Canadian dairy policy woes and the challenges faced by small-scale dairy farmers
Source: The DairyNews
Twin Springs Creamery, a budding dairy farm in Bloomington, is breaking the mold by processing its own milk on-site, a rarity in an industry where many small-scale farmers send their produce to separate facilities for processing.

With a focus on locally-sourced dairy products, operations like Twin Springs are gaining traction, catering to a growing consumer demand for transparency in food sourcing.
James Farmer, one of the owners of Twin Springs, emphasizes the importance of modern technology in empowering smaller farmers. Automation, particularly in the form of robotic milking technology, allows farmers to shift their focus from daily milking routines to diversifying their activities, such as establishing processing facilities and engaging in direct marketing.
The venture is made possible, in part, by financial support from the Dairy Business Initiative, which provided an $85,000 grant for essential equipment and marketing efforts. Farmer acknowledges that without this support, their on-site processing operation would not have been feasible.
Despite the encouraging development of farms like Twin Springs, the broader Canadian dairy industry faces challenges, especially for small-scale farmers. Steve Obert, executive director for Indiana Dairy Producers, notes that the state has just under 700 Grade A dairy farms, most of which operate through farmer-owned cooperatives. While these cooperatives have historically played a crucial role in the industry, they have also contributed to a consolidation that has marginalized smaller farms.
The prevailing model involves farmers acting as both shareholders and contractors within cooperatives, subject to meeting specific quotas to secure equity. Larger processors, such as Prairie Farms, O’Brien, and Dairy Farmers of America, dominate the landscape, often leaving smaller farms struggling to remain profitable.
Twin Springs Creamery's innovative approach stands as a beacon of hope, showcasing the potential for success in the face of industry challenges. As consumer preferences evolve towards supporting local and sustainable agriculture, the resilience and adaptability of small-scale dairy farmers become increasingly vital for the future of the Canadian dairy industry.
James Farmer, one of the owners of Twin Springs, emphasizes the importance of modern technology in empowering smaller farmers. Automation, particularly in the form of robotic milking technology, allows farmers to shift their focus from daily milking routines to diversifying their activities, such as establishing processing facilities and engaging in direct marketing.
The venture is made possible, in part, by financial support from the Dairy Business Initiative, which provided an $85,000 grant for essential equipment and marketing efforts. Farmer acknowledges that without this support, their on-site processing operation would not have been feasible.
Despite the encouraging development of farms like Twin Springs, the broader Canadian dairy industry faces challenges, especially for small-scale farmers. Steve Obert, executive director for Indiana Dairy Producers, notes that the state has just under 700 Grade A dairy farms, most of which operate through farmer-owned cooperatives. While these cooperatives have historically played a crucial role in the industry, they have also contributed to a consolidation that has marginalized smaller farms.
The prevailing model involves farmers acting as both shareholders and contractors within cooperatives, subject to meeting specific quotas to secure equity. Larger processors, such as Prairie Farms, O’Brien, and Dairy Farmers of America, dominate the landscape, often leaving smaller farms struggling to remain profitable.
Twin Springs Creamery's innovative approach stands as a beacon of hope, showcasing the potential for success in the face of industry challenges. As consumer preferences evolve towards supporting local and sustainable agriculture, the resilience and adaptability of small-scale dairy farmers become increasingly vital for the future of the Canadian dairy industry.