Canada needs to protect its own dairy industry, and the many people employed who are working to feed our communities, provide quality products that meet regulated standards and who have established initiatives to protect our environment through reduced operating emissions.
That is the gist of the position taken by organizations representing dairy farmers who continue to fear repercussions from the ongoing “trade war.”
The American dairy industry is much larger than the Canadian counterpart, with operations more than twice the size of the average Ontario family-run farm that milks 80 cows.
Through the Canada-United States-Mexico Agreement (CUSMA), negotiated by President Donald Trump during his first term, the U.S. secured increased, tariff-free access to the Canadian dairy market, giving it a trade surplus. The agreement set specific measurements of dairy products that can be exported by the U.S. to Canada, with built-in growth rates. Canada would only apply tariffs on American dairy products that went over the agreed to amounts – quantities that the U.S. dairy industry hasn’t met. Last year, the U.S. exported $877.5 million in dairy products, importing only $357.9 million of Canadian finished dairy goods. This increased access by the U.S. dairy industry reduced the Canadian market share and weakened the stability of the dairy industry in Canada, says Dairy Farmers of Canada.
As DFC director Bart Rijke observes, “That is why we are calling on federal and provincial governments to defend our Canadian dairy farm families and our livelihood so that we can continue producing milk for the domestic marketplace.”
“Every day, across Ontario, dairy farm families work to deliver a reliable, steady supply of quality, safe, and nourishing milk for Canadian consumers as a vital part of Canada’s domestic food supply,” said Rijke.
In Canada, milk is prohibited from containing antibiotics or growth hormones. Every batch of milk is tested to ensure it meets Canadian standards for the quality of milk and the health of the dairy herd. If a cow is sick and requires antibiotics for infection, that milk is discarded, and that cow’s milk cannot be used until it tests free from any antibiotic residues.
American milk standards are different to Canada’s. The U.S. Food and Drug Administration (FDA) permits the use of growth hormones, believing it has no biological activity within the human body. The Canada Safety Agency (CSA) did not approve the use of growth hormones. Additionally, measurements on dairy cow body cells called “somatic cells” are significantly different between the two countries. The naturally shedding somatic cells assist in identifying infections in cows. A lower number means the quality of milk is better; a higher level potentially meaning the cow is sick. In Canada, the allowable maximum is 400,000, but in the U.S. the permitted count for American milk is 750,000. It is important to note that U.S. milk must meet the 400,000 somatic cell standards to be exported into Canada.
Canadian dairy farmers are regulated by supply management and produce milk and dairy products for domestic consumers. Through the established supply management system, Canadians have access to milk and dairy products from Canada, with farmers receiving a stable return for their efforts to be reinvested into their operations. Canadian dairy farmers don’t export milk or dairy products. Processors operating in Canada sell a significant volume of finished goods in the form of dairy ingredients, used for making other products, such as whey products, skim milk powder and cheese.
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