What is Supply Management?
The Canadian turkey market is operated under a Canadian system called supply management.
Supply management helps to ensure that farmers have a voice in the marketplace, while benefiting consumers, processors, governments and taxpayers.
With supply management, farmers work together to match what they grow with what consumers need and want. Consumers get good value for their money: a reliable supply of quality food at reasonable prices. Farmers receive their returns from the marketplace without relying on subsidies or taxpayer dollars.
The Canadian market is also open to a predictable level of imported food.
- Supply management works.
- By matching production to Canadian demand, the system is able to satisfy consumer demand while ensuring stable prices for consumers and fair returns to Canadian turkey farmers.
- Under supply management, farmers can earn a fair return over time, allowing them to re-invest in their farms and continually upgrade production systems.
- The investment helps ensure that Canadians enjoy safe, high quality turkey products at good prices year round – from Canadian farms.
Supply management is founded on three critical and equally important pillars. If one pillar is weakened, supply management as a whole is weakened.
- Import Controls Pillar
- Matching supply with demand for food allows Canadians to count on stable food prices. This, along with the predictability of imports, ensures that it is possible to make a living in agriculture.
- Producer Pricing Pillar
- In Canada, farmers collectively negotiate minimum farm gate prices for milk, poultry and eggs. By acting together, farmers negotiate a fair price for their products based on what it costs to produce them.
- Production Planning Pillar
- Under supply management, turkey farmers plan their production to produce a steady supply of quality food that efficiently reflects changes in consumer demand. This prevents sudden price shifts as products move from farm to plate.