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Supply Management System
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Glossary
NFPC

 

The language of supply management
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Levy:
An amount of money paid by producers to a provincial or territorial commodity board and national agency to support their administrative and marketing operations.

National marketing agency:
Regulates the marketing of farm products interprovincially and in export trade. Created through federal legislation, national marketing agencies establish and allocate quota, promote products, raise funds through levies, and license marketers. Four national marketing agencies have been established since 1972: the Canadian Egg Marketing Agency, the Canadian Turkey Marketing Agency, Chicken Farmers of Canada and the Canadian Broiler Hatching Egg Marketing Agency. They are all supervised by the National Farm Products Council.

Provincial or territorial commodity board:
Coordinates the marketing of farm products within a province or territory and is created through provincial or territorial legislation. Commodity boards help farmers develop new markets, monitor and improve the quality of their products and increase productivity through research and the promotion of new production and management techniques. There are more than 100 commodity boards in Canada, each with different powers and roles. Each provincial or territorial commodity board is supervised by the provincial or territorial supervisory board.

Provincial (or territorial) supervisory board:
A provincial (or territorial) government organization mandated to supervise the operation of provincial (or territorial) commodity boards within a province (or territory).

Quota:
The volume of product that a registered producer is entitled to produce during a specified period of time.

Supply management:
a marketing system where producers control the production (supply) of a particular commodity (product). The basic idea behind supply management is to make sure domestic demand is met, while ensuring a reasonable return for producers and stable prices for consumers. Through a federal-provincial-territorial agreement, national marketing agencies and provincial or territorial commodity boards jointly exercise the authority to determine the amount of commodity which may be produced.

 

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Date modified:  2004-11-17

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