Discussions

https://www.theglobeandmail.com/report-on-business/economy/economy-lab/cow-growth-hormone-and-dairy-supply-management/article4403676/ . . . . . . . bovine growth hormone on dairy cows to increase milk production has not been approved for use in Canada. But its not quite that simple if you take a look at the article. Personally I would like to avoid ingesting antibiotics and hormones given to the food-producing animals if I can!

Canadian Dairy farmers have to purchase quota to be allowed to produce milk, It''s somewhere around $23,000/kg of raw milk. They have to produce their exact quota every month, they have to have it shipped. If they produce less milk than their quota they get penalized, if they produce more milk than their quota, which happens due to conditions, they get penalized the next month and aren't allowed to ship as much. So some farms have to dump milk in the drain, it cost them to produce it but they don't receive payment. Maybe we should force the USA to take our surplus milk so our farmers get paid for it instead of dumping it in the drain. It feels like this is what the USA are doing to us instead.  
 
Edited by kissmeImIrish, 2018-10-03 16:17:29

MrDobalina said "For one, retailers set the price not wholesalers...so just like the time farmers were selling cows for next to nothing during the mad cow scare, beef at the store was still the same price. Secondly essentially all of the 3.6% they can access will likely go to processing/industrial/bulk sales...pretty sure it will all be a “non event”. "

Is there not a minimum price set by the dairy boards? Maximum price who cares but a minimum price is how the farmers get paid. That is price controls no doubt. I am sure if all retailers could sell milk at ten bucks a liter they would. That is not how competition works. It will be interesting to see if there is a race to the bottom on prices with the yanks here. I doubt it as they have higher shipping costs and know what the dairy boards quotas price is. I think the Americans will go after different butters etc that increase choices and higher margins.

This whole trade agreement confuses me. If we want to talk free trade and open markets it seems odd that one country tries to tell another country that a certain wage has to be paid to the people manufacturing auto parts in another country.  
 
Something to think about in this whole international trade dispute, that seems to be championed by the US, there is a saying that applies to an individuals situation, or can be applied to even nations, the saying is simple.  
If your outflow exceeds your income, then your upkeep will become your downfall.  
Actions have been taken by the US since the early 70's to maintain a lifestyle which could not be maintained in a world market.

Here's another article about the growth hormone aspect.  
 
"How do I know if it's in my milk?  
 
The label will still help you. If you buy milk that has the blue-and-white Dairy Farmers of Canada logo on it, you know it was produced in Canada, from cows who were not given rBST. If you buy a product produced in the United States, you will not know."  
 
https://www.cbc.ca/news/canada/usmca-milk-hormones-1.4849423

I think part of the reason for the way the milk and eggs are regulated in Canada is to ensure there are enough farmers willing to put in the investment to be in that operation. It costs a lot of money to put up these specialty barns and all of the related equipment, and without a floor for prices most would not bother taking on all that risk. Once a big producer leaves they are hard to replace, and it takes time. A "dirt" farmer can more easily and quickly change from one crop to another (still expensive and they do specialize, but not to the same degree). Never criticise a farmer when your belly is full!

There is a really great article in the Western Producer Sept 27th issue, there are a few great articles in this issue worth reading. The writer talked to a Dairy producer in Wisconsin. They have heard messages from Trump that Canada's supply management system is the reason for the USA's low milk prices, when the real reason is their own over producing due to farms turning into factory farms. The average Dairy cow herd in the USA is 234 animals/farm with California being 1250 animals/farm. To compare to Canada our average herd is 86.3 animals/farm. These are just the animals that are milking that are counted, you need calves and replacement heifers also, just think of the difference in costs of production, environmental impact and distance to market.

The reason farms arn't as big here is not because of the cost of the facilities. It's because of the cost and limited amount of quota available.  
 
In the USA there is no quota to buy. Prices for milk may be lower, therefore farmers have to go big or go home. The average US Dairy probably could not make enough profit on a Canadian sized farm.  
 
I switched to using Almond Milk for the little I use. According to scientific studies, milk isn't as healthy as claimed. As we continue to add medication and antibodies to the animals, this isn't getting better. Less and less of our dairy herds are actually out on pasture in the summer. In the bigger US dairies, the cows might not even see the outside of a barn. Antibodies wise, Canadian milk may be better than US milk.

Milk in Manitoba and North Dakota both cost the same. The difference in prices is more likely at the major food processor level. It's cheaper to get cheese for frozen pizzas outside of Canada.

Cost of production is much higher here.  
 
Starting with our weather costs more to feed in the cold winter.  
 
Farmers here are more regulated and inspected in production which adds to the cost.  
 
Minimum wage is much lower tough to compete with that. North Dakota minimum wage is$7.25 according to statistics.com.  
 
The U.S. dairy industry is also extremely subsidized where as the Canada farmer isn't.

Will be supporting our local dairy farmers. Trump and his so called trade deals are only for the good of the USA.