Tribunal orders marketing board to issue tomato producer licence to processor-grower joint venture.
Integrated Farming Ltd. (IFL), a joint venture between a tomato processor and a farming enterprise, appealed a decision by the Ontario Processing Vegetable Growers denying it a licence to produce and market tomatoes for processing.
The Board had refused the licence on the basis that the joint venture was an arrangement designed to circumvent pricing restrictions and achieve a lower price for tomatoes.
The Tribunal found that the joint venture had legitimate business purposes, including supply chain control and product differentiation, and that the Board failed to prove the arrangement was solely to circumvent pricing.
The Tribunal ordered the Board to issue the producer licence to IFL.
Integrated Farming Ltd. v. Ontario Processing Vegetable Growers, 2015 ONAFRAAT 26