History of Our Co-op
The first idea of building a slaughterhouse in the Northwest was vetted in 2003 in Burns Lake. At this time the US border was closed to Canadian meat due to BSE. An initial meeting, including representation from a cross section of the cattle and meat processing industries in the northwest, and the Ministry of Agriculture staff was held. A committee was struck, but no follow-up was done.
The following year – 2004 in Vanderhoof, a second meeting was held to garner interest and consider marketing alternatives. It was concluded that there was more enthusiasm and a greater potential workforce in the Smithers area. The initial feasibility study was researched, objectives were set and the group went about establishing the network of contacts that they would need to move forward with their project.
The group incorporated within the BC Co-op Association under the name of the Northwest Premium Meat Co-op in December 2004. Seed monies from the Beef Cattle Industry Development Fund (BCID), Western Economic Diversification, and Agri-food Canada Planning and Assessment for Value-Added Enterprises (PAVE) Program helped develop the business plan, incorporate the Co-op, promote investment shares, develop building plans, the marketing plan and investigate a land purchase.
In 2004, the provincial standards In BC were undergoing revisions, with the Food Safety Act gearing up for a completely regulated industry by September 2006. These changing provincial guidelines were now approaching the level of Federal regulations, this made planning difficult In light of this situation, a decision was made to adopt federal standards of inspection for the project. This would enable the Co-op to reach the broadest market, with the option of exporting, either within Canada (to Yukon) or overseas. This decision could also make the project eligible for federal support under the Loan Loss reserve program and the Ruminant Slaughter Equity Program; part of the national strategy to reposition Canada’s livestock industry. At this time, the border (closed to the US in May 2003 due to BSE) was expected to re-open soon
The first plan was for an 8,000 sq ft building to house the slaughter on one side and the processing on the other. Floor plans were drawn up by a local firm based on a tour of Kawano facility in Prince George. The capacity was to enable the dispatch of 100 head per week or about 5,000 annually.
The plan envisioned a construction start in the spring of 2006. An engineering firm in Ontario was engaged to provide the detailed design of the plant and infrastructure, and the estimated start-up costs climbed to $4.5 Million, up from the original estimate of $3 Million.
Meanwhile, the membership drive was gaining a few new investors, but there was also a lot of resistance to the new regulations, and the feeling abounded that the regulations would not, in fact, be enacted. By June 2006, there were 81 members.
Around this time, the province reassessed their construction guidelines for inspected slaughterhouses; and rolled out the new requirements. This time, lowered expectations made provincial regulations most achievable. The Meat Transition Assistance Program was put in place in April 2006, and the pending date for new regulations was extended by a year – to September 2007.
Under these new conditions, the Board of Directors adjusted their vision. Another facility, the old milk plant in Telkwa was considered, and adopted to be used for the meat-processing end of the venture. Inspection by the CFIA was very positive; the existing plant had many of the food safe features required, and would be relatively easy to transform for meat processing. The Telkwa location would create a physical separation from the slaughter facility. Another key advantage is that it would provide a visible storefront that could be used for local sales; test marketing, and direct connection with customers. The offer to purchase was accepted, at a fraction of the cost of new construction.
The new abattoir plans were downsized, by adhering now to the new provincial standards, a building one-third the original size could be considered. This new plan brought total start-up costs down to $1,500,000.