Third round of compensation now available for Canadian dairy farmers

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OTTAWA, ON, 20 December 2021 / CNW / – Today, the Minister of Agriculture and Agri-Food, the Honorable Marie-Claude Bibeau, announced that the third payment from the Dairy Direct Payment (DPL) Program is now available for the producers. The owner of a farm with 80 dairy cows will receive compensation in the form of a direct payment of approximately $ 38,000 every year.

Agriculture and Agri-Food Canada has mailed letters to all eligible dairy farmers with instructions on how to access the payment. Based on their milk quota, dairy farmers will receive compensatory payments of up to $ 469 million for this exercise. To receive their payment, producers must register with the Canadian Dairy Commission before March 31, 2022. Another $ 468 million will be available in 2022-2023.

The government of Canada continues to deliver on its commitment to provide $ 1.75 billion to dairy producers for market access concessions granted under the Comprehensive Economic and Trade Agreement between Canada and the European Union (CETA) and the Comprehensive and Progressive Trans-Pacific Partnership Agreement (CPTPP). Payments are made on an accelerated schedule of four years instead of eight, with all payments due by 2023.

Earlier this year, the government also launched compensation programs designed to help spur innovation and market development for from Canada 4,800 producers of chickens, eggs, hatching eggs and turkeys, totaling $ 691 million more than ten years. The Poultry and Egg On-Farm Investment Program will provide nearly $ 647 million supporting poultry and egg producers through on-farm investments. The market development program for Turkey and Chicken will provide more $ 44 million help increase domestic demand and consumption for Canadian turkey and chicken products through industry-led promotional activities. These programs respond directly to requests from producer associations and provide full and fair compensation for the impacts on the CPTPP market.

To help processors of all supply managed agricultural products adapt to CETA and CPTPP, Budget 2021 proposed a new $ 292.5 million for an investment fund for processors to support private investment in processing plants. Further details on the program should be available in the coming months.

During the following year, the government of Canada is also committed to working with sectors subject to supply management to determine full and fair compensation for the impacts of Canada-United States-Mexico Agreement (CUSMA).

The government of Canada understands the crucial role of from Canada supply chains that support our family farms and the vitality of our rural communities. Despite many challenges, including the COVID-19 pandemic and the impacts of extreme weather conditions across the country, these farmers continue to demonstrate their commitment to providing high quality products and helping to secure an economy and an agricultural sector. strong Canadians.

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“Our government is honoring its commitment to compensate dairy farmers. They can now claim the third installment and already know what their fourth installment will be in 2023. We have promised to finalize the ACUM compensation in the first year of our tenure and we will keep that commitment as well. “

– The Honorable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food

Fast facts

  • The Canadian dairy sector is a vital pillar of rural communities and a key driver of the economy. There are 9,952 dairy farms in Canada supporting around 19,000 direct jobs. Demand for Canadian dairy products remains strong and has resulted in a 10% increase in raw milk production over the past five years, with more than $ 7 billion of farm cash receipts in 2020.
  • Under the Dairy Direct Payments Program, dairy farmers will receive up to $ 1.75 billion in direct payments over a four-year period. Payments are made by the Canadian Dairy Commission (CDC).
    • Up to $ 345 million and $ 468 million in direct payments was made available in 2019-2020 and 2020-21, respectively.
    • There are $ 469 million currently available for the third year, and another $ 468 million will be available in 2022-2023.
  • Under the program, eligible recipients are cow’s milk producers holding a valid milk quota license registered with a provincial milk marketing board or agency as of October 31 of each year.
  • Canada now has trade agreements with two-thirds of the world economy and is the only G7 country to have trade agreements with all other G7 countries.

Additional links

Dairy direct payment program
Proof from Canada sectors under supply management
Government of Canada announces investments to support dairy, poultry and egg producers under supply management

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SOURCE Agriculture and Agri-Food Canada

For further information: Marianne Dandurand, Press Secretary, Office of the Minister of Agriculture and Agri-Food, [email protected], 343-541-9229; Media Relations, Agriculture and Agri-Food Canada, Ottawa, Ontario, 1-866-345-7972, [email protected]

Related links

www.agr.gc.ca

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