OTTAWA — Canadian dairy producers can now collect their third annual instalment of the Dairy Direct Payment Program (DDPP), a sum of about $38,000 for a typical 80-cow dairy herd (or $475 per cow). A fourth and final payment of a similar amount is also lined up for 2023 as the federal government disburses a total of $1.75 billion to the country’s dairy farmers.
The money comes as compensation for market access granted to foreign milk under the Canada-European Union Comprehensive Economic and Trade Agreement as well as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
To receive their payment, producers must register through the Canadian Dairy Commission before March 31, 2022.
Payments are being made on an accelerated schedule of four years instead of eight, with all payments set to be made by 2023.
Federal Agriculture and Agri-Food Minister Marie-Claude Bibeau also said Dec. 10 that Ottawa will follow through with its promise to finalize compensation for the Canada-U.S.-Mexico trade agreement in the coming year — for dairy farmers and other supply-managed sectors.
Earlier this year, the Trudeau government also launched compensation programs designed to help drive innovation and market development for Canada’s 4,800 chicken, egg, broiler hatching egg and turkey producers, totaling $691 million over ten years. The Poultry and Egg On-Farm Investment Program will provide nearly $647 million to support poultry and egg farmers through on-farm investments. The Market Development Program for Turkey and Chicken 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 market impacts from the CPTPP.
To help processors of all supply-managed agricultural products adapt to CETA and CPTPP, Budget 2021 proposed a further $292.5 million for a Processor Investment Fund to support private investment in processing plants. Further program details are expected to be available in the coming months.
Canada now has trade agreements with two-thirds of the world’s economy and is the only G7 country to have trade agreements with every other G7 country.