New dairy class stirs controversy at meeting

© AgMedia Inc.


It appears that Ontario's dairy farm leaders have realized, although they studiously avoid mentioning it, that the imports of milk protein replacements, increasing almost daily, are unstoppable and that they had to do something before another 800,000 litres of skim milk got dumped into lagoons, as was the case in early 2015.

This means that DFO has finally accepted the truth that one of the essential pillars of supply management (import protection) has effectively crumbled, and that it's time for them to put on a brave face and deal with the reality that supply management has only two pillars left. DFO appears to have done so, and it appears that this decision took place with some considerable opposition from most of the rest of the Canadian dairy industry which still appears to believe that "the world is flat".

The DFO decision to sell more milk at world prices, and, therefore, less at rip-off cost-of-production prices is, of course, a sham and a farce because Canadian consumers of whole milk will continue to get ripped off, while Canadian consumers of cheese and yogurt should get a break from the price tyranny imposed by supply management.

This DFO decision is kind of like opening the Berlin Wall to allow everything except people to cross, and serves only to further-expose the hypocrisy of supply management and the increasing need for its quick, and long-overdue end.

Stephen Thompson, Clinton ON

This guy can't stop ,He thinks he is the God Of Agriculture and thinks everyone is waiting for him to preach! Get over yourself Steven , The dairy industry is reacting to the need to supply milk, skim milk powder to further processors and companies that import replacement products and proteins. The Trade agreements gives them the legal right to create special class priced at U.S. or world prices! What wrong with that ,they are not exporting anything ,it is for the domestic markets! Again you need to pull your head out of a book and Thank the Dairy farmers for being proactive in developing this new class ,it will have very little effect on the farmers income ,in fact it might raise the blend price because it is based on U.S. price and U.S dollar! Good news for the dairy industry in Canada ,again you are so negative you lose sight of how the industry Works ,Supply Management is stronger by putting this class in place , in fact the 3 pillars are strengthened by this ! WRONG AGAIN STEVEN! I HAVE NO IDEA WHY YOU ATTACK SOMETHING THAT YOU HAVE NEVER BEEN A PART OF! IS IT BECAUSE YOUR JEALOUS THAT YOU NEVER TOOK A CHANCE BACK IN THE SEVENTIES? BILL DENBY/ RETIRED DAIRY FARMER

Supply management has always been, and continues to be, net-negative for consumers, jobs and economic activity.

This new pricing category was put in place only because the supply management "ship was sinking" under the weight of duty-free milk protein replacements and rather than face another scandal of dumping even more skim milk into lagoons, DFO knew it had to do something or else supply management would be at substantial risk of losing everything.

This special pricing strategy is nothing more than a stop-gap measure designed to put a brave face on a rout - it does nothing to prop up the legitimacy of supply management, all it does is further expose it for the farce it really is.

For Mr. Denby to claim this ratcheting down of the ability dairy farmers have to extract rip-off prices at the farm gate is good news for the Canadian dairy industry, is like ignoring the devastating effects of a million-dollar fire by claiming it's "good news" that we now have another vacant lot.

Stephen Thompson, Clinton ON

The U.S operates Supply Management in a number of states ,Yes With QUOTA , The system was designed by all parties in Ontario in the early 60's and went National in The 70's. It has under gone many trade challenges and Survived Sir !The Supply Management System will change over time to meet our Trade Agreements and Supply the Domestic Market, Until the Federal and Provincial Government decide to dismantle the Policy ! Do you see consumers marching in the streets, Not buying Canadian Dairy products! No Steven ,you should spend your time on educating yourself about the benefits to all the players involved in the System ,Even The consumers Support the System! Steven try beating another DEAD Issue! Bill Denby Retired Dairy Farmers

Comment modified by editor.

In recent postings on this site, someone claiming to be Bill Denby supports supply management, hook-line-and-sinker and falls into all the usual traps favoured by supply management supporters when doing so:

(1) "shooting any messenger" who criticizes the supply management system
(2) claiming that nobody is qualified and/or capable of offering an opinion about the dairy industry except people in the system.

