Calculating YOUR CARBON Footprint Calculating ... - ClimateCHECK

July 2008
Publications Mail Sales Agreement No. 40063866
Growing
Greener
Calculating
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the
PRODUCER
8
In This Issue Vol. 84 No. 7
18 DFCPROMOTION
Tennis and nutrition are focus of DFC and Tennis
Canada partnership; DFC sets sail on luxurious yacht
26 FARMPROFILE
New DFO board member sees co-operation
as key to industry’s success
30 PROCESSORSPOTLIGHT
Parmalat Canada’s functional
dairy products big part
of industry’s future
32 FARMFINANCE
Investing in critical illness insurance means your farm
can continue operating while you recover
20 How green can you grow?
Greenhouse gas calculator provides most recent
example of dairy’s environmental initiatives
n
Cover photo by David Barr
4 EDITOR’SNOTES
Let’s make sure dairy cows don’t join polar
bears on endangered species list
6 DFOCHAIR’SMESSAGE
Finding new market growth opportunities
remains a top priority for DFO
8 DAIRYUPDATE
• DFO launches campaign to promote real ice cream
• Dairy farmers support new labelling plan
• New premium set for organic producers
• TTR regulations take effect Aug. 1
34 RUMINATIONS
Chopping your own corn more finely
means less sorting by your cows
38 APPLIEDSCIENCE
Research project looks at how well mastitis control
measures may or may not work in your herd
40 MARKETS
Producers put brakes on production
43 NEW’N’NOTED
Contest held for most innovative farm ideas
46 BACKFORTY
We want to hear from you
MilkPRODUCER | July 2008 | 3

EDITOR’SNOTES
By Bill Dimmick
THE MILK PRODUCER
is published monthly by
Dairy Farmers of Ontario
6780 Campobello Road,
Mississauga, Ontario, L5N 2L8
EDITOR: Bill Dimmick
ASSISTANT EDITOR: Sharon Laidlaw
Co-ordinated by Communications
and Planning Division,
Bill Mitchell, Assistant Director.
Change of address notices should be sent to:
THE MILK PRODUCER
6780 Campobello Road,
Mississauga, Ontario L5N 2L8.
Subscription rates: $25.20 for one year,
$46.20 for two years and $63.00 for three
years in Canada (includes GST), $36 per
year in the U.S., $36 per year overseas.
Single copy: $2.50. Make cheques payable
to Dairy Farmers of Ontario. Canada Post
Publications Mail Sales Product Agreement
No. 40063866. Return postage guaranteed.
Circulation: 10,500. ISSN 0030-3038.
Printed in Canada.
ADVERTISING REPRESENTATIVE
James Fitzgerald and Associates,
257 Huntingdon Avenue,
Stratford, Ontario N5A 6P7.
Toll-free advertisers only: 1-888-460-6212
Phone (519) 273-9369/Fax (519) 273-9289
E-mail: jfitzger@milk.org
Opinions expressed herein are those of
the author and/or editor and do not
necessarily reflect the opinion or policies
of Dairy Farmers of Ontario. Publication of
advertisements does not constitute
endorsement or approval by The Milk
Producer or Dairy Farmers of Ontario of
products or services advertised.
The Milk Producer welcomes letters to the
editor about magazine content.
PHONE: (905) 821-8970
FAX: (905) 821-3160
E-MAIL: bdimmick@milk.org
slaidlaw@milk.org
DFO WEB SITE: http://www.milk.org/
Endangered species
Let’s make sure our cows don’t join polar bears on this list
The polar bear has become the poster critter for the green movement.
Concerted efforts by American environmentalists convinced the U.S.
Department of the Interior to classify polar bears as “threatened” under
the Endangered Species Act last May.
The threat to polar bears comes from a shrinking habitat. Global warming
is melting sea ice where polar bears routinely make rest stops while hunting.
Unable to find a convenient ice flow when out to sea, the bears drown.
