[Zarley]

Originally Posted by krynski

Yes, the quota system works so that a producer is paid for the milk that they are entitled to. I would challenge your source as to the milk being dumped. Over production usually results in financial penalties (which means they basically gets paid below average price for any extra product that is over supplied). I have heard of milk being dumped because of high microbial or contamination issues, which should be common practice.

From 2015:

"There have been days in the last couple of weeks when we have had to dispose of skim milk in lagoons,” DFO chairman Ralph Dietrich said in the letter. “Right now, we continue to be challenged on a daily basis and there is no obvious end in sight.”

Ontario farmers have produced 5.4-million litres of excess skim milk in the past month, according to DFO spokesman Graham Lloyd. Since late May, roughly 800,000 litres of milk has been poured into farm manure pits, called “lagoons.”

http://www.theglobeandmail.com/repor...ticle25030753/

Originally Posted by krynski

As someone who is closely linked to the supply management system, I am a full supporter. I am not a farmer nor part of the marketing board. The costs to operate and ensure a quality product are far higher in Canada, than in the US. You could factor in the need to provide heat in the winter (and with that, actually closed barns), the increased ingredient costs, etc as factors.

Which is exactly why we should be taking advantage of free trade to import items from places that can produce more them efficiently and focusing our efforts on producing the agricultural commodities that we have a competitive advantage in. The current system simply props up small inefficient farming operations at the expense of the consumer.