Yet I seem to recall that someone also named Bill Denby was one of the so-called "ringleaders" of a group of farmers so-opposed to supply management that they tried to form their own milk-export business about 15 years ago. I therefore Googled - "Bill Denby, milk exporter" and got 51,200 results including the following top-two:

(A) Better Farming, cover story, April 2003
(B) a posting on this site from January 10, 2014 wherein Bill Denby claimed that DFO was effectively finished and signed his posting as follows - "Regards,
Bill Denby. P.S thank god I am not a (sic) Ontario dairy farmer."

It would appear, therefore, that there are two people named Bill Denby, one staunchly opposed to supply management and one strongly in favour of it.

Will the real Bill Denby please identify himself and tell readers of this site, especially those who read his posting of January 10, 2014, when and why he made what appears to be a complete turn-around in his strongly-held and strongly-expressed beliefs about supply management?

Stephen Thompson, Clinton ON

Steven ,your Garbage has never been challenged before as to why you ATTACK Supply Management and everything else ! I think by now most farmers can tell , You are one of those guys that thinks he knows everything and has NO Real Life experience in NOTHING! Farmers are sick of you giving bad advice and attacking the AG. Industry every day on anything that is positive or a GOOD NEWS STORY! Yes their are two Bill Denby's ,one that grew up supporting Supply Management for Dairy ,was on the county milk committee ,went to all the Provincial Meetings, stood up to Governments for other Dairy Farmers and lobbied for support ,right up till the DFO shut down all opportunities for young people to produce milk only for the export markets ,without Domestic Quota! We worked with the Provincial and Federal Government to develop a Trade compliant program and Implemented it, to be attacked by fellow dairy farmers and the Provincial Government, THE FEDERAL GOVERNMENT SUPPORTED IT 100% but it was to political for them to get involved. So the fight was on ,we beat the Province and the DFO, but they had done to much damage in United States ! That it was in everyones best interest to STOP the fight. It cost me a lot of my own money ,$200,000.00 in legal ,I never took any money from young farmers that we had started in the export business, We felt real bad that we had to shut down! Not one of them were upset at us , for taking a chance to ship milk for export only. They were upset that the DFO ,government agency had brainwashed dairy farmers. I will say that we were all more upset with the Federal Government for not having the guts to stand up to the Provinces and their government farm agencies. Over time an export only program will be implemented, most of the things the Domestic Dairy industry has put in place only protects the domestic market! It will never allow the Canadian dairy farmer to supply milk to domestic processors for new export markets, we will continue to import milk from the U.S. and around the world .Over time after leaving the dairy industry, I started a business importing/ exporting products from China, mainly ,ATV'S and all off road vehicles to sell in Canada and the USA. We ran smack up against the brand names when we started taking their share of the market! Wow ,how the Federal Government protects them ,even when they DO not manufacture on product in Canada! You learn real fast how to defend your import and export permits from people that think they own the market, my experience dealing with the DFO and Customs was a big advantage. I still believe that farmers are going to see Supply Management over time be dismantled ,But for now I have came to understand how my fellow farmers think! When someone seems like a threat to take your market ! Steven I do not understand WHY you hate the system Canadian Farmers operate under, When you have NEVER been a part of it or Dairy Farmer ? Also I have NO idea, Why you attack every other sector in Agriculture with a good news story for young farmers? Maybe for me and the readers you would answer my two questions in your next ATTACK! Bill Denby / both are me a retired Dairy Farmer

Mr. Denby wants me to answer two questions I understand to be the following:

(1) WHY (sic) you hate the system Canadian Farmers (sic) operate under, When (sic) you have NEVER (sic) been a part of it or Dairy Farmer (sic)?
(2) Why you attack every other sector in Agriculture (sic) with a good news story for young farmers (sic)?

The answer is multi-fold:

(1) I, and every other economist and consumer advocate deplore supply management (and ethanol) because it is net negative for jobs and economic activity, as well as pitting farmers against one another along age and sector lines, plus being disproportionately financed by the poorest group of consumers.
(2) I take issue with all programs and policies that are little more than a sham, an economic house-of-cards and which use half-truths and economic fallacies in an attempt to persuade anyone, especially young farmers to, in effect, "sell their souls" in pursuit of an unattainable dream promoted by others, including farmers, who should know better. Supply management, the current rush to enter the Ontario dairy goat industry and even ethanol are perfect examples of an economic "house of cards".

