The CDC achieves its mandate through a wide range of activities. It operates in close co-operation with provincial authorities and various industry stakeholders by providing ongoing support through its chairmanship of and work for the Canadian Milk Supply Management Committee (CMSMC).
As a national Facilitator and chief administrator, the Canadian Dairy Commission undertakes a number of activities and programs, including:
Under this program, milk components are made available by provincial boards for use in the manufacturing of dairy products and products containing dairy ingredients according to product end use at prices which allow processors, exporters and further processors to remain competitive on domestic and international markets. The volume of dairy components accessed under the Special Milk Class Permit Program is managed through permits issued by the CDC, which administrates the program on behalf of the dairy industry. A formula, developed in consultation with industry and approved by the CMSMC, establishes the various Special Milk Class price levels.
These programs allow the CDC to work with the private sector to balance the seasonal demand and supply of products for the domestic market. When milk production exceeds requirements for the Canadian market, the CDC buys butter and skim milk powder from processors at established support price levels. Support prices are also used as a guide by provincial milk marketing boards and agencies when they establish provincial milk class prices.
First implemented in 1989 for a five-year period, the Domestic Dairy Product Innovation Program was renewed in July 1999 by the Canadian Milk Supply Management Committee (CMSMC) and is approved until July 31, 2005. The program is intended to add flexibility to the national industrial milk supply management system by providing an amount of milk outside of provincial milk allocation quotas for the introduction of new and innovative products on the domestic market.
In October 2000, the Canadian Dairy Commission (CDC) introduced a new Dairy Ingredient Marketing Program (DIMP) to promote increased awareness and utilization of Canadian manufactured dairy ingredients. As part of this initiative, in 2001 the CDC launched a Web-based bilingual information centre devoted to dairy ingredients. MILKingredients.ca was a concept that was designed and developed in collaboration with dairy product manufacturers, suppliers and various industry associations. Its guiding principles are Information, Interaction, Innovation.
After almost 4 years in operation, MILKingredients.ca has gone from six hundred visits in August 2001, to an average of 7,000 visits per month. The site is continuously updated with original content and information that is tailored to the needs of Canadian dairy product manufacturers, food processors and industry partners. It includes technical profiles on dairy ingredients, a Canada-wide directory on ingredient manufacturers and suppliers, industry related R&D programs, and a "Members only" section featuring specialized market reports.
The CDC is committed to supporting an environment which fosters innovation and growth in the manufacture and use of Canadian dairy products. In October 2004, to promote these objectives, the CDC introduced two new funds and updated the mandate and title of its previous Dairy Ingredient Marketing Program (DIMP) to the Dairy Marketing Program. This change more accurately reflects the CDC's commitment to supporting dairy product and component manufacturers, as well as further processors.
The CDC also has the authority to purchase, store, process or sell dairy products within Canada' s World Trade Organization (WTO) commitments.
The Commission determines support prices at which it will purchase butter and skim milk powder. These support prices are used as references by provinces to establish prices for milk used to manufacture products such as butter, cheese and ice cream.
Audits are performed by the CDC on its systems and practices. Audits are also performed of companies participating in the Special Milk Class Permit Program.
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