are we welcome? If we think it is a benefit to be here, then we will go to the province.” Stronach finished the presentation with a nod to the future of farming. “Sometimes when you get a little older you sit back and ask yourself what’s the purpose of life. I’d like to see young kids go back and want to be farmers. It is a noble thing to produce good food,” he said.

Stronach has yet to submit a formal application to the County.