Milk Producer April 2016 | Page 6

DFO CHAIR’S MESSAGE By Ralph Dietrich WE ARE ALL IN THIS TOGETHER TO ENSURE INDUSTRY BENEFITS A s I write this month’s chair’s address, Dairy Farmers of Ontario’s (DFO) board has just approved the pricing regulation for Class 6 milk ingredients. This decision effectively implements the Ontario ingredients program, which started on April 1, 2016. It was an historic and important decision the board took very seriously. DFO is working with processors to transition to the new environment. The Canadian dairy industry is in a unique position. The interests of producers are of utmost importance to DFO. At the same time, DFO understands it plays a pivotal role in the entire industry and must consider what makes sense, as well as what works for its customers and industry partners to ensure a viable and growing dairy sector. The status quo was not an option. The industry needed to figure out a solution that could anticipate and embrace the fu- ture needs of the industry. The board’s primary objective is to create an environment for investing in an ingredient infrastructure to meet the market demand for butterfat. Another objective is to figure out how to stop selling millions of kilograms of skim milk for animal feed. There has always been, and continues to be, a preference for a national solution. However, in the absence of a national agreement (as of yet), DFO has moved ahead because it acted within provincial authority. In fact, Dairy Farmers of Manitoba (DFM) has announced it is adopting Ontario’s program with a planned Aug. 1, 2016 implementation. Manitoba is living the future Ontario producers don’t want. DFM is unable to issue the quota producers are entitled to, and is challenged with finding a home for a significant portion of the milk produced in the province daily. The solution is an ingredient class and competitive pricing for skim solids. DFO hopes more provinces join Ontario and Manitoba soon. This is not just about dairy farmers or dairy processors. We, dairy industry stakeholders, are in this together and we’ll have to help each other make it work. Ralph Dietrich, Chair Dairy Farmers of Ontario April 4, 2016 NOUS SOMMES TOUS CONCERNÉS PAR LA RÉUSSITE DE CETTE INDUSTRIE A lors que je rédige de message, le conseil d’administration du Dairy Farmers of Ontario