Did you know that supply management is a Canadian success story? The concept was conceived here in the 1960s following a period of market volatility as a way to ensure a fair return for farmers and to meet domestic demand. Officially established in the 1970s, dairy, egg and poultry farmers operate under supply management today.
Supply management also creates many jobs on and off the farm – including veterinarians, animal nutrition experts, feed and equipment suppliers, truck drivers, inspectors, processors, retailers and administrators – just to name a few! In fact, Canada’s supply-managed sectors create the combined equivalent of 339,000 full-time jobs and contribute $30.1 billion to Canada’s GDP.
To better understand supply management, it helps to break it down into three important pillars that deliver fairness for consumers, farmers and Canadians:
The right amount of food is produced to meet consumer needs
At its core, supply management is about teamwork because farmers work together, agreeing to terms and conditions that provide a stable and predictable supply of high-quality dairy. This helps consumers trust that the food they love will be available when they need it. Being efficient like this is important because it creates a balanced and robust industry – something that is a priority for consumers and farmers alike.
Supply management offers a fair return for farmers and a stable price for consumers
Farmers collaborate to sell processors the milk, poultry and eggs they produce at a price that reflects their costs of production. This creates a fair return for farmers, but it also helps create stable prices for consumers. What’s more, if you consider how countries that don’t use a supply management system have to provide extra support for farms through subsidies, such as the U.S., it means, Americans pay twice for their dairy: once as taxpayers, and again as consumers.
Foreign imports are limited to ensure Canadians have access to healthy, safe, homegrown food
Limiting foreign access to our market helps ensure a predictable amount of imports. Canadians also don’t have the added worry of wondering if those imports meet the same high standards we have here. The pandemic, in particular, demonstrated how important a stable supply of homegrown food is during times of crisis, when access to our borders may be limited. The dairy sector’s agile response to challenges caused by the pandemic is just one example of how effective Canada’s system of supply management is.
Supply management is here for Canada and here for Canadians. From farm to fork, Canadian dairy, eggs and poultry meet some of the world’s most stringent standards. What’s more, the peace of mind that comes from supply management allows farmers to invest in forward-thinking practices and facilities to produce some of the best food on the planet, right here at home.
While it can seem complex at first, when you think about it, what supply management means for Canadians is quite simple: supply management makes sure farmers can feed fellow Canadians and feed their families, too.
Learn more about supply management here
