March 31, 2022

Agriculture and Agri-Food Canada has launched the Supply Management Processing Investment Fund (SMPIF) to assist dairy, poultry and egg processors mitigate the impacts of CETA and CPTPP. The $292.5 million program provides processors with non-repayable contributions up to $5 million to support investments in processing facilities that improve productivity and/or efficiency through the purchase of new automated equipment and technology. 

The Fund was announced as part of Budget 2021 and builds on the $100 million investment program launched in 2016 to address the impacts of CETA. DPAC has long advocated for additional mitigation measures to be put in place to support dairy processors transitioning to new market realities created by recent trade agreements. It is estimated that these agreements, along with CUSMA, will result in annual losses of $300 million for Canada’s dairy processors by the time they are fully implemented.

At the launch of the Fund, DPAC Chair, Michael Barrett stated:

“Dairy processors welcome the announcement of the Supply Management Processing Investment Fund, which will support the additional investments and innovations necessary for Canada’s dairy processing sector to transition to new market realities resulting from additional market access concessions granted in trade agreements with Europe and Trans-Pacific countries. By supporting investments in processing plants, the Fund will help boost the competitiveness, productivity and long-term sustainability of the Canadian dairy industry.”


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