In announcing the polar bear’s new designation, Interior Secretary Dirk
Kempthorne acknowledged this fact. However, he clearly stated his
department was not going to start regulating greenhouse gas (GHG)
emissions blamed for global warming.
A month or so before Kempthorne’s announcement, I read an in-depth
magazine article about the plight of Alaskan polar bears in a respected U.S.
magazine, Vanity Fair. The editor had devoted most of that issue to so-called
green issues. A major American publication devoting that much space to
these issues only reinforced my view that environmentalism is no longer
monopolized by hard-core tree huggers.
Anecdotal evidence abounds. This spring, my wife and I joined about 140
neighbours to spend a sunny Saturday morning picking up garbage that had
accumulated in the parks and roadsides of our community. In the same
neighbourhood, not taking your reusable cloth shopping bag—made from
recycled materials—to the grocery store is almost considered a crime.
Now, a neighbourhood cleanup and cloth shopping bags are hardly going
to save the planet. But they reinforce this point: people care about the
environment more than ever, and that includes drowning polar bears.
The bears weren’t an issue when I first wrote about global warming and its
implications for the dairy industry four years ago. Since then, environmental
implications have become much more serious. Consumers have started to pay
more than lip service to global warming. They are demanding action by the
way they spend their money.
This has led to a greening of businesses and industries who want
consumers to view them as being environmentally responsible, that they care
about saving the planet for our children and grandchildren. In some cases it’s
just green-tinted smoke and mirrors, or what’s known as “greenwashing.”
Others, like the dairy industry in Canada and elsewhere, have taken, and
continue to take, concrete, responsible action to curb GHG emissions. Our
cover feature, starting on page 20, describes some of these efforts.
We have to continue taking this issue seriously. If consumers decided our
products were no longer green enough, our
nation’s dairy cows, like Alaska’s polar
bears, would become an endangered species.
4 | July 2008 | MilkPRODUCER

EDITOR’SNOTES
By Bill Dimmick
THE MILK PRODUCER
is published monthly by
Dairy Farmers of Ontario
6780 Campobello Road,
Mississauga, Ontario, L5N 2L8
EDITOR: Bill Dimmick
ASSISTANT EDITOR: Sharon Laidlaw
Co-ordinated by Communications
and Planning Division,
Bill Mitchell, Assistant Director.
Change of address notices should be sent to:
THE MILK PRODUCER
6780 Campobello Road,
Mississauga, Ontario L5N 2L8.
Subscription rates: $25.20 for one year,
$46.20 for two years and $63.00 for three
years in Canada (includes GST), $36 per
year in the U.S., $36 per year overseas.
Single copy: $2.50. Make cheques payable
to Dairy Farmers of Ontario. Canada Post
Publications Mail Sales Product Agreement
No. 40063866. Return postage guaranteed.
Circulation: 10,500. ISSN 0030-3038.
Printed in Canada.
ADVERTISING REPRESENTATIVE
James Fitzgerald and Associates,
257 Huntingdon Avenue,
Stratford, Ontario N5A 6P7.
Toll-free advertisers only: 1-888-460-6212
Phone (519) 273-9369/Fax (519) 273-9289
E-mail: jfitzger@milk.org
Opinions expressed herein are those of
the author and/or editor and do not
necessarily reflect the opinion or policies
of Dairy Farmers of Ontario. Publication of
advertisements does not constitute
endorsement or approval by The Milk
Producer or Dairy Farmers of Ontario of
products or services advertised.
The Milk Producer welcomes letters to the
editor about magazine content.
PHONE: (905) 821-8970
FAX: (905) 821-3160
E-MAIL: bdimmick@milk.org
slaidlaw@milk.org
DFO WEB SITE: http://www.milk.org/
Endangered species
Let’s make sure our cows don’t join polar bears on this list
The polar bear has become the poster critter for the green movement.
Concerted efforts by American environmentalists convinced the U.S.
Department of the Interior to classify polar bears as “threatened” under
the Endangered Species Act last May.
The threat to polar bears comes from a shrinking habitat. Global warming
is melting sea ice where polar bears routinely make rest stops while hunting.
