July 3: CME Associate Dean Comments on the End of Supply Management
Sylvain Charlebois, Associate Dean of The College of Management and Economics, expressed his opinions regarding the end of supply management in his article, “End Supply Management for the Right Reasons,” which recently appeared in the Winnipeg Free Press. An excerpt from his article is included below.
"Canada's invitation to join the Trans-Pacific Partnership in recent weeks has led to a debate around the future of supply management. Some have suggested that consumers will finally have access to more affordable food products like milk and eggs.
Prices for food which are affected by supply management have increased significantly in recent years. Multiple reports have shown over the years that Canadians consistently pay at least 30 per cent more for milk than most countries in the world. Quebec is in worse shape, since it regulates prices at retail. Canadians also take a financial hit in the purchase of several dairy products, eggs and poultry.
Compared to other countries, though, supply management has given Canadian consumers stable, and most importantly, predictable prices for more than 40 years. To suggest that milk and eggs will be cheaper without supply management is highly speculative. If anything, by ending our trade-distorting scheme, prices will likely vary more and could go either way."