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Dairy farmers of Canada: CDC announces an advance adjustment to farmgate milk prices

Published on 28 July 2022

CDC announces an advance adjustment to farmgate milk prices

On June 21, the Canadian Dairy Commission (CDC) announced a 2.5% increase in the farmgate prices for milk, to be implemented on Sept. 1. This increase comes after DFC made a request for an advance adjustment from the CDC.

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Normally, the CDC adjusts dairy farmgate prices once a year to reflect changes in the production cost. This adjustment is based on numbers from the past year and does not reflect the current prices of inputs, which are skyrocketing. In less than a year (July 2021 to March 2022), costs have risen dramatically for fertilizer (up 44%), fuel (up 32%) and animal feed (up 8%), just to name a few. The upward pressure on costs is expected to continue, and our current once-a-year pricing methodology creates a gap between the true costs of producing milk today and the next annual adjustment.

The advanced increase in milk pricing serves as recognition from the CDC that farmers have been under pressure as a result of these input costs.

Now more than ever, Canadians understand the importance of producing more of our food within our borders. The past few years have demonstrated how vulnerable our food systems are to issues like the pandemic, global supply chain disruptions, labour shortages and extreme weather events.

Given the role our sector plays in meeting the need for nutritious, domestically produced food, not to mention the jobs and investment that are supported by our sector, we need to keep dairy farming from becoming a losing proposition.

Speaking with a common voice is the best way for us to ensure the integrity of the Canadian dairy industry remains intact. We are stronger together, and it is imperative that we unite on issues like these.

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Latest DFC ad campaign a ‘rallying cry’ for sustainable agriculture

DFC has launched a powerful new advertising campaign promoting its ambitious target to reach net-zero greenhouse gas emissions (GHG) from dairy farms by 2050. DFC’s “I’m In” campaign builds upon the longstanding commitment of dairy farmers as stewards of the land and demonstrates how innovation is taking place on farms to achieve the sustainability goal. Throughout the campaign, real farmers proudly demonstrate their actions to protect the environment by declaring “I’m in!” for DFC’s Net Zero 2050 goal.

“I’m In” shines a light on sustainable strategies being undertaken by Canadian dairy farmers, through the sector’s robust quality assurance program, proAction, as well as other initiatives and innovations including a focus on soil health and water retention, plastics recycling, renewable energy and enhanced biodiversity. Highlighting these efforts are real farmers – who, for decades, have been making improvements that are beneficial for the farm and the environment – telling their own stories as they work year-round to produce high-quality, safe and nutritious milk.

Canadians can continue to put their trust in dairy farmers who share their experience with real-life projects such as sustainable cropping practices (regenerative agriculture), wetland restoration, tree planting, carbon sequestration and more.

The campaign will run from July 1 to Aug. 12 on televised and digital platforms, with strong influencer participation geared towards millennials and Gen Z’s.

To view the campaign, visit Dairy Farmers of Canada - Net Zero 2050

DFC’s 2022 annual general meeting a hybrid gathering

On July 13 and 14, DFC hosted its annual general meeting (AGM). While not all of us could come together in person due to pandemic safety measures, we welcomed provincial delegates at the Westin Hotel in Ottawa and met virtually with other attendees over the two-day conference.

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The event’s theme, Dairy Farming Forward, focused on key issues and discussions with a lens once again on sustainability. There continue to be challenges for our industry, from rising costs to trade disputes, but with those come opportunities, and we know the resilient spirit of our farmers will rise to these occasions as we always have.

Highlights from the AGM will be available in the next issue of Progressive Dairyend mark

Dairy Farmers of Canada (DFC) is the national policy, lobbying and promotional organization representing Canadian dairy producers. DFC strives to create stable conditions for the dairy sector in our country. It also seeks to maintain policies that promote the sustainability of Canadian dairy production and promote dairy products and their health benefits. Visit Dairy Farmers of Canada for more information.

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