Quarterly Canadian Milk Production Update – Jan ’21
Executive Summary Canadian milk production figures provided by Statistics Canada were recently updated with values spanning through the end of the first quarter of the ’20-’21 production season. Highlights from the updated report include:
- Canadian milk sold off farms increased on a YOY basis for the 13th time in the past 15 months during Oct ’20, finishing up 0.7% and reaching a record high seasonal level. ’19-’20 annual Canadian milk sold off farms increased 0.7% on a YOY basis, reaching a record high annual level.
- The Canadian milk cow herd has plateaued over the past several years following significant declines experienced since the beginning of the Canadian dairy supply management system. The Canadian milk cow herd declined to a three year low seasonal level as of Jul 1st, 2020, but finished just 0.1% below the previous year.
- The USDA expects Canadian net exports of skim milk powder/nonfat dry milk will decline to a five year low level throughout 2021, aided by the elimination of the Class 7 milk class as part of the United States-Mexico-Canada Agreement (USMCA). USMCA was entered into force July 1st, 2020.