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Canada's beef sector asks Ottawa for $20 million

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Date: Monday Jan. 17, 2011 1:59 PM ET

EDMONTON — Canada's beef industry is asking Ottawa for $20 million this year to help defray the costs of meeting stringent slaughtering rules brought in after the mad cow scare.

The industry warns that without the funding thousands of jobs will be lost at major meat-packing plants in Alberta and Quebec and at smaller abattoirs in other parts of the country.

The industry says it would also be forced to send tens of thousands of older beef and dairy cattle to the United States to be slaughtered.

The Canadian Cattlemen's Association, Dairy Farmers of Canada and the Canadian Federation of Agriculture made the request in a letter to federal Finance Minister James Flaherty.

Last year, Ottawa gave the industry $25 million to help with the cost of removing specified risk materials, or SRMs, from cattle.

SRMs are parts of a cow that would most likely contain bovine spongiform encephalopothy if the animal were infected.

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