Unable to find a convenient ice flow when out to sea, the bears drown.
In announcing the polar bear’s new designation, Interior Secretary Dirk
Kempthorne acknowledged this fact. However, he clearly stated his
department was not going to start regulating greenhouse gas (GHG)
emissions blamed for global warming.
A month or so before Kempthorne’s announcement, I read an in-depth
magazine article about the plight of Alaskan polar bears in a respected U.S.
magazine, Vanity Fair. The editor had devoted most of that issue to so-called
green issues. A major American publication devoting that much space to
these issues only reinforced my view that environmentalism is no longer
monopolized by hard-core tree huggers.
Anecdotal evidence abounds. This spring, my wife and I joined about 140
neighbours to spend a sunny Saturday morning picking up garbage that had
accumulated in the parks and roadsides of our community. In the same
neighbourhood, not taking your reusable cloth shopping bag—made from
recycled materials—to the grocery store is almost considered a crime.
Now, a neighbourhood cleanup and cloth shopping bags are hardly going
to save the planet. But they reinforce this point: people care about the
environment more than ever, and that includes drowning polar bears.
The bears weren’t an issue when I first wrote about global warming and its
implications for the dairy industry four years ago. Since then, environmental
implications have become much more serious. Consumers have started to pay
more than lip service to global warming. They are demanding action by the
way they spend their money.
This has led to a greening of businesses and industries who want
consumers to view them as being environmentally responsible, that they care
about saving the planet for our children and grandchildren. In some cases it’s
just green-tinted smoke and mirrors, or what’s known as “greenwashing.”
Others, like the dairy industry in Canada and elsewhere, have taken, and
continue to take, concrete, responsible action to curb GHG emissions. Our
cover feature, starting on page 20, describes some of these efforts.
We have to continue taking this issue seriously. If consumers decided our
products were no longer green enough, our
nation’s dairy cows, like Alaska’s polar
bears, would become an endangered species.
4 | July 2008 | MilkPRODUCER

DFOCHAIR’SMESSAGE
By Bruce Saunders
We remain committed
to growing markets
We recently celebrated Canada Day, recognizing the
strengths and beauty of this country. Ours is a country
where most of us, or our ancestors, chose to live,
and I would make the same choice.
An institution for 40 years within Canada is our domestic
supply management system—a system that benefits all sectors.
For producers, it provides a stable income from the marketplace
by price-setting, based on our analysis providing a
return to cover cash costs, labour and investment, and recognition
of inflation indexing. Processors receive high-quality,
fresh milk in a known supply at a given price, and consumers
benefit from this stability with prices similar to those in most
developed countries.
Some producers may ask: “What are you doing for me
today? What are you doing to grow markets?”
Ontario producers help fund $22 million worth of fluid
product promotion in Ontario and the Maritimes, and invest
$38 million in cheese promotion and nutrition education.
Chocolate milk is being promoted as a sports recovery drink.
Vending machines are being put into schools and community
centres. We are attempting to increase the number of schools
using our School Milk Program. Dairy Farmers of Ontario
(DFO) and the Ontario Dairy Council have a coordinated
effort to put a milk program in place by 2010 for kindergarten
students in conjunction with the Ontario government,
starting with a small pilot this year.
DFO encourages processing of niche products, including
organic, DHA, kosher and Halal. We hired Nissim Avraham
as a market specialist to help processors recognize opportunities
and facilitate filling other niche and ethnic markets.
Can we do more to encourage on-farm processing? Fluid
milk could be sold in a pasteurized, non-homogenized, nonstandardized
form as an alternative to raw milk. Local industrial
products could satisfy the “buy local” desire of some
consumers.
DFO’s number one priority is to grow markets. We will
continue to look for opportunities within the national system.
Chair, Dairy Farmers of Ontario
June 23, 2008
Toujours engagés
à développer les marchés
Les récentes célébrations de la Fête du Canada nous
ont rappelé tout ce que notