Dairy Direct Payment Program: Step 1. What this program offers

Step 1. What this program offers

Intake period: Closed

The intake period for the Dairy Direct Payment Program is now closed.

The objective of the Dairy Direct Payment Program is to support dairy producers as a result of market access commitments made under recent international trade agreements, namely the Canada–European Union Comprehensive Economic and Trade Agreement (CETA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In August 2019, the federal government announced that it will make available $1.75 billion to supply-managed cow's milk producers. Up to $345 million and $468 million in direct payments was made available in 2019-20 and 2020-21 respectively.

The payment schedule for the remaining $937 million in direct payments over the next 2 years is:

  • $469 million in 2021-2022
  • $468 million in 2022-2023

The full amounts announced are available to producers in the form of direct payments

Notional allocation of funds on a provincial basis for year 2021-22
Notional allocation of funds on a provincial basis Allocated Quota
(% of the P10 Rounded)
Provincial share $
Newfoundland and Labrador 0.64% $3,017,030.57
Prince Edward Island 1.27% $5,937,333.94
Nova Scotia 2.16% $10,134,303.87
New Brunswick 1.68% $7,898,215.24
Quebec 36.84% $172,795,986.65
Ontario 31.97% $149,917,584.27
Manitoba 4.35% $20,420,942.77
Saskatchewan 3.12% $14,631,305.35
Alberta 8.95% $41,987,286.12
British Columbia 9.01% $42,260,011.22
Total 100.00% $469,000,000.00

Amounts are available up to March 31 of each year. To receive a payment, registrations must be signed and received no later than March 31 of each year.

Eligible producers must register every year of the program to receive a payment.

The Canadian Dairy Commission (CDC) has been mandated to deliver the program. The CDC will:

  • collect information from provincial milk marketing boards on the licensed quota holders
  • calculate individual payments based on the percentage of each producer's provincial quota holdings
  • work closely with each of the provincial milk marketing boards to deliver funding