Dairy product innovation program up for renewal

Thursday, July 14, 2011

by SUSAN MANN

The fate of a dairy industry program aimed at boosting milk demand will be decided at the Canadian Milk Supply Management Committee meeting next week.

The Domestic Dairy Product Innovation Program (DDPIP) is slated to expire July 31.  It’s designed to provide milk to processors in addition to their existing plant supply quotas for new innovations in dairy products. Normally the program was renewed for five-year terms but last year when the program came up for approval it was extended for one year only.

Peter Gould, Dairy Farmers of Ontario general manager, says the program’s renewal requires unanimous support of the supply management committee. “They couldn’t agree to renew it for another five years.”

The supply management committee approved the program for one year while a review committee was set up to make recommendations. Gould says the review committee finished its work and will be bringing a recommendation to the supply management committee meeting on July 20.

Ontario along with other provinces considers the DDPIP to be a very valuable program that’s integral to the strength of the industry, Gould says. “It’s one of the few areas where you can achieve real growth and stimulate innovation, new products and market development.”

Gould says Ontario’s expectation is the program will be renewed for a meaningful period of time, such as five years, and there will be support to have a continued DDPIP.

Gould, who was at the Dairy Farmers of Canada annual meeting in Winnipeg Wednesday, says there were discussions about the program in the hallways during that meeting. “There’s pretty much support across the country but not necessarily every province supports every detail.” He says he’s not sure if provinces’ concerns about some details will end up being deal stoppers. BF