Operators have launched lawsuit demanding the reversal of a $3-per-head taxBy Dan Healing, The Canadian Press
Feedlot operators in the heart of Canada's largest cattle-producing region are warning that a municipal tax introduced this past spring will result in more cattle feeders going out of business, days after one of them announced it would close.
Rick Paskal, president of Van Raay Paskal Farms in Picture Butte, Alta., and seven other operators with capacity to fatten about 250,000 cattle for slaughter have also launched a lawsuit against Lethbridge County demanding the reversal of a $3-per-head tax charged to operations of at least 150 beef cattle.
They say the tax, when added to other increasing costs and falling beef prices, will result in more feedlots shutting down over the coming months.
"We're fighting for our survival," said Paskal.
"We're right now at a $5.50-to-$6 per head disadvantage feeding cattle here in Canada versus the United States. You add $3 on that, that's $8.50 to $9. ... The cattle will all go south."
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