By Justin Seward
The Alberta Sugar Beet Growers along with Lantic Inc., has provided stability for the industry through the signing of a two-year contract extension on April 16. The new agreement will allow for farmers to grow 28,000 acres of Sugar beets for 2018 and into the 2019 and 2020 crop season.
This will provide the Taber’s Roger’s Sugar plant with the high quality raw product it requires to produce Canadian sugar. In addition, the contract spells out a firm commitment to the two sides developing a long-standing rolling contract by Dec. 31, 2020 to ensure continued stability and sustainability for the industry.
Bow Island beat growers president Bernie Lyczewski said the contract will allow beet farmers to have the opportunity to set out a plan and purchase their fertilizers.
“All of our prices have been going up but also packing has too,” he said.
“They’re trying to bring new life to this plant in the event we’ll take a little less right now but watch them do improvements to the plant, which means longer term stability. It gives everybody an idea what direction we’re heading.”
“We are pleased to be able to offer our growers, processor, and all the stakeholders impacted by the sugar beet industry the stability and sustainability that they have been asking for with the completion of this contract extension,” said Arnie Bergen-Henengouwen, president of ASBG. We wanted to have an extension in place so that investment in the industry can occur from both our processor and our growers.”
“Lantic Inc is pleased to have reached an agreement with our partner,ASBG, in these contract negotiations,” said Andrews Llewelyn-Jones,Taber operations manager for Lantic Inc.
In this current business climate, it is imperative that we have the ability to sell our product in advance so that we can strategically plan for investment into the plant. This contract extension provides us with the certainty we need moving forward.”
This has been the earliest closure the two sides have had over a contract.