Farmer Explains 🇨🇦 Dairy Supply Management In Response Controversy of Dumped Milk 🥛 In Ontario

I explain the Supply Management in this video in response to Jerry's Nuigen posted on his sons tictoc account under Travis Nuigen Controversy of him needing to dump his milk due to him over producing and not managing his own quota that we all buy into. (I see now this video could be deleted) but it's still all over the news .

Get the Facts
Farmers are growing increasingly concerned about having their industries misrepresented in certain media. It’s time that people had the facts – or at the very least, the other side of the story.

By ensuring farmers produce only enough to meet the needs of Canadians, supply management helps the sector reduce waste and improve sustainability, prevent wild fluctuations in the farm-gate price of milk and enhances Canada’s food sovereignty and security.

Countries that don’t use supply management often have to provide extra support for farms through subsidies. This means in the U.S., for example, consumers pay twice for their dairy: once through their taxes, and again in retail stores

Imported dairy products may not follow the same stringent production standards as food produced in Canada – this is especially true when it comes to dairy. For instance, all Canadian milk is produced without artificial growth hormones; there are no such guarantees with the milk produced in other countries. Canadian dairy farmers also follow rigorous high quality and safety standards and are global leaders in sustainability.
Domestically produced dairy products travel a shorter distance from farm-to-table, which means a lower transportation footprint and lower transportation costs.

While Canadians enjoy stable prices and supply, the US market is vulnerable to unexpected surplus of product, driving prices down for farmers and disrupting the market for consumers.

With supply management, production responds to demand and farmers receive a predictable income, without relying on government subsidies for income.

The average price of milk in Canada is lower than that of milk in both Australia and New Zealand.
Many countries without supply management, such as the US, subsidize their dairy industry, meaning that the real price of their milk is paid at the store and also through taxes.


I'll post the links of the news articles i reference .

https://www.iol.co.za/business-report...

https://www.wsj.com/articles/americas...

https://dairyfarmersofcanada.ca/en/da...

https://www.usatoday.com/in-depth/new...

Supply Management Does Not Raise Prices for Consumers
Farmers do not set retail prices - retailers and restaurants have always charged what they feel the market will bear. The price paid by the consumer is related to many factors, which can include: retailer competition, brand positioning, cost of competing items and specials to get consumers in the store. None of these factors is related in any way to the share the farmer receives – which typically only represents a tiny fraction of the final price.

A Nielsen study showed that in 2014, consumers paid an average of $1.30/L for fresh milk in Canada, as compared with $1.83 in New Zealand, $1.81 in France, $1.15 in the U.S, $1.19 in Germany, and $2.35 in China.

Dismantling Supply Management Will Not Lower Consumer Prices
In countries where supply management has been dismantled, such as Australia and New Zealand, prices have actually gone up for consumers, while revenues for farmers have gone down or stayed the same.

The average domestic price for two litres of milk in New Zealand jumped 11.3% from May 2013 to May 2015, despite being a major milk exporter, and having one of the lowest costs of production in the world.
Nielsen’s global price comparison (52 weeks ending December 2014) shows the average consumer price for milk is about $1.30/L for Canadian fresh milk, which compares well with the $1.83/L consumers pay in New Zealand, $1.81/L in France, $1.15/L in the United States, and $1.19/L in Germany; while China’s prices are more expensive, at $2.35 /L.
Even in Canberra, Australia’s capital, 30 eggs cost $6.69 CAD, while, at the same time, they cost $5.99 in Ottawa.
Promising lower prices prematurely assumes that retailers will pass on lower prices to consumers – when was the last time this happened?