Cochrane Five Year Strategic Plan | Page 24

Town of Cochrane Strategic Plan – Final Report October 2014 cash crops such as hay, grain products35 and dairy cattle, although the number of cattle head has steadily decreased over the past twenty years.36 Local canola yields are 20-30% higher than those in other parts of the province, and the potential to grow quinoa, an increasingly important grain across the globe, is excellent. There may be opportunities for value added products in this sector. For example, a 2008 study suggests that establishing a vodka distillery in the area is feasible, given the availability of capital investment (estimated at $14M).37 Another 2008 study found that a regional abattoir and meat processing plant would be feasible (estimated capital costs $2M). 38 Advances in crop science and agriculture are now changing the northern farming landscape. The United Nations suggests that northern Ontario could become a significant wheat growing area in 2050. Currently, only 2% of the clay belt has any form of development, making it the largest untapped reserve of agricultural land in North America.39 A study conducted in 2008 found that while the current inventory of farmland in the north claybelt is 55,000 Ha, there is “private lands agricultural potential” for up to 385,000 Ha.40 The agricultural industry is experiencing a trend towards the establishment of huge, corporateowned farms. For example, Cargill, Grant and Koch own large tracts in New Liskeard as part of their vertical integration strategy. This trend is also becoming evident in Cochrane. Recently, Mennonite families and others have been moving into the Cochrane District, driven by significantly lower land prices (relative to southern Ontario) and contemporary crop yield practices. However, as farms become steadily larger to take advantage of economies of scale, the lack of large, contiguous cleared plots in the clay belt will become a bigger obstacle. 4.2.3 Small Business Cochrane’s downtown core is affected by the regional draw of the Timmins shopping hub, which at 100km away is close enough to have become a major shopping and service destination for Cochrane residents. This draws business away from the downtown core and puts significant pressure on local firms to be price and service competitive. In addition, on-line shopping provides greater choice for residents and creates pricing pressures on local businesses. Those businesses that service Highway 11 traffic appear to be stable, and there may be some opportunities for growth as a result of Cochrane’s improved marketing efforts. 35 Barley, oats and mixed grains. Commerce Management Group (2008). NCBAN – Land Inventory and Soil Classification Update for the Great Northern Claybelt Region. 37 SOCS Retail Solutions (2008). Cochrane Distillery Feasibility and Marketing Study. 38 Mallet Creek Strategies (2008). Business Plan for Ontario North east Meats Inc. 39 Gambles, Graham (2013). Growing the North in District of Cochrane. Breaking Ground in Northeastern Ontario, Spring Issue. 40 Commerce Management Group (2008) NCBAN – Land Inventory and Soil Classification Update for the Great Northern Claybelt Region. 36 22