Canada: Dairy and Products Annual

FAS/Canada projects milk production flat into 2024, based on declining fluid milk consumption, and steady requirements for industrial milk. Production of cheese and butter is forecast to increase modestly in 2024, as stocks have been recovering, and demand remains constant. Growth in cheese imports is expected to slow down, as market access commitments under CETA have been fully implemented, while imports of butter continue to increase, supported by duty-free market access under CPTPP and USMCA. Production of skim milk powder is forecast to decline in 2024, with exports flat, within the limits set by USMCA provisions, as the industry continues to focus on producing high protein diary ingredients, like milk protein isolates.