On Tuesday, Ottawa announced $7.5 million in funding for the Dairy Farmers of Canada to help support sustainable development in the dairy industry.

DFC will look at ways to improve the environmental and economic sustainability, and resilience of the Canadian dairy industry by developing and implementing
plans to reduce greenhouse gas emissions and sequester carbon, while improving the health and welfare of cows and the quality of the milk produced.

The funding is being made available through the AgriScience Program – Clusters Component, under the Sustainable Canadian Agricultural Partnership.

Research activities through the Cluster Component focus on Climate Change and Environment; Economic Growth and Development; and Industry Resilience and Societal Changes.

The outcomes are intended to help the industry achieve its goal of reaching net-zero greenhouse gas emissions from dairy production by 2050. 

Dairy Farmers of Canada welcomed the funding for the Dairy Research Cluster 4: For a sustainable dairy sector.

They note that the Dairy Research Cluster 4 builds on the success of three preceding Dairy Research Clusters, as well as on a five-year strategic vision for the dairy sector. 

Pierre Lampron, President of Dairy Farmers of Canada says the investment is another important step towards Dairy Net Zero and Canadian dairy farmers' continued work on furthering a sustainable dairy sector.

Research projects will focus on:

  • GHG reduction
  • Carbon sequestration
  • Addressing antimicrobial use and resistance and animal health
  • Genetic improvement
  • Innovation and eco-efficient dairy processing
  • Other areas of research and development

Investments will be made in 13 research projects to address DFC's strategic research priorities identified in the National Dairy Research Strategy. 

Ottawa also announced the details for the fifth compensation payment under the Dairy Direct Payment Program.

This fifth payment will begin compensation of up to $1.2 billion over six years to account for the impacts of the Canada-United States-Mexico Agreement (CUSMA).

Following consultation with the dairy industry, the government has set August 31st as the program's calculation date.

That will means that producers of cow's milk must hold a valid dairy quota licence registered with a provincial milk marketing board or agency on August 31 in order to be eligible for a payment that year.

Ottawa says setting the date earlier in the year (previous years used an October 31 date) will ensure producers have more time to sign up before the deadline and may receive their payment sooner.

Agriculture and Agri-Food Canada will be sending letters to all eligible producers in the fall with the program registration details, with payments to follow once a producer completes their registration.