OTTAWA, – The Canadian Dairy Commission (CDC) announced increases in the support prices for butter and skim milk powder that will be effective February 1, 2014.
The support price for butter will increase from $7.3379 to $7.4046 per kg, and the support price for skim milk powder will increase from $6.4170 to $6.4754 per kg. Support prices are the prices at which the CDC buys and sells butter and skim milk powder to balance seasonal changes in demand on the domestic market. They are also used as references by provincial marketing boards to price industrial milk used to make products such as yogurt, cheese, butter and skim milk powder.
“This 1% increase is in line with the consumer price index, which stands at 0.9%,” says Randy Williamson, Chairman of the CDC. “Over the last year, the cost of producing milk has increased by 1.75%. The CDC remains committed to undertaking new initiatives to grow the market for Canadian dairy products.”
Prices received by producers for fluid milk are determined by provincial authorities through a process independent of this announcement. The overall increase to producers may vary depending on the pricing decisions made by provincial authorities.
The carrying charges collected by the CDC to pay for the storage of normal butter stocks and the margin received by processors for butter and skim milk powder purchased by the Canadian Dairy Commission will remain unchanged.
The Canadian Dairy Commission, a federal Crown corporation created in 1966, is a key facilitator within the Canadian dairy sector. It is mandated to provide efficient dairy producers with the opportunity to get a fair return on their labour and investment, and to ensure that Canadian consumers are provided with adequate supplies of quality dairy products. The CDC helps design, implement, and administer policies and programs to address dairy producer and processor needs.
For more information, please contact:
Chantal Paul
Communications Services
Tel: 613-792-2040 / Cell : 613-790-0929
Email: [email protected]