I agree with much of this and am still preparing for SM policies for grains by next year. Would have been this year if not for planting fiasco. https://t.co/cJLXWd2lwO— John Phipps (@jwphipps) October 1, 2019
1 - SM, by fixing parity prices for commodities, won't help specialty producers. Palouse lentils, hoop-house raised heritage hogs, organic arugula won't get meaningful price parity (using differentials from marker prices? See how well it worked for OPEC in the 70s) 2/n— Silvia Secchi (@ProfSecchi) October 1, 2019
Canada has had supply management.
The Farm Bureau didn't like the idea of a government program in the spring.
Here's a more recent article on it.
My own thoughts are:
- I think supply management would slow the exit of farmers (perhaps fewer bankruptcies and more sell-offs when retiring) but aren't a magic bullet. There's value in slowing the exits, both in impact on the farmers and their communities and perhaps in allowing more time to find niche alerantives to the commodity milk market.
- I'm not sure why alternative "milks" have gained so much market share--price or perceived health benefits or animal welfare concerns If it's price, supply management would shift demand out of milk.. At least it improve the outlook for those alternatives.
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