PRESENTATI ON TO THE ABBOTSFORD COUNCI L 7 MARCH 2005 SPEAKER: ARMAND VANDER MEULEN DELEGATI ON: MARCUS JANZEN ( President) , ARMAND VANDER MEULEN, BRAM MOERMAN, MARY-MARGARET GAYE ( Executive Director) Your Worship. Thank you for the opportunity to speak to you today. We are here to provide some information on the greenhouse vegetable sector in Abbotsford, and answer any questions you may have. W ho w e are • The BC Greenhouse Growers’ Association has 42 members throughout the Lower Mainland and on Vancouver Island. • We grow only greenhouse vegetables – tomatoes, peppers, cucumbers and lettuce. • Our members account for 96% of BC’s total greenhouse production of these crops. • Most of our greenhouses are family farms. We live and farm in the community where our greenhouses are located. W hy greenhouses? • Greenhouses are an environmentally sustainable way to grow food. They allow the farmer to grow in the soil or in soilless media. • Our greenhouses are recyclable – they can be moved and used in other locations. • They create optimal growing conditions to produce perfect vegetables. • The protected environment also allows us to grow vegetables under strict food safety procedures and to use Integrated Pest Management strategies. This means virtually no pesticides are used. This is what customers want today. • Greenhouses produce 10-20 times the food that would be produced in the same area of unprotected land.
• Abbotsford has a very limited base of non-farmed ALR land to accommodate growth. This means the farmland must be used as efficiently as possible. Econom ic value • Greenhouse vegetable production is one of the top agriculture success stories for BC — and for Abbotsford. • The total production value for BC last year was $220 million. It ranks near the top of all BC horticulture sectors. • The production value for each hectare of glass is about $1 million. This is well above the BCMAFF estimate of about $19,000/ ha for Abbotsford’s average farm- gate output. • Greenhouse vegetable production in Abbotsford alone was worth $59 million last year. This is a value of over $175 million if we consider the spin-off to other sectors. And a lot of this money stays right at home in Abbotsford as this is where a lot of the suppliers are located. • 20% of our gross sales go to employ the people that work in our greenhouses— 2600 throughout the province. Dem ographics Distribution • GRAPH 1. These are the latest figures we have. This year, there are 262 ha of greenhouse vegetable production in the province. Most of the production is in the Lower Mainland. 23% - or 59 ha - is in Abbotsford. • GRAPH 2. You can see from this slide that Abbotsford has 16 of the province’s 84 vegetable greenhouses. A mature sector • GRAPH 3. This graph shows the increase in production from 2000 to 2005. Most growth occurred in Delta, followed by Abbotsford. The growth was primarily in the expansion of existing greenhouses, not in an increase in the number of greenhouses. The increase in number occurred mainly in the Interior. • The greenhouse vegetable sector in BC has gone through a period of relatively rapid expansion over the last decade. We have now moved from being an “emerging” sector to one that has “matured”. • Over the next few years, we should see the area of land used for greenhouse production - as well as crop prices - leveling out. � Page 2
• The sector will concentrate on finding new markets and diversifying into niche crops such as mini- or hot peppers. • Rising productions costs – such as the price of natural gas – mean that greenhouse farms may have to consolidate to capture economies of scale. Already a larger greenhouse is necessary to support a family than was needed 10 years ago. Farmers will have to find ways to lower costs to remain competitive. • Greenhouse vegetable crops are all regulated and require quota. This is done through the BC Vegetable Marketing Commission. The Commission ruled last year that there would not be any quota given out for 2006—that means production area will not be expanded for 2006. Location • Vegetable greenhouses cover only 0.01% of farmland in the Agriculture Land Reserve in BC. On this land, we produce 11% of the total agriculture production value. • In Abbotsford, vegetable greenhouses take up one-quarter of 1% (0.26% ) of the ALR farmland—and we produce 14% of the total agriculture value. • Some people suggest that greenhouses should not be located in the ALR. The ALR was put in place in 1973 to secure land for the production of food. It is essentially a zone within which the government of the time said: “ This is where food will be produced--forever”. Greenhouses are all about producing food. To produce food on non-agriculture land would be prohibitively expensive and farmers would not have the flexibility they need to farm. We need to keep the costs down for consumers who want healthy, local and inexpensive fresh food. That means greenhouses should be located in the ALR, which was created for this very purpose. Production: Lighting • We face increasing global competition. We need to secure markets year round and increase efficiencies. • Some of our greenhouses are looking at artificial lighting to enable year round production. One of these greenhouses is here in Abbotsford. • Screens are available that keep the light inside the greenhouse. But these must be used cautiously and the right screens chosen for the top of the greenhouse, or the crops will die. � Page 3
• Lighting and screening technology is rapidly evolving and improving. It is in the interest of the greenhouse operator to not waste energy as escaped light. Production: Fuel • Natural gas is the fuel of choice for raising greenhouse vegetables. We recycle the CO2 to our plants to improve production. However the cost of natural gas has been steadily increasing, and will continue to do so over the next decade. We need to reduce our reliance on natural gas. • A few of our greenhouses in the FVRD are using wood as a fuel source. Wood is also called “biomass” or “green energy” because it is renewable, unlike fossil fuels such as natural gas. The federal government is promoting wood biomass as a fuel source as it helps Canada meet its Kyoto Accord commitments. • There are provincial standards for agricultural operations using wood for fuel. The manufacturers of the wood boilers test their units to make sure they are within these regulations. In fact, emissions from the new units are well within the provincial standards. • Just as screening for lighting, the technology for burning fuels other than natural gas is continually improving. Technology advances quickly today. • Some municipal leaders and local citizens have identified air emissions from greenhouses as a threat to public health. In an absolute sense, our industry is simply not large enough to contribute more than a tiny share of the air emissions of the Fraser Valley. Just about every economic activity we undertake in our economy involves the utilization of energy. If one were to oppose greenhouses on these grounds, one would have to oppose commuting, the shipping of goods, and manufacturing of all sorts. A small percentage of greenhouses are currently using wood-fired boilers. All of these are technically advanced and actually earn credits for contributing to Canada’s Kyoto commitments, as I mentioned earlier. As 21 st century farmers working to feed ever increasing local and world populations, we need to be able to innovate, experiment and adapt. We ask that municipal leaders work with us in a positive way towards that end. Closing statem ent • Our greenhouses are farms that provide safe and wholesome food. • Our farms make efficient use of the land base and are sustainable. They are competitive and keep farmers farming. • This is the best way to secure our agricultural land and our food supply for future generations. Thank you. We will be pleased to answer any questions. � Page 4
Region (M 2 ) 2005 BC Greenhouse Area by BC Interior Fraser Valley Other 48,016 M 2 Vancouver Island 243,917 M 2 59,210 M 2 2% 9% 2% Langley 313,550 M 2 12% Abbotsford 590,334 M 2 Delta 23% 1,367,648 M 2 52%
2005 BC Greenhouse Farms by Region Fraser Valley Other 18 Greenhouses Langley BC Interior 7 Greenhouses 19 Greenhouses Abbotsford 16 Greenhouses Vancouver Island Delta 12 Greenhouses 12 Greenhouses
Increase in BC Greenhouse Area Over Last 5 Years (2000 to 2005) 3,993 M 2 Fraser Valley - Other 6,756 M 2 Vancouver Island 27,959 M 2 Langley 43,984 M 2 BC Interior 245,090 M 2 Abbotsford 363,199 M 2 Delta - 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 Area (M 2 )
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