Dave Loewith is the co-owner of Joe Loewith & Sons conventional dairy in Jerseyville. – Lucas Oleniuk , Toronto Star file photo
Recent international trade agreements will have a greater impact on producers than consumers, according to Dave Loewith of Summitholm Holsteins.
Loewith, who operates a 71-year-old dairy farm with his brother Carl and Carl’s son, Ben, estimates Canadian dairy farmers could lose 10 per cent of the market following the full implementation of recent trade pacts. Those deals include the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, the Canada-European Union Comprehensive Economic and Trade Agreement and the yet-to-be ratified United States-Mexico-Canada Agreement (USMCA).
While the trade deals may result in a lower price paid to producers, Loewith doesn’t foresee a major shift for consumers.
“The main impact will be maybe a bit of a shrinking marketplace for us,” said Loewith. “Some potential growth is maybe gone. But I really believe, at the consumer level, you will not see any difference. You’re not going to see a cheaper milk price or anything like that.”
For the last several years, the Loewith farm has opened its gates to the community during the holiday season, to give urban residents a taste of life on a working dairy farm. Summitholm is one of the largest dairy farms in the Hamilton area, with about 480 milking cows and 1,000 cattle in total, plus 800 crop acres. The farm produces about 19,000 litres of milk daily, or as Loewith put it, enough milk to last an average family 27 years.
Loewith said the annual tour clears up common misconceptions, like the belief the animals are poorly treated, or the assertion that store-bought milk contains antibiotics.
“If there’s any antibiotics in (the milk), the cultures can’t grow. You can’t make cheese; you can’t make yogurt,” Loewith said.
Loewith said the cows are well cared for, with automatic brushes in the barns, regular health checks and foot care once a month.
Canada’s Food Price Report, compiled by researchers at Dalhousie University and the University of Guelph, confirms that dairy prices are expected to remain relatively stable in 2019.
Prices are anticipated to rise between zero and two per cent.
“While we see much attention being paid to Canada’s dairy sector, all five supply-managed agricultural sectors will suffer setbacks due to the USMCA,” the report’s authors state.
According to the report, the annual food expenditure for the average Canadian family is expected to increase by $411 in 2019, to $12,157.
Source: thespec.com
