The P5 Board approved a five per cent saleable quota increase effective July 1, 2017, announced the Dairy Farmers of Ontario on June 16. The board is comprised of the five provinces, Ontario, Quebec, Nova Scotia, New Brunswick and Prince Edward Island.
“This decision is intended to ensure P5 milk production continues to fill all current demand, as butter stocks have not surpassed their updated target level of 35,000 tonnes. Demand for dairy products continues to be strong while P5 processing capacity has increased since the beginning of April but continues to be closely monitored,” as stated from the DFO.
“The butter stocks are close to 31,000 tonnes but not yet at the target level which is now 35,000 MT. If butter stocks reached the new target level by July 2017, this will favour supplying further processors with Canadian butter during 2017-2018 DY. This market, equivalent to more than 10,000 MT per year, has been supplied from supplemental imports for many months,” noted in a Dairy Farmers of Nova Scotia release.
The quota increase will not affect incentive days for conventional or organic.