Hide buyers look for supply alternatives to on-strike Cargill plant

Hide buyers look for supply alternatives to on-strike Cargill plant

A few hide buyers were forced to look for alternatives to replace their supply from Cargill’s Dunlop plant in Guelph, Ontario, due to the ongoing strike.

Workers at the Dunlop plant, which has the capacity to process 1,500 head of cattle per day, went on strike on May 27. The workers remain on strike until an agreement regarding compensation can be made to both parties liking, Fastmarkets heard.

Hide buyers and farmers in the surrounding area were negatively impacted by the cutoff of supply and were forced to source material from different producers or send material to other processing plants, which added difficulty and extra costs, sources said.

A hide buyer said they weren’t overly concerned with the disruption because the hide demand from their buyers did not outweigh the current supply.

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