Posted by RodInNS on August 09, 2009 at 18:40:17 from (216.118.158.123):
In Reply to: Re: Milk Prices posted by TomH in PA on August 09, 2009 at 07:30:26:
No... the CDC doesn't deal with that. Supply management is administered by producer organizations, elected from our own ranks, in each province except British Columbia. These organizations are responsible to administer the 'Dairy Act' which is the provincial legislation... If anyone thinks they're going to start shipping milk without quota they will quickly find themselves in court, and they will lose in court. If you want in, you buy quota and have your premisis approved for use, pickup etc.
The main function of the CDC, that I'm aware of at least... is setting the support prices for milk according to our class system. Our producer organization is then responsible to allocate that milk to be used in a cascading class system where it is sold into the highest value classes first, then cascades on down into the lower value classes.
As far as day to day operation of the dairy industry is concerned, the government has very little to do with it, and deliberately so. We've been given the power to manage it, and they stay out. Particularly in the financial sense... as there are no subsidies of any kind for dairy operations.
The sad thing today is that the world prices are so low that we are presently in a position where our tariff walls are vunerable to breach in both fluid and butter... I'd hate to have to produce the milk that could come in here at a profit over a 300% tariff wall.
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