B.C. says supply management good for economy

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Published: October 10, 2002

British Columbia’s agriculture minister has pledged his support for

supply management.

“Our government strongly supports and endorses the supply management

system as it provides producers with fair returns, the consumers with

quality products and fair prices, and fosters additional economic

activity in our province,” John van Dongen said during a conference

call from Victoria.

“Producers and consumers of regulated commodities in B.C. are

benefiting from the stabilizing effects of what regulated marketing

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brings to the agriculture industry, as well as subsequent economic

activity and jobs.”

Van Dongen’s announcement is a relief for farmers who worried the

government’s study of regulated marketing in the province would

recommend deregulating supply managed commodities like chickens, eggs,

turkeys, milk and hatching eggs.

“I’m hopeful they will recognize it’s a decision that provides solid

support for the regulated marketing sector, particularly the supply

managed sector,” he said about farmers’ concerns.

Andy Dolberg, manager of the B.C. Council of Marketing Boards, said the

report was “really encouraging” to supply managed commodities.

“The supply managed boards are certainly pleased the minister

reinforced what they knew all along, that marketing boards are an

economic benefit to B.C.,” Dolberg said.

Earlier this year, all government departments took a close look at

their core operations. Three studies were done on the regulated

marketing system, including one from the George Morris Centre in

Guelph, Ont., which Van Dongen said concluded that keeping marketing

boards was in the best interest of the country and the province.

“They clearly stated no government in Canada should consider any level

of deregulation of their regulated marketing system, particularly

supply managed commodities, in the next 10 or 15 years.”

While the reports recommended keeping existing supply management

boards, it also recommended a closer look at other regulated, but

non-supply managed commodities such as hogs, cranberries, mushrooms and

vegetables.

Van Dongen said the government isn’t going to immediately dismantle

those boards, but will see if there is a better way to operate and

manage their commodities.

“We will go through each of the commodities and ask industry what is an

appropriate level of authority for their commodity.”

Other changes include:

  • Chairs for both supply managed and non-supply managed boards and

commissions will be appointed through an order in council over the next

18 months.

  • Memorandums of understanding will clarify roles and responsibilities

for government and boards. They will be implemented within the next 18

months.

  • Development of specialty markets will be encouraged within supply

managed commodities.

  • The government’s long-term direction will be to deregulate the

non-supply managed sector in a measured and considered manner.

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