While this may seem trite to some, I was exhorted, during the entire course of my MBA studies, that I had a professional and, therefore, ethical obligation to always strongly object to policies and procedures I knew to be:

(A) objectionable,
(B) based on fallacies
(C) professionally and ethically unacceptable.

supply management, the current rush to enter the Ontario dairy goat market and even ethanol, satisfy all three criteria.

I'm even more convinced about the soundness of my position because this afternoon I went to see "The Big Short" and came away even-more convinced that Canadian, and especially Ontario agriculture is now just as daft, just as unsustainable, just as greedy and just as arrogant as Wall Street was prior to the crash of 2008.

It's like this - I spent too much time, too much energy and too much emotional capital dealing with the financial wreckage in agriculture during the early 1980s, that I intend to do everything I can to make sure that as few people as possible ever go through that "wringer" again.

However, thanks to "false gods" like Mr. Denby, my efforts are, alas, likely to matter little, but I am professionally and ethically obliged to try.

Stephen Thompson, Clinton ON

Steven ,that's the best reasons why you HATE SUPPLY MANAGEMENT! It sounds like you are on a MISSION to save the world from bad decisions, You need to get yourself a hobby. Maybe you haven't realized that people ,farmers, businesses have gone bust for many reasons, You are not going to change that! A lot of the reason for people that go broke is taking advice from so called professionals that don't have any track record or success in Farming or for that matter in anything. I have sat in on these kind of experts and watched them con the people into paying them for their advice only to go BROKE! The best advice a young farmer can get ,is from someone that is in that farming industry for 40 years . As faced all the challenge mother nature, banks and the markets have thrown at them and survived, even grew their business! That is the expert that young farmers need to source advice from ,not some book worm that charges and makes a living off of their back. That is the hard facts that good farmers should be the ones helping young farmers get into the business of farming, they are credible,experienced and track record for standing the test of time. Their is one thing they all lack, PHD! I hope Mr. Thompson you will to Stop discouraging young farmers from becoming part of this great Profession called AGRICULTURE! Let the EXPERTS HELP these young people ,instead of being so negative and attacking all sector with your comments! Bill Denby ,importer/ exporter

One of the goals of the dairy industry at the time supply management was created was to have one farm gate price for all milk leaving the farm because, in that way, dairy farmers could claim that all customers were being treated equally, albeit with the unfortunate caveat that all customers were being gouged equally.

Any semblance of price equality has long-since disappeared:

(1) some time ago, dairy farmers were forced by, I believe an act of Parliament (in turn strong-armed by McCains, a politically-influential frozen pizza maker), to sell milk for mozzarella cheese to frozen pizza makers at the world price. Not surprisingly, that world price ingredient strategy prompted Dr. Oetker, a German frozen pizza maker, to open a plant in London, ON.
(2) fresh pizza makers objected so strongly to the price break frozen pizza makers received on their milk for mozzarella cheese that the dairy industry granted a token price break on their mozzarella cheese ingredients in late 2013, thereby creating the absurdity that pizza makers would pay three completely-different prices for mozzarella cheese ingredients depending on whether they were making frozen pizza, fresh pizza or home-made pizza.
(3) unstoppable amounts of duty-free milk proteins leading, in turn, to the dumping of 800,000 litres of skim milk in early 2015 which led, in turn, to the above story's announcement of the creation of a world-price category in an attempt to win back market share from the up-to-now unstoppable imports.
(4) should TPP be ratified, the dairy industry would have had to create this new Class 6 - world price category in any event, and, therefore, the present announcement merely anticipates and recognizes the inevitable.

It's like this, the cost-of-production "wall" has been chipped away in so many locations that it has become an absurdity with the apparent motto of our dairy industry having become "Cost of production pricing when we can get away with it, world pricing when we can't".

That dairy farmers can't see the absurdity their industry has become, is truly frightening, not just for the dairy industry itself, but for all of agriculture.

Stephen Thompson, Clinton ON

"One of the goals of the dairy industry at the time supply management was created was to have one farm gate price for all milk leaving the farm"
Nonsense, since day one, and even for decades before SM, milk for different uses was sold for widely different prices. Fluid higher and butter and powder much lower, for example. Still true in all countries.

