Incentive Days Conventional – fall 2022
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Based on the analysis of anticipated market requirements and lower butter stocks outlook for the balance of 2022 the P5 Boards announce the following additional conventional incentive days to be issued on a non-cumulative basis for the fall of 2022:
1 days in September, 1 days in October, 1 days in November and 1 day in December.
The P5 board’s primary objective is to continuously monitor the milk market situation and meet demand in the most optimal way. Given these uncertain times we will continue to adapt production signals to address market changes, as required.
The table below provides a summary:
Incentive Days - Fall 2022
- Details
Based on the analysis of anticipated market requirements and lower butter stocks outlook for the fall 2022 the P5 Boards announce the following conventional incentive days to be issued on a non-cumulative basis for the fall of 2022:
1 day in August, 2 days in each of the months of September and October, and 1 day in November.
The P5 board’s primary objective is to continuously monitor the milk market situation and meet demand in the most optimal way. Given these uncertain times we will continue to adapt production signals to address market changes, as required.
The table below provides a summary of 2022 Incentive Days:
Welcome Back Lindy Brown!
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DFNB Staff and Directors are happy to welcome back proAction Coordinator Lindy Brown from her maternity leave. Lindy looks forward to reconnecting with producers over the coming weeks and months.
A big thank you goes out to Phillip Parlee who acted as the proAction Coordinator during Lindy's absence.
Important Update on Delivery of Tag Orders as of April 2022
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Important Update on Delivery of Tag Orders as of April 2022
Our tag manufacturer, Allflex, completed a Computer System Conversion in November 2021. Even though Allflex has restarted its production, they have not yet reached an optimal production rate to return to regular delivery turnaround times. The normal tag order delivery time frame is 3 to 4 weeks. Currently, delivery time is at 8 weeks, and this is expected to continue for future orders during the next few months as Allflex speeds up production to reduce the backlog of orders already placed.
Before your inventory gets too low, order your tags in advance allowing a lead time of 8 weeks before you will be out of tags.
What do I do if I am close to being out of tags?
If you are placing an order and your tag inventory is low, or have placed an order recently and are close to being out of tags and your new order has not yet arrived, contact the DairyTrace Customer Service representatives and they can assist you. I’m out of tags.
Will my proAction Livestock Traceability validation be impacted?
Whether you need tags to identify your calves for recording and reporting or have a proAction® validation coming up in the near future, contact DairyTrace Customer Service to assist you with your tagging needs. The DairyTrace Customer Service representatives are aware of the potential impact on farmers, and measures have been put in place to fast-track tag orders that are considered urgent.
DairyTrace Customer Service: Call 1-866-55-TRACE (1-866-558-7223) or email info@DairyTrace.ca
FPC Milk Quality Penalty Order
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January 1, 2022 the NB Farm Production Comission implemented the new Milk Quality Penalty Regulation
This is the common penalty system imposed on all producers from Ontario to Prince Edward Island.
This policy includes a shut off policy after multiple penalties.
We encourage you to become familiar with this policy to avoid this situation.
Penalty errors between January 1, 2022 and June 30, 2022.
The FPC recently discovered that they neglected to impose the new penalty rates between January 1, 2022 and July, 2022.
As a result, the FPC has informed those producers of that error and the additional penalties that are applicable.
The FPC has directed DFNB to collect those additional penalties from the affected producers on their July milk statement.
Milk Quality Regulation changes summary:
SCC, SPC, LPC penalties are triggered when the FPC determines that 40% of a producer’s SCC,SPC,LPC tests in any “3” consecutive month period exceeded (400,000; 50,000; 1,000):
Note: The first “3” month period will start November 1, 2021.
Financial penalties will be applied as follows:
1st penalty in 12 months results in penalty equal to 4% of the gross value of milk in the month that the penalty occurred.
2nd penalty in 12 months increases to 5% of gross value
3rd will be 6%
4th remains at 6% penalty and a minimum 6 day shutoff of milk pickups, pickups resume later of 6 days or when raw milk meets all milk quality standards.
