Montpak International

Source: Exec Digital Canada

Date :4/11/2008 5:01:23 AM

The veal industry is often overlooked and considered a small sector of livestock production and consumer food interest. However, appearances can be deceptive. Montpak International is positioning itself to take advantage of a global opportunity

Written by Ian Armitage and Produced by John Bilodeau

In 2006, two major players in Canadian meat processing – Montpak Inc. and Bellivo Transformation Inc. - merged to create Montpak International. The new entity has revolutionized the Canadian veal industry and brings together companies with many years of experience to produce a full range of milk-fed and grain-fed veal products.

So why merge? Exec asked Montpak International’s President Harvey Buksbaum to explain. “Montpak Inc. was established in 1959 by my father Mike Buksbaum,” says Harvey, who joined the family business in 1984.

“We’ve had a working relationship with Bellivo for many years and opened joint slaughtering facilities with them in the late 90s. We’ve also worked closely with their parent company, Delimax, in raising calves and developing feed. However, when it came to sales, we were actually in competition with each other, although we sold product into slightly different market segments. We figured that didn’t make much sense considering we had many existing synergies, so we decided to merge.”

“That’s right,” adds Jack Buksbaum, Harvey’s older brother and Montpak’s Vice-President of sales and marketing. “Bellivo was a strong player in the retail market, whereas Montpak Inc. was strong in food service. By combining these two entities, we have achieved complete coverage of both the retail and food service markets. We are now vertically integrated and able to offer better services to our customers.”

Montpak International operates federally inspected and HACCP accredited processing plants in Montréal and Sainte-Angéle-De-Prémont, and a federally inspected HACCP-accredited slaughter facility in St. Gérmain, Québec.

“We are a vertically integrated “field to fork” company with interests in feed manufacturing, veal production, slaughter, and related transportation, research and development services,” says Jack. ”Our customers appreciate our understanding of their business objectives and our passionate commitment to customer service. We have evolved to better serve our markets and to take advantage of market opportunities.”

“The merger of Bellivo and Montpak was the last piece in the puzzle if you like,” says Harvey Buksbaum. “We are creating one of the largest, vertically integrated veal operations in North America, forming a platform for future growth.”

Veal industry

The veal industry is often overlooked and considered a small sector of livestock production and consumer food interest. Over the past several years it has grown into a thriving and credible segment of Quebec’s and Canada’s agricultural industry.

There are approximately 500 to 700 veal farms in Quebec and they bring an estimated value of $450 million to the provincial economy. Compared to beef, pork or chicken however, it is a relatively small component of the meat industry.

In Quebec, veal can be either milk-fed or grain-fed. Milk-fed veal is the traditional product most consumers envision when they think of veal: very light in color, tender and mild in flavour. Milk-fed veal calves are fed a milk-based diet, and are sent to market when they weigh 450 - 500 lbs, which is usually around five months of age. Grain-fed veal, by comparison, is pink in color with a slightly more pronounced flavour. Calves are transitioned onto a corn-based diet after about eight weeks of age and are raised to a market weight of 650 - 700 lbs which they generally reach around seven months of age.

Fortunately for consumers, Montpak International produces both kinds.

“Why do we do that?” says Harvey Buksbaum, “We simply do both because consumers appreciate the unique attributes of both products. We always listen to our customers in regarding what they need in products and services. Our intention is to supply consistent, safe, and wholesome quality veal product solutions that provide peace of mind and that allow our clients to focus on satisfying their customers.”

Veal quality

Montpak’s mission is to raise the profile of veal and sell more around the globe. The North American price of milk-fed veal is seen as a stumbling block. “Our goal is to try and increase veal production, but with prices being so high that has been a real challenge,” says Harvey, who suggested that milk-fed carcasses have been particularly expensive. “One of the challenges over the last year has been to take a very expensive carcass and maximise our return, while at the same time trying to grow veal consumption.”

To help achieve this, Montpak International is focused on quality –“Food safety and quality has always been our motto,” says Harvey. “To have a quality product you have to have an approved safety program, so all our establishments are federally inspected and HACCP compliant. Our facilities also go through a third party quality control audit on a yearly basis to ensure they match our own high standards of quality control.”

As far as trends are concerned, animal welfare is becoming increasingly important and Montpak has invested in making living conditions for its calves stress free. Within the last year, Montpak renovated its barns to ensure it is in keeping with the most up to date animal welfare standards.

“We decided to undertake this initiative on our own and that sends out the signal that Montpak International cares about animal welfare,” says Harvey. “Our slaughterhouse goes through an annual third party animal welfare audit as well. For us, that is a very important part of what we offer clients. What we offer them is not just a quality product – they can be comfortable that animals have been treated humanely.”

Progressive thinking

As the name might suggest, Montpak International aims to become an international leader in veal products. Harvey and Jack state the goal is to “drive the company towards new markets internationally”.

They believe by staying static, the business risks going backwards. “You have to be progressive,” says Harvey Buksbaum. “I think we are progressive and do it well. We also have the ability to look forward and adapt to new trends. We continue to work on new value added products that will hopefully open up new market niches for us.”

The development of the international market is a key objective for this ambitious company. “We want to be ‘international’,” says Harvey Buksbaum. “Bellivo and Montpak are complementary businesses, uniting to form Montpak International, a business better able to serve customers. Our clients know they are working with a major force in veal.”

“Our ongoing strategic planning benefits from decades of experience and strategic partnerships that ultimately evolved into Montpak International.” says Jack. “We are now more prepared than ever to take advantage of worldwide market opportunities and better able to positively respond to market concerns like pricing, product market convenience trends, and animal welfare issues.”

As a young, dynamic and ambitious company, Montpak International is set to pull out all the stops to achieve that goal. “We are looking to take Montpak to the next level. We have the experience and innovation, as well as youth and energy to take Montpak there,” says Harvey.