Search
Better Farming OntarioBetter PorkBetter Farming Prairies

Better Farming Ontario Featured Articles

Better Farming Ontario magazine is published 11 times per year. After each edition is published, we share featured articles online.


Canada's dairy industry urged to tackle dairy export caps in trade negotiations

Thursday, June 11, 2015

by SUSAN MANN

When it comes to trade in dairy products, Canada is stuck between a rock and a hard place.

On the one hand, the Canadian dairy industry is facing ever increasing duty-free imports of milk protein isolates from the United States. Furthermore, Canada doesn’t have a method that complies with World Trade Organization rules to control the imports, according to a policy note released Thursday by independent research firm, Agri-Food Economic Systems. The company is based in Guelph.

The note’s authors are Al Mussell, research lead, Kamal Karunagoda, research associate, and Douglas Hedley, associate.

Processors use the milk protein isolates as ingredients in cheese, yogurt, protein bars, meal replacement powders and sports nutrition products. Use of imported product is displacing protein from Canadian-produced milk.
 
Imports of milk protein substances from the United States grew to 14,000 tonnes in 2014 from just under 4,000 tonnes in 2010, according to a chart in the note.

The duty-free imports into Canada have the potential to further increase once the Canada-European Union Comprehensive Economic and Trade Agreement commences in three to four years and also under a Trans-Pacific Partnership Trade agreement.

One way the industry can deal with the imports is to use the Trans-Pacific Partnership trade talks going on now to explore loosening the caps on dairy exports imposed on Canada after it lost a challenge at the World Trade Organization in 2003.

“I worry about a future hard landing for the Canadian dairy industry with increasing imports and without increased export access,” Mussell says in the note.

In an interview, Mussell says the dairy industry’s efforts through its ingredients strategy to deal with increasing milk proteins imports “is a pretty bold shift in dairy policy. It’s still to be negotiated with the processors so the outcome of that process isn’t yet known.”

The dairy industry is “well aware” of the problem and is undertaking measures to address it, he adds. “I hope we can change fast enough.”

Mussell says Agri-Food Economic Systems policy notes are non-commissioned and are on matters of importance to the agricultural industry. The firm tries to release one each month. BF

Current Issue

September 2025

Better Farming Magazine

Farms.com Breaking News

Festival of Guest Nations returns to Leamington

Thursday, September 18, 2025

On Sunday, September 14, 2025, Seacliff Park in Leamington, Ontario, will come alive with music, food, and celebration as the Festival of Guest Nations returns to honour the migrant worker communities who play a vital role in Essex County’s agricultural economy. With more than 20 years... Read this article online

Augusta Van Muyen selected as the 67th Grape King

Wednesday, September 17, 2025

Grape Growers of Ontario and Farm Credit Canada have announced that Lincoln vineyard manager Augusta Van Muyen has been chosen by her peers as the . Currently, the vineyard manager at Tawse Winery, Van Muyen, followed a path to success that took her across Ontario and the world.... Read this article online

Strategies to Optimize Market Returns in Ontario

Monday, September 15, 2025

Berkley Fedorchuk, grain marketing specialist with Hensall Co-op in Southwestern Ontario, recently shared insights into the current corn market and strategies for forward marketing during his presentation at the . With a focus on the Ontario and Eastern Canadian grain sectors,... Read this article online

BF logo

It's farming. And it's better.

 

a Farms.com Company

Subscriptions

Subscriber inquiries, change of address, or USA and international orders, please email: subscriptions@betterfarming.com or call 888-248-4893 x 281.


Article Ideas & Media Releases

Have a story idea or media release? If you want coverage of an ag issue, trend, or company news, please email us.

Follow us on Social Media

 

Sign up to a Farms.com Newsletter

 

DisclaimerPrivacy Policy2025 ©AgMedia Inc. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Back To Top