5th continues with the 6% penalty and a minimum 12 day shutoff, pickups resume later of 12 days or when raw milk meets all milk quality standards and successful farm inspection.
6th has the 6% penalty and a minimum 24 day shutoff, pickups resume following Commission review of producer circumstances.
Added Water penalties are triggered when the FPC determines that a Producer’s test in any “1” month contained Added Water:
Financial penalties will be applied as follows:
1st penalty in 12 months results in penalty equal to 4% of the gross value of milk in the month that the penalty occurred.
2nd penalty in 12 months increases to 5% of gross value
3rd will be 6%
4th remains at 6% penalty and a minimum 6 day shutoff of milk pickups, pickups resume later of 6 days or when raw milk meets all milk quality standards.
5th continues with the 6% penalty and a minimum 12 day shutoff, pickups resume later of 12 days or when raw milk meets all milk quality standards and successful farm inspection.
6th has the 6% penalty and a minimum 24 day shutoff, pickups resume following Commission review of producer circumstances.
Inhibitor penalties are triggered when the FPC determines that a Producer’s test in any “1” month contained Inhibitors:
Financial penalties will be applied as follows:
1st penalty in 12 months results in penalty equal to 8% of the gross value of milk in the month that the penalty occurred.
2nd penalty in 12 months increases to 12% of gross value
3rd will be 16%
4th remains at 16% penalty and a minimum 6 day shutoff of milk pickups, pickups resume later of 6 days or when raw milk meets all milk quality standards.
5th continues with the 16% penalty and a minimum 12 day shutoff, pickups resume later of 12 days or when raw milk meets all milk quality standards and meets ProAction program requirements.
6th has the 16% penalty and a minimum 24 day shutoff, pickups resume following Commission review of producer circumstances.
Shut-Off Period
During a shut-off period a bulk tank milk grader shall not transfer raw milk from a farm bulk tank to a milk truck without the approval of the Commission.A producer wanting to be considered for a re-evaluation of a shut-off after a third shut-off must:Submit an application to the Commission to explain their exceptional circumstances and; Demonstrate that the appropriate measures have been taken to deliver raw milk that meets the applicable shut-off reinstatement requirements set out in this order.A producer who has been subject to a third shut-off period shall only be permitted to supply raw milk for distribution to a dairy plant if the Commission determines the producer’s circumstances to be exceptional and all applicable shut-off reinstatement requirements have been met.
P5 Message – Quota Increase April and Incentive Day Conventional May
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Based on the analysis of anticipated market requirements and lower butter stocks outlook for the balance of 2022, the P5 Boards have agreed to increase the saleable quota allocated to P5 producers by 2%, on April 1, 2022.
In addition, the P5 Boards announce one incentive day to be issued on a non-cumulative basis for the month of May.
The P5 provincial boards’ primary objective is to continuously monitor the milk market situation and meet demand in the most optimal way. Given these uncertain times we will continue to adapt production signals to address market changes, as required.
2022 Incentive Days:
March: 1 day
April: 1 day
May: 1 day
Farm gate milk prices to be increased
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OTTAWA, June 21, 2022
On May 27, 2022, Dairy Farmers of Canada asked the Canadian Dairy Commission (CDC) to review the price that farmers get for their milk due to the current inflation.
An important part of the CDC’s mandate is to provide efficient dairy farmers with the opportunity to obtain a fair return for their labour and investment. The CDC therefore agreed to review the request to determine if a price increase was warranted before next year.
After reviewing the points of view expressed during the consultations as well as economic data, the CDC recommends that on September 1, 2022, the farm gate milk price increase by $1.92/hl (less than 2 cents per litre). The increase in producers’ revenues will partially offset increased production costs due to inflation. Feed, energy, and fertilizer costs have been particularly impacted, with increases of 22%, 55% and 45% respectively since August 2021. Next fall, during the regular price review, the September 1 adjustment will be deducted from any adjustment for February 1, 2023.
