MARKETS
P
National pooling awaits next step
Farmers of Canada (DFC) involvement. In July, the provinces will also be asked to determine representatives who will initiate negotiations. National pooling discussions began in response to a report from the CDC and DFC on national pooling. Representatives from the two organizations had held extensive consultations with all provinces on the proposed pool. scheduled to address renewal of the Domestic Dairy Product Innovation Program (DDPIP). It was renewed in 2010 for one year only and the current mandate expires July 31. The DDPIP is aimed at boosting overall milk demand. It lets processors access milk to produce new and innovative dairy products outside of existing provincial plant supply allocations. Until last year, it was reviewed every five years. Last year’s approval was on the basis of DDPIP-associated production
rovincial representatives will be asked to validate a mandate and parameters for negotiating a national all-milk pool at the July meeting of the Canadian Milk Supply Management Committee (CMSMC). At its April meeting, the CMSMC struck a committee to draft a mandate and parameters for negotiating a pool involving all 10 provinces. The committee includes the chairs of the 10 provincial milk marketing authorities and is chaired by the Canadian Dairy Commission (CDC) with Dairy
Innovation program renewal
The CMSMC’s July meeting is also
P5 and Western Milk Pool blend prices*
The graph below shows the 12-month blend price for the P5 provinces and the Western Milk Pool (WMP).
*There is a two-month lag reporting these figures.
Solids non-fat to butterfat (SNF-BF) ratio
This graph shows Ontario’s SNF-BF ratio for the last 12 months in relation to Ontario’s target SNF-BF ratio of 2.2840.
2.45
78 76
Blend price in $/hL WMP $75.68 P5 $73.44
2.4
SNF-BF Ratio
2.35 2.3 2.25 2.2 2.15
74 72 70 68
2.2773
May 2010 June 2010 July 2010 Aug 2010 Sept 2010 Oct 2010 Nov 2010 Dec 2010 Jan 2010 Feb 2011 Mar 2011 Apr 2011
P5 blend price WMP blend price
Ontario’s SNF-BF ratio Target SNF-BF ratio
44 | June 2011 | MilkPRODUCER
May 2010 June 2010 July 2010 Aug 2010 Sept 2010 Oct 2010 Nov 2010 Dec 2010 Jan 2011 Feb 2011 Mar 2011 Apr 2011
Table of Contents for the Digital Edition of The Milk Producer - June 2011