Business Planning

One major business development activity completed by the GEC in 2010 was the carrying out of an oilseed industry consultation. GEC took the lead in executing this industry consultation to help encourage innovation within the sector. With a decline in livestock production occurring locally, and available market opportunities emerging for newer crops and products, new business structures have emerged in the province, regionally and internationally to capture added value through the production of Soy oil, Identity preserved soybeans and soy meal as discrete products.

As well, a commercial non GMO canola market is being successfully developed overseas.

As far as GEC is concerned; in conjunction with the P.E.I. Island Grain & Protein Council on behalf of growers, and with financial support from the ADAPT program was pleased to participate in an investigative travel and training initiative to South Carolina, visiting a crushing operation and soy oil refinery, to investigate the establishment of a provincial food grade oilseed refinery. Real potential does exist for the private sector or a private public partnership arrangement to lead in the development of a project to capitalize on the local market for cooking oil and related products.

Again, an innovation context, the GEC Board of Directors has discussed the designation of one of its facilities to handle higher margin food grade IP soybeans exclusively. A particular challenge for the business remains to be development of a strategy to continue to handle and market the range of commodity crops in which GEC deals; including soybeans for the crush business. This is critical given the fact that a number of crushing plants have established locally; as well a large commercial crushing and refining business recently commenced operations in nearby Quebec, It is operated by TRT-Etgo in Quebec. The lack of early maturing varieties for the IP market leaves growers looking for an alternative market for soybeans; a market which GEC has been successfully able to service.

Perhaps, the newly announced federal research funding for developing eastern Canadian soybean varieties; including I P will result in breakthroughs in relation to harvest and quality issues. Until, it does, and assuming there are no further disease issues or agronomic challenges, the crush business remains an attractive oilseed business alternative.