1. A Canadian Dairy Perspective ~ Christina Crowley-Arklie

2. Demographics of the Industry

3. A Geographical Perspective Population= 35 million people & 1 million cows

4. Dairy Farming by Province

5. Cow Population by Breed

6. Average Canadian Dairy Farm Herd Size = 77 cows in milk 1 cow = 9,774 kg of milk per lactation in 305 Average of 3.84% fat and 3.22% protein Demographic of Canadian dairy farmer = 45-55 years of age

7. Tie-StallFree-Stall Robotic Rotary Parlour Free Stall 22.7% Robotic 5.6%

8. Dairy Barns by Type & Province

9. Feed Management- the ‘Canadian Reality’

10. Canada’s Milk Marketing System

11. Adopted the system of supply management in the early 1970s Founded on 3 pillars: production; pricing; and imports (border control) A quota must be purchased by farmers that allow them the right to ship milk. 5 other commodity groups operate in Canada under supply management: dairy, eggs, turkey, chicken, and broiler hatching.

12. Canada’s Milk Marketing System The price of quota in each province is different and is set by the local milk marketing board (i.e. Dairy Farmers of Ontario). A stable and fair price received by Canadian dairy farmers helps maintain family farms; provides a stable income month to month; and ensures the production of a high-quality product. No cost to Government, entire value-chain is profitable (farmers, processors, distributors/ retailers) and consumers benefit

13. Production Principle

14. Price Stability

15. Representing Dairy Farmers across Canada Canadian Dairy Commission (CDC) Canadian Dairy Information Centre (CDIC) Dairy Processors Association of Canada (DPAC)

16. Dairy Processors in Canada- 2014

17. Canadian Dairy Trade Balance

18. Myths vs. Reality 1.Canadian consumers pay more for milk. 2.Canadian dairy farmers receive subsidies. 3.Supply management impacts trade.

19. Breed Improvement & Genetics

20. Canadian Dairy Network Breed Organizations (Holstein Canada, Jersey Canada, Canadian Milking Shorthorn, Ayrshire Canada)

21. Registration & Key Stats 293,640 animals across all breeds Holstein being the largest (277,000) with Quebec having greatest # of registrations 267,063 (90.9%) animals registered by AI sires 16,584 (5.6%) animals registered by embryo transfer

22. Registrations by Source Offered by Holstein Canada

23. Farmers Taking to Technology & Social Media 7,488 Select Sires followers (5,423 Twitter & 2,065 Facebook) 9,241 Holstein Canada followers (5,648 Twitter & 3,593 Facebook) 3,763 CDN followers (1,857 Twitter & 1,906 Facebook) 4,805 DFC followers (3,484 Twitter & 1,321 Facebook)

24. Milk Recording Canwest DHI founded in 2004 to service Ontario and western Canada 4,041 herds (74.5% herd enrollment) Valacta founded in 2006 to serve Quebec and Atlantic Canada regions Serve 5,400 herds

25. Genetic Evaluations Offered by Canadian Dairy Network Primary genetic selection tool used to rank dairy bulls and cows in Canada Currently one index: Lifetime Profit Index (soon to be Lifetime Performance Index) Second genetic index to be introduced Aug 2015: Pro$ LPI (for Holsteins) Production (Protein and fat yield, deviations) 51% 40% + Durability (Mammary, feet & legs, herd life, dairy strength) 34% 40% + Health & Fertility (SCC, udder depth, milking speed, daughter fertility) 15% 20% Source: Canadian Dairy Network file:///C:/Users/crowleych/Downloads/Lifetime%20Profit%20Index%20-%20April%202015.pdf Effective Aug 2015  Current Formula 

26. Classification Offered by Holstein Canada In 2014, 262,898 animals were classified Al-Breeds Classification introduced in 2005

27. Classification Source: Holstein Canada http://www.holstein.ca/PublicContent/PDFS/NEUTRAL/Conformation%20Assessment/PRINT_%20EN_%20Conformation_Assessment_ Guide.pdf http://www.holstein.ca/PublicContent/PDFS/NEUTRAL/Conformation%20Assessment/PRINT_%20EN_%20Conformation_Assessment_ Guide.pdf

28. Classification Source: Holstein Canada http://www.holstein.ca/PublicContent/PDFS/NEUTRAL/Conformation%20Assessment/PRINT_%20EN_%20Conformation_Assessment_ Guide.pdf http://www.holstein.ca/PublicContent/PDFS/NEUTRAL/Conformation%20Assessment/PRINT_%20EN_%20Conformation_Assessment_ Guide.pdf

29. Artificial Insemination Few competitors but saturated market New Strategies – genomics & ownership of females

30. Canadian Genetics $158,349,795 of Canadian genetics were exported in 2014 - $118,367,998 in semen - $32,158,721 in live cattle (16,000 + animals) - $7,823,076 in embryos (12,000+ embryos) -

31. Marketing of Canadian Genetics Registration Milk Recording Shows, Royal Agricultural Winter Fair Sales Judging Program Master Breeder program Cow of the Year

32. Benefits of Canada’s Dairy Industry

33. ‘The Canadian Kind’ High type, high producing, long-lasting Integrity of our Canadian genetic improvement systems Free access to detailed animal information and genetic evaluation (LPI) Confidence they will perform as expected High return on your investment Changing With the Times  Redefining “who our cow is” based on what farmers/market want

34. ‘The Canadian Kind’ Deep pedigree Cow families High Producing Show Winners Longevity

35. Benefits for Producers Stable supply management system Standardization of delivery of services and programs Ability to adapt and invest in: - new technology, infrastructure, sound animal husbandry and feed mgt Ability to invest in sound genetics and spend time/money on breeding World leader in genetics and science

36. Benefits for Consumers Fair price for milk (Canadians spend only 10% of their annual revenue on food) Stable supply of high-quality milk (The average dairy consumption of a Canadian is 77.8 kg per year) Fits with their “value system” approach to 21 st century food (local) Variety of products available (Canada makes over 700 varieties of different cheeses)

37. Benefits for Canada Dairy sector contributes $18.9 billion to Canadian GDP each year Employs approximately 215,000 people Dairy is 1 of top 2 agricultural sectors in 7/10 provinces Contributes more than $3 billion in local, provincial, and federal taxes each year Contributes an additional $3.6 billion to invest in education, health and infrastructure

38. Resources Canadian Dairy Information Centre http://www.dairyinfo.gc.ca/index_e.php Canadian Dairy Commission http://www.cdc-ccl.gc.ca/CDC/index-eng.php Dairy Farmers of Canada http://www.dairyfarmers.ca/ Canadian Dairy Network https://www.cdn.ca/ Holstein Canada http://www.holstein.ca/