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Dairy production: the costs of supply management in Canada

Economic Note on the “supply management” model in agriculture
2005-02-01 / by Valentin Petkantchin

International talks at the World Trade Organization (WTO) in July 2004 drew attention to the “supply management” model in agriculture. This model was first applied in Australia in the 1920s to protect farmers’ incomes against economic swings and lower prices for their products as well as to increase their power in relation to buyers. Supply management, which is held out today as an indispensable element of Canadian agricultural policy, is in reality a needlessly costly system, particularly where dairy production is concerned.

  • Valentin Petkantchin, MEI's Director of Research, answers to critics made by the Fédération des producteurs de lait du Québec (FPLQ).
  • Rising milk prices: the Montreal Economic Institute takes aim at supply management :: Media Release, February 1st, 2005.
  • The Montreal Economic Institute would like to thank Mr. Sylvain Charlebois, Assistant professor in marketing, Faculty of administration, University of Regina, for his contribution to this Economic Note.

    Links of interest

    Canadian Dairy Information Centre :: Canadian dairy industry profil (Agriculture and Agri-Food Canada, Canadian Dairy Commission, Dairy Farmers of Canada)

    www.gotmilked.ca :: Website developed by the Canadian Restaurant and Foodservices Association

    Dairy Australia :: The Web directory for the Australian dairy industry

    Dairy Reporter.com :: Breaking News on Dairy Processing & Markets


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