Canada is still the only country in the world where farmers are allowed to:

(1) screw anyone they can get away with by cost-of-production pricing.
(2) create a very-arrogant rural aristocracy
(3) effectively drive legitimate businesses like Chobani right out of the country
(4) pit farmers against one another along age and sector lines.

The key point the above poster ignores is that Canada is the only country where farmers are allowed to practice price discriminating against customers because of who the customers are.

For example, at one time, frozen pizza makers and fresh pizza makers both paid the rip-off "cost-of-production" prices for mozzarella cheese ingredient still paid by people who make pizza at home, but now dairy farmers can't do it any more - they'd dearly like to, but they can't, in the first instance because they were forced into it, and in the second because they were shamed into it.

The other point the above poster ignores is that the seemingly-unstoppable inflow of duty-free milk protein replacements is entirely, up until now, the exact same product that Canadian dairy farmers used to be able to sell at cost-of-production pricing, but soon won't be able to do so thanks to the introduction of the new Class 6 - world pricing category.

Therefore, the unpalatable truth is that the operating motto of the Canadian dairy industry remains intact, odious, undeniable and a vivid demonstration of why supply management is not well-liked and will not be missed.

"Cost-of-production pricing when we can get away with it, world pricing when we can't."

Fortunately, the creation of this new Class 6 - world price category is good news for everyone concerned with the welfare of Canadian consumers and a damning de-facto admission by the Dairy Farmers of Ontario that supply management just doesn't work.

Stephen Thompson, Clinton ON

It continues to amaze me where you come up with your facts, Please post the reports ,books or speeches you get your garbage from. Supply Management was created for all players ,including consumers ,processors ,retailers ,not just farmers back in the 60's. My Uncle was president of the Whole Milk League in Ontario. Farmers in the GTA wanted nothing to do with marketing boards, they had a good thing going. It was the rest of the dairy farmers that wanted into their market, their was wars going on between farmers ,processors and consumers could not buy milk! That is when the Government stepped in and took control of everybody and formed the Ontario Milk Marketing Board. It has worked well for everybody ,until the Federal Government started signing trade agreements to create export markets and allow product to come into Canada. First with ,GATT & NAFTA and then with all the other trade agreements since, It has been the Federal Government that has undermined the very system they put in place in the early seventies. Dairy farmers are left with what's left over in their Domestic market ,with very limited exports. To day the system is under attack from every person that has no idea what supply management is, like you Sir. It is a Government program implemented by the provinces over the Dairy Industry , Farmers DO NOT SET THE PRICE! The Canadian Dairy Commission has that control ,along with the Farm Products Marketing Commission for Ontario set the price in each class for Farmers and Processors. Bill Denby retired dairy farmer

The "garbage" Mr. Denby accuses me of proffering is, and has been, the basis of every undergraduate course in agricultural economics in Canada for over 40 years. It isn't taught as some obscure and/or arcane "possibility", but is so basic and so-not open to any debate or even discussion that it is taught right at the outset as part of the "ABCs" of agricultural economics.

For example, every ag economics student in Canada learns the truth that Mr. Denby cannot deny, which is that supply management:

(A) regressively picks the pockets of consumers
(B) allows supply managed farmers to abuse their market power in the form of legally-sanctioned cartels
(C) pits farmers along age and sector lines
(D) forces farmers to buy quota, thereby creating a high cost structure that
(1) creates a high-cost structure
(2) is ratcheting upwards and perpetuating uncompetitiveness
(3) is a barrier to entry and, insofar as quota passes within families, is creating a rural aristocracy
(E) impairs the ability of processors to compete and grow
(F) impairs the attainment of Canada's broader trade policy goals
(G) is the very antithesis of the kind of market-oriented, competitive system that Canada is trying to build
(H) turns supply managed farmers into wards of the state, totally dependent on the perpetuation of current policies and correspondingly vulnerable.

The above points summarize exactly what supply management is. Furthermore, supply management is not being attacked by people who don't know what it is, but supply management is definitely being attacked by every economist and every economic journalist in the country because they do know exactly what it is.

Stephen Thompson, Clinton ON

For sure I will give you credit for one thing Stephan . You have unknowingly show how Gov't missed many of the basic lessons taught in school . Now the other thing is that we have farm representatives who are following the same path .
Sighhhh !

