Education
Broiler Hatching Eggs
A broiler hatching egg is a fertilized egg that is produced as the result of a hen and rooster mating.
The Hatching Egg Industry
Breeding stock used by the hatching egg industry comes from specialized bird strains developed by one of three breeding companies with offices worldwide.
Supply Management
Supply Management is the term used to describe the national production/marketing mechanism utilized by five Canadian agricultural commodities, dairy, table eggs, turkey, chickens and hatching eggs.
History of the AHEP
Since 1986, the Canadian hatching egg industry has operated under a supply management system.
What is a Broiler Hatching Egg?
A broiler hatching egg is a fertilized egg that is produced as the result of a hen and rooster mating. Farmers ship their eggs to a hatchery where baby chicks hatch after the eggs are incubated for 21 days. Once hatched, the chicks are transported to a chicken grower’s farm where they are grown and shipped to a processor. After being processed, chicken meat is supplied to retail stores and restaurants for human consumption. A broiler hatching egg is never sold in retail stores and is not meant for human consumption.
How are Hatching Eggs Produced?
Grand Parent Breeding Stock
Farming Hatching Eggs
There are currently 28 registered producers in Alberta. 100% of all registered hatching egg farms are family owned and operated. All birds are “free run” (not caged) in large, clean barns. Stocking density policies established by AHEP requires that producers provide a minimum of 1.8 sq. feet per hen. The hatching eggs produced in Alberta supply the hatcheries with 85 percent of the chicks needed for their provincial broiler market. Hatcheries import the remainder of their hatching egg requirements from the United States under the terms of the North American Free Trade Agreement (NAFTA). The broiler hatching egg industry is a highly specialized production system that is the foundation of the chicken meat industry. As the first link in this food supply chain, hatching egg producers follow very strict bio-security and food safety protocols. All hatching egg production facilities in Alberta are certified under AHEP’s “On-Farm Food Safety Program”. Participation and compliance in this program is ensured through a system of audits.
Supply Management and Quota
Supply Management is the term used to describe the national production/marketing mechanism utilized by five Canadian agricultural commodities, dairy, table eggs, turkey, chickens and hatching eggs. Federal and Provincial governments implemented this system in Canada in the early 1970’s based on collective marketing and production planning adjusted to the needs of the Canadian market/consumers. Each commodity operates through a Provincial Marketing Board or Commission.
Supply management is based on three basic pillars, each of which is critical to ensuring that the system operates smoothly.Three pillars work collectively to support commodities operating under supply management.
- A pricing policy, established in each province, that ensures the minimum price paid to producers covers production costs and allows for some return on investment into buildings and equipment.
- The federal government is committed to restricting imports through over quota tariffs. For example, hatcheries in Canada have Tariff Rate Quota (TRQ). TRQ permits hatcheries to import from the US, 17.43% of the total required hatching eggs for a year. This paper can be used or sold to another hatchery in Canada.
- Production management balances supply of the commodity with its demand. Products under supply management are mainly intended for domestic consumption and not for export.
Supply management operates under a quota unit system. Quota now has assessed value and is purchased by producers to provide them the right to produce a share of the required market. Quota holders have the privilege, granted by their Board or Commission, to engage in the production and marketing of the regulated product.
The production of broiler hatching eggs in Alberta is managed by the Alberta Hatching Egg Producers whose board was formed in 1981. Hatching Eggs Regulation (280/97), Alberta Hatching Egg Plan Regulation (283/96), Alberta Hatching Egg Producers Authorization Regulation (278/97), and Hatching Egg Producers Negotiation and Arbitration Regulation (281/97) all relate to the governance of the Alberta hatching egg industry.