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Does the Canadian dairy industry’s way of pricing products encourage overproduction?

April 26, 2017Canadian Dairy ENCOURAGE Industry overproduction pricing products

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Does the Canadian dairy industry’s way of pricing products encourage overproduction?

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Unlike price support in other countries, supply management in Canada ensures that total production responds to the Canadian demand for poultry, egg and dairy products. Each producer fills a part of the demand (quota) without producing more than what is needed in Canada.