Canada’s supply management system is a model of stability which provides a fair price for farmers, stability for processors, and safe, high quality products for Canadians. This system ensures the viability of family farms and is the backbone of rural communities across the country.

“Our government strongly supports supply-managed sectors and, as promised, we are rolling out various programs to compensate producers and processors who have lost market share further to trade agreements. Today, we are announcing the terms of support for dairy, poultry and egg processors to promote investment in their operations and thereby improve their competitiveness and resilience.”

-       The Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food

“Canada’s supply-managed dairy, poultry and egg farmers are part of the backbone of rural regions from across Canada. With the launch of the Supply Management Processing Investment Fund, the Government of Canada is providing critical investments to accelerate the adoption of new automated equipment and technology for processors to improve their productivity and efficiency, and in turn increase their competitiveness and resilience.”

-       Francis Drouin, Parliamentary Secretary to the Minister of Agriculture and Agri-Food

“Dairy processors welcome the announcement of the Supply Management Processing Investment Fund, which will support the additional investments and innovations necessary for Canada's dairy processing sector to transition to new market realities resulting from additional market access concessions granted in trade agreements with Europe and Trans-Pacific countries. By supporting investments in processing plants, the Fund will help boost the competitiveness, productivity and long-term sustainability of the Canadian dairy industry.”

-       Michael Barrett, Chair, Dairy Processors Association of Canada

“We are pleased to see the government fulfill its commitment to support additional investments in poultry and egg processing plants as a means to mitigate the impact of market access concessions made in CPTPP. The Fund will leverage private investments in processing plants to boost productivity, respond to changing customer expectations and improve our industry’s efficiency, viability and competitiveness.”

-       Ian McFall, Chair, Canadian Poultry and Egg Processors Council

• Building on the nearly $2.7 billion already made available to compensate and support eligible dairy, poultry and egg farmers and the $100 million invested to help dairy processors, with today’s announcement, all CETA and CPTPP compensation programming has been launched. 

• The supply-managed sectors are significant contributors to Canada’s agricultural sector, generating in 2020 almost $12 billion in farm-gate sales and creating approximately 100,000 direct jobs in Canada in production and processing activities.

• In 2020, dairy and poultry processing activities alone contributed $24 billion to Canada’s manufacturing shipments, equivalent to 20 percent of Canada’s total manufactured shipments of food and beverage. 

• The Supply Management Processing Investment Fund was announced in Budget 2021 to support private investment in processing plants aimed at improving the competitiveness and maintaining the viability of Canadian agri-food processors of dairy, poultry and eggs.

• Projects from small- and medium-sized enterprises (SMEs) will be prioritized.

• AAFC may contribute up to 50% of the project cost for small- and medium-sized enterprises and up to 25% for large organizations of 500 employees or more. 

• Today’s announcement brings the total amount committed to compensate and support supply-managed sectors impacted by CETA and CPTPP to over $3 billion. This includes:

  • $1.75 billion through the Dairy Direct Payment Program;
  • $647 million through the Poultry and Egg On-Farm Investment Program;
  • $292.5 million through the Supply Management Processing Investment Fund;
  • $250 million through the Dairy Farm Investment Program;
  • $100 million through the Dairy Processing Investment Fund; and,
  • $44 million through the Market Development Program for Turkey and Chicken.

Related products

• Backgrounder: Supply Management Processing Investment Fund

Associated links

• Supply Management Processing Investment Fund
• Supporting Canada’s supply-managed sectors
• Minister Bibeau announces new programs that deliver full and fair compensation for chicken, turkey and egg farmers
• Government of Canada announces investments to support supply-managed dairy, poultry and egg farmers
• Poultry and Egg On-Farm Investment Program
• Market Development Program for Turkey and Chicken
• Dairy Direct Payment Program

Marianne Dandurand
Press Secretary
Office of the Minister of Agriculture and Agri-Food
marianne.dandurand@agr.gc.ca
343-541-9229

Media Relations
Agriculture and Agri-Food Canada
Ottawa, Ontario
1-866-345-7972
aafc.mediarelations-relationsmedias.aac@agr.gc.ca
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