Overview of Canada's Dairy Industry
Canada stands as a key player in the global dairy market, known for its significant production outputs and advanced processing systems. The country maintains high standards in dairy production and exportation, making it a critical contributor to the global dairy supply chain.
Milk Production
With an annual production of approximately 93.5 million hectolitres of milk, Canada showcases its efficient and robust dairy infrastructure. This substantial output highlights its essential role in the global dairy supply chain.
Dairy Population
Canada is home to around 940,000 dairy cattle, predominantly located in Ontario, Quebec, and British Columbia. Additionally, the country boasts a growing dairy goat population of about 230,000, reflecting increasing demand for goat milk and cheese to meet niche market needs.
Milk Processing and Product Manufacturing
Canada processes around 92 million hectolitres of milk annually. The country produces approximately 515,000 tonnes of cheese each year, offering popular varieties like cheddar and mozzarella. Furthermore, it manufactures around 100,000 tonnes of milk powder and 30,000 tonnes of whey, underscoring its capability in diverse dairy product manufacturing.
Key Dairy Enterprises
- Saputo Inc.
- Agropur Cooperative
- Parmalat Canada
- Gay Lea Foods
Major Dairy Farms
- Eagle Ridge Dairy (Ontario)
- Valley View Dairy Farm (Quebec)
- Highland Farms (British Columbia)
Export and Import Trends
Canada exports approximately $400 million worth of dairy products annually, with key markets including the United States, China, and Japan. Exports to the U.S. are valued at around $488 million CAD in 2023. On the import side, Canada imports roughly $1 billion in dairy products each year, primarily from the United States, France, and New Zealand.
Recent Developments in the Dairy Market
Noteworthy events have recently shaped the Canadian dairy industry. Saputo Inc. is closing six U.S. facilities to streamline operations and increase cheese production capacity. Lactalis Canada endorsed a new Grocery Code of Conduct, and Sodiaal expanded its Canadian presence by acquiring General Mills' yogurt operations.
International trade dynamics pose challenges, particularly with the U.S., highlighting issues in supply management and export pricing strategies. Despite these challenges, Canada's protected supply management system remains resilient against international pressures, although future market access negotiations may present obstacles.
Butter export sales saw a remarkable 171% rise from the previous year, driven mainly by a surge in demand from Canada. The sale of Olortine Avenger Design, a four-year-old Holstein cow bred in Ontario, Canada, for $1 million underscores Canada's role in breeding valuable Holstein cows.
Canada and New Zealand recently reached an agreement on the dairy market access dispute under the CPTPP, with Canada agreeing to significant changes in administering dairy quotas. Frederic Guichard returned to Canada as the president of Danone Canada, addressing a crisis due to a listeria outbreak linked to the company's plant-based products. The Canadian government is actively involved in the Sustainable Canadian Agricultural Partnership, investing $4.4 million to support food safety and economic growth in the agri-food sector.
Modified: 2025/08/12