Supply Management
Supply management is a unique Canadian approach to agricultural production. Supply management benefits consumers, processors and the economy, while ensuring fair returns for Canadian turkey farmers.
Turkey farmers work together under supply management to match what they grow with what consumers need and want. The industry can prevent surpluses or shortages in the market by planning production, ensuring Canadian consumers have access to a reliable supply of high-quality Canadian turkey products year-round.
Supply management relies on three critical and equally important pillars to ensure the system works effectively and efficiently.
Production Planning Pillar
Turkey farmers plan their production to produce a steady supply of quality food that efficiently meets changes in consumer demand. Quotas for turkey grown are administered by regulation at a provincial and national level.
Import Control Pillar
Farmers need to know how much turkey is being imported, so they can plan their production to meet Canada’s needs without creating a surplus. The Canadian Government, through various trade agreements, has committed to managing the volume of imports allowed into Canada.
Producer Pricing Pillar
In Canada, farmers in each province collectively negotiate minimum farm-gate prices for turkey with processors through their Provincial Marketing Board. Prices are based on production costs (feed and poult primarily) and market conditions, including consumer demand, turkey meat inventories (how much turkey meat is on hand in the marketplace).
Turkey producers do not rely on taxpayer subsidies. The orderly marketing system is funded by a levy that is paid by turkey farmers on each kilogram of turkey marketed.
The stability provided by supply management allows turkey farmers to earn fair returns from the marketplace. Because of supply management, turkey farmers can reinvest in their farms, upgrade their operations and support communities across Canada.