Food In Canada

Quebec should drop supply management system: Fraser Institute

By Food in Canada staff   

Food In Canada Dairy Quebec supply management

A new study from the Fraser Institute has found that Quebec would be better off if it scrapped its agricultural supply management system and farm subsidies in favour of an open and competitive market. In a press release, the authors of the study say supply management limits the supply of some commodities to maintain an artificially high price. Because of these agricultural policies, Quebec consumers are paying more for certain goods, especially eggs and dairy products. The release went on to say “If Quebec and the rest of Canada dismantled their farm supply-management system and completely eliminated government subsidies to farmers, the resulting competition would generate higher productivity growth and consumers would benefit from lower retail prices as well as a wider range of products.”

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