In making its decision, the CDC considered possible impacts of a price increase on consumers and demand. Nutritious dairy products must remain affordable for Canadian families. Furthermore, dairy farmer revenue has improved in recent months, partly due to last February’s price increase and partly due to the rise in world prices, which affects a significant part of the milk that farmers sell on the domestic market.
The adjustment will increase by 2.5% on average the price for milk used in the manufacture of dairy products such as milk, cream, yogurt, cheese and butter intended for the retail sector and the foodservice industry. This increase will be reflected in the milk class prices according to a ratio of 60% on butterfat and 40% on other milk components. The net impact on consumers will also be influenced by factors such as transportation, distribution and packaging costs throughout the supply chain. The price paid to farmers is only part of the price paid by consumers.
In the last five years, the consumer price index for dairy increased by 7.7%. This compares to 14% for meat, 21% for eggs, and 32% for fish.
The CDC is grateful to the following stakeholders for presenting their views on a potential increase and the impacts a price adjustment would have on their sector: Dairy Farmers of Canada, Dairy Processors Association of Canada, Consumers’ Association of Canada, Retail Council of Canada, Canadian Federation of Independent Grocers and Restaurants Canada.
The new farm milk prices will become official once they are approved by provincial authorities in mid-July 2022.
For more information, please contact:
Chantal Paul Director, Corporate Services Tel.: 613-790-0929Email: Chantal.Paul@cdc-ccl.gc.ca
Web site: www.cdc-ccl.gc.ca
Producer Flexibility Sleeve Modification and Credit Exchange Changes Effective August 1, 2022
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Effective August 1, 2022 the producer flexibility sleeve will reduce from +10 to -30 days to +10 to -15 days. At this time all credits beyond -15 days will be lost. Producers who are in a credit position between -15 and -30 days will continue to recieve a letter with their statement informing them of their credit position.
As a result of the producer flexibility sleeve modifications the following adjustments will be made to the credit exchange parameters effective August 1, 2022.
Buyers: Producers who are in a positive (+) credit position ( 0 to +10 days)
Sellers: Producer who are in a negative (-) credit positions (-15 to 0 days)
Monthy limit: Lesser of 8 days or the number of days to buy or sell to 0, producer will not be able to sell or buy themselves beyond 0 days.
If you have any questions please do not hesitate to contact Ashley Baskin, Policy Analyst 506-432-4330 ext 105
Incentive Day Conventional – June 2022
- Details
Based on the analysis of anticipated market requirements and lower butter stocks the P5 Boards announce one incentive day on a non-cumulative basis to conventional milk producers for the month of June.
The P5 board’s primary objective is to continuously monitor the milk market situation and meet demand in the most optimal way.
The table below provides a summary:
Agropur Club of Excellence - Animal Welfare Award
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Agropur is proud to announce the launch of the 3rd edition of the Club of Excellence - Animal Welfare Award. This competition was created to recognize the concrete and exemplary actions in animal welfare implemented by Agropur members. It will be an opportunity to highlight the initiatives of our dairy producer members in the field of sustainable development.
During this competition, nominations will be evaluated by a jury made up of Agropur employees and experts in animal welfare.
Nominations must demonstrate the implementation of actions by members that:
1.Reflect excellent standards of animal welfare;
2.Can inspire producers to reproduce this model on their farm;
3.Project a positive image of the dairy industry to consumers.
The finalists and the Grand Champion will be recognized by our cooperative for their successes. In addition, the Grand Champion will be invited to an Associative Life event where they will be honoured for the time and effort devoted to animal welfare.
The nomination period for the Club of Excellence - Animal Welfare Award is now open!
To find out more or to download the nomination package visit the “Animal Welfare” section of the member’s extranet or send an email to cooperation@agropur.com.
Nominations must be submitted online before 4:00 p.m. EST Friday, April 8, 2022.
