Compensation available to Canadian dairy and poultry producers

The owner of a farm with 80 dairy cows will receive compensation in the form of a direct payment of approximately $38,000 per year.

Agriculture and Agri-Food Canada has sent letters to all eligible dairy producers with instructions on how to access payment. Based on their milk quota, dairy producers will receive compensation payments totaling up to $469 million for this fiscal year. To receive their payment, producers must register with the Canadian Dairy Commission by March 31, 2022. Another $468 million will be available in 2022-23.

The Government of Canada continues to deliver on its commitment to provide $1.75 billion to dairy farmers for market access concessions granted under the Comprehensive Economic and Trade Agreement (CETA) between Canada and the European Union and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) . Payments are being made on an accelerated schedule of four years instead of eight, with all payments to be made by 2023.

Earlier this year, the government also launched compensation programs designed to spur innovation and market development for Canada’s 4,800 producers of chicken, eggs, broiler hatching eggs and turkey, totaling $691 million over ten years. The On-Farm Poultry and Egg Investment Program will provide nearly $647 million to support poultry and egg producers through on-farm investments. The Turkey and Chicken Market Development Program will provide over $44 million to help increase domestic demand and consumption of Canadian turkey and chicken products through industry-led promotional activities. These programs respond directly to requests from producer associations and provide full and fair compensation for the impacts of the CPTPP on the market.

To help processors of all supply-managed agricultural products adjust to CETA and the CPTPP, Budget 2021 proposed an additional $292.5 million for an investment fund for processors to support private investment in processing plants. Further details on the program should be available in the coming months.

Over the next year, the Government of Canada is also committed to working with supply-managed sectors to determine full and fair compensation for the impacts of the Canada-United States-Mexico Agreement. (ACEUM).

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