Steven you are in Canada , every Government controlled industry operates under the same policies as Supply Management, Auto, Housing, Oil, Fishing,Mining, Hospitals, Policing and so on. Every Person that wants to open a fast food restaurant like Tim Hortons pays a big Fee and all the prices are set by head office, That is SUPPLY MANAGEMENT! Our country runs on Supply management because it WORKS! Why do you think the Government likes it and supports the MODEL because it WORKS for everyone! Steven you are the only one that Attacks the System Daily with your non -founded, non -proven posts, It is like you are on a mission to change the world of Agriculture, TO WHAT Steven your failed model! If you were right ,You would be working for the Government developing policies and programs to be more cost effective! But your NOT, give it Up and face it, Your somebody that failed in Agriculture at some point in your life and know you think you have a DUTY to Change and Save Agriculture from SUPPLY MANAGEMENT ! Do yourself a favor and RETIRE from giving advice! People are TIRED of your nonsense, silly arguments and ATTACKS that may discourage young farmers from entering the Profession of Farming! In to Days World of Agriculture their are endless OPPORTUNITIES WAITING For young people to try, Good Luck to everyone that takes that chance!Proud to have been a Farmer and taken that chance! Bill Denby , Retired Dairy Farmer

I consistently point out, as is my obligation as an economist, the false half of half-truths and nothing in agriculture is less-truthful than claims that supply management benefits anyone, including the next generation of dairy and poultry farmers who, because each generation must refinance itself, (unless the next generation's farmer is an only child), must scale the heights of the 50:1 price earnings multiples for land and quota the previous generation created.

In response, supply management supporters are so-completely unable to deny the limitations, double-standards and outright falsehoods permeating to the very-core of supply management that they are forced, either anonymously, or otherwise, to attack my character and my integrity, as Mr. Denby consistently continues to do.

And, go figure, for every irate gad-fly, almost always an old-timer, assailing my character on this site, including Mr. Denby, I consistently get about ten people who seek me out in various ways to tell me that I'm completely correct, and then some, in my understanding of the issues as well as what needs to be done.

For example, I am consistently told, in no uncertain terms, especially by younger farmers, that the number 1 problem in agriculture is supply management's ability to pit farmers against one another along age and sector lines.

Stephen Thompson, Clinton ON

I'm somewhat surprised to say the least that Mr. Denby has completely flipped-flopped on the supply management issue.
As early as last year this man was attacking supply management far more anger than anyone on this site has ever mustered up.(Remember all the yelling in capitals?)
Bill, why the sudden change? I didn't think your answer to Mr. Thompson was good enough. Keep your answer short and to the point please.

One final note. No other business in Canada operates under the three legislated pillars of supply management therefore negating all your examples in the above posting.

Raube Beuerman

Every government regulated industry operates under Supply and demand principles. Do you see stock piles of Gas or oil stored for years or fertilizer stored for years and the list goes on with every commodity. I constructively challenge the Dairy Farmer of Ontario on their policies because I was a dairy farmer, chairman of the county dairy committee and it was my job to do so. You people ,yourself and Mr. Thompson have never been dairy farmers under he DFO, that is the difference. Why the flip flop as you call it, we started new businesses in different area of economy ,Tourism and Off- Road Vehicle sales 5 years ago. You meet and talk to a lot of people outside Agriculture, over the years you come to find out the average person likes and SUPPORTS our dairy, chicken and turkey system and farmers. It is that simple the consumers love Supply Management and what it offers to them. Mr. Thompson Attacks every good news story in Agriculture ,you even attack dairy farmers because you a mad you can't be one. I on the other hand have had the best of both sides and will continue to defend Supply Management to the end. I also will challenge anyone who tries to discourage young farmers to go into the Profession of AGRICULTURE. To days young people have so many opportunities in all areas of farming that no one has the right to discourage or attack that industry. It is that simple, We as a country need young people to stay or go into Agriculture, if we are going to meet the challenges of the future. The world has changed with all the new trade agreements, Canada is positioned very well. The future in agriculture is profitable and rewarding for young people. Raube why not support Agriculture and the different industry's rather than ATTACKING THEM! Bill Denby ,retired dairy Farmer

Mr. Denby, you are trying to encourage young farmers to get into farming, yet at the same time are supportive of SM, which has the highest barriers ($$$) to entry. This makes no sense.
Also, you now claim that Canadians are supportive of SM, but to be honest, as with the term GMO, most have no clue what supply management is.
And please stop comparing gas to SM, have you not noticed that the barrel is now under $29? (A huge savings for consumers)

Raube Beuerman

In reply to "Raube You Need To Get On Board"

You state that consumers love Supply Management ("SM") and what it offers them???

Pray tell, exactly what do you think is so lovely about SM and what it offers consumers? Don't bother with generalities, let's get specific.

Consumers have reduced or no choice, similar to Henry Ford's Model T (any colour as long as it's black).

Public Health Canada recently reported that 50% of the retail chicken in Canada is contaminated with campylobacter bacteria, a deadly foodborne disease in every grocery store. But there is E.coli, salmonella, Heidelberg, and many other deadly bacteria and viruses too. Half of that bacterial contamination are Superbugs, caused or contributed by the decade long use and abuse of antibiotic drugs by the CAFO factory farms of SM.

While Canada may have a tighter standard for bacteria and somatic cell counts (ie. "puss") in milk, the US farmers on average produces milk that is lower in bacteria and somatic cell counts than the Canadian average. Canadian milk is mediocre.

For Jan. to June 2015, the worst month for milk contamination for a Province was up to 13 times worse than the best month, with extended periods of Province-wide contaminated milk that was completely out of control. This poor quality milk wasn't dumped, it was sold to unsuspecting consumers. Thank God for pasteurization! When we compare the 1998 data to the 2015 data, there has been little to no improvement over this 17 year period of SM mediocrity and/or negligence.

Canadians are charged 38% to 300% more for chicken, turkey, eggs, and dairy products which are often of inferior quality.

Supply Management of Chicken has stopped or hindered the free market demand for kosher, halal, and Hong Kong chicken. Canadian have lack of choice under SM.

SM has allowed the chronic cheating on Feed Conversion Ratios to improperly boost farm gate prices, spent chicken import fraud, IREP (Import for Re-Export) cheating, and the use of banned substances in the feed &/or water of the SM animals; all so SM farmers and their friends can enjoy higher profits and lower risk.

SM has allowed questionable animal welfare conditions in SM's CAFO factory farms to continue or decline; as well as hiding, aiding, or abetting animal abuse for the sake of SM, SM's sacred reputation, and higher profits.

What SM has done, extremely successfully I can add, is continuously spew its propaganda far and wide. Supply Management has used distractions, lies and half-truths to fool Canadians into supporting SM's continued mis-use and abuse of trusting Canadians. SM has wrapped themselves in the flag, and pleaded for consumers to go to sleep and trust the allegedly friendly & neighbourly SM farmers.

Today, Canadians say they like buying from Canadian farmers, and SM mis-interprits this as support for SM. However, the vast majority of Canadians have no clue about SM, how it works (or doesn't work), or what commodities are produced under SM; all as disclosed by SM's own surveys.

Now, with soaring food prices across the board in Canadian grocery stores, the SM system will likely jump onto the rising price bandwagon and jack up their gouging prices even higher, following the rising food prices of food imported from the US and elsewhere. SM will likely gouge Canadian consumers even more, even though Canadian animal feed prices are down, SM has a monopoly, its all produced in Canada, and not subject to costly foreign exchange.

Those soaring food prices will soon awaken the Canadian consumer. Soon, Canadian consumers will start to ask polite, then more pointed questions. Soon Canadians will learn how SM has fooled the trusting Canadian consumer, and royally screwed them for decades.

Soon, SM farmers will feel the gnashing teeth of Canadian consumers as payment for SM's breach of trust.

Glenn Black, President
Small Flock Poultry Farmers of Canada

Glen ,you should get your facts straight SUPPLY MANAGEMENT FARMERS do not sell one thing to Consumers ,they sell to PROCESSORS and PROCESSORS sell to FURTHER PROCESSORS and they both sell to RETAIL ,who sells the finished products to CONSUMERS! There does that help you understand how SUPPLY MANAGEMENT Works, now for all the FALSE STATEMENTS farmers contribute very little to your allegations on food contamination ,most of it happens after the product leaves the farm! You should know that , how ridiculous your post is! You yourself are one that challenged the system and LOST, Now you feel it is your duty to tare it down! Well Sir ,It is not going to happen, both you and Mr. Thompson speak for NO BODY! Get over it and move on, you will be a more productive person and Set an example for young farmers to work with the Chicken Industry rather than ATTACKING THEM ! BE POSITIVE instead, you will feel better! Bill Denby Activist for farmers

Instead of espousing "hatred", I like to think I'm a necessary voice pointing out that in:


(1) the limitations of supply management were ultimately responsible for the dumping of 800,000 litres of skim milk into lagoons in early 2015.
(2) supply management was ultimately responsible for chasing Chobani right out of the country.
(3) supply management is ultimately responsible for the pitting of farmers along age and sector lines.
(4) supply management was ultimately responsible for the situation where, in late 2010, numbers released by the Dairy Farmers of Ontario showed that the retail price of milk in Ontario was almost 38% above the US retail price and that the farm gate price of milk was within pennies per liter of the US retail price - not a situation any Canadian consumer would "love" let alone even tolerate.

Mr. Denby doesn't seem to realize the supply management system is collapsing by the day - what with:

(1) DFO putting a brave face on an unstoppable tide of duty-free milk protein imports by developing a class 6 - world price for milk, something that would have been totally-abhorrent even five years ago. What could ever be positive for a young person about going into an industry where cost-of-production pricing is slowly, but surely, being replaced by the sort of world-pricing strategies supply management was initially designed to overcome?
(2) the Egg Farmers of Ontario (EFO) discontinuing their new-entrant program because, as reported in this week's Ontario Farmer, none of the last four entrants has any birds because they haven't been able to buy quota, and if they can't buy quota now, how are they going to be able to buy quota to eventually repay the quota they borrowed from EFO? What could ever be "positive", especially for young farmers, about this type of fiasco?


logistics problems stemming from:

(1) too many people wanting to get into a relatively-small industry
(2) too many people already in the industry wanting to expand

are, as is typical for any industry that expands too fast for a relatively-small market to bear, placing the industry in a prime position to be subject to a a pricing and supply "tsunami" in the not-too distant future.

While I don't claim that the dairy goat sector isn't going to grow and be prosperous for some farmers, too many people don't seem to appreciate that small markets are like shallow lakes, because shallow lakes tend to have the biggest and therefore, most destructive waves.

Stephen Thompson, Clinton ON

Well Steve don't shoot the messenger yada yada yada , you really seem to miss one big thing . Such is agriculture ! Over production , new markets flooded by every one jumping on the band wagon etc has been part of life for ever .

Yes SM needs an overhaul big time . TPP is likely the vehicle that has brought that to fruition .

We haven't even ratified CETA yet and that agreement was signed in 2013,furthermore some members of the EU are not happy with some of the wording,who knows when it will go through?

The TPP is even farther off,there will certainly be complications with it as well.

It is laughable that everyone thinks that the TTP will end supply management, The same was said when NAFTA and GATT were signed over 20 years ago and Supply Management is still operating. Gee ,what are all the haters of supply management going to write when Supply Management is still in place 20 years from to day 2036! It will still be around for dairy farmers to read someone still attacking the program, predicting it's END! I hope the ones that are Attacking the System live long enough to eat all their words! You people need to face up to the facts and history, That when Governments put programs in place they Last forever! This program has been operating for over 50 years, Yes it's policies will continue to change to meet new trade agreements. Supply Management will stand the test of Time, It has a track record of serving Canada's Consumers just fine ! Here is to the next 50 Years of Supply Management! Never be afraid to take a Chance and invest in Supply Management System! Bill Denby ,Retired Dairy Farmer

Post new comment

To prevent automated spam submissions leave this field empty.
We welcome thoughtful comments and ideas. Comments must be on topic. Cheap shots, unsubstantiated allegations, anonymous attacks or negativity directed against people and organizations will not be published. Comments are modified or deleted at the discretion of the editors. If you wish to be identified by name, which will give your opinion far more weight and provide a far greater chance of being published, leave a telephone number so that identity can be confirmed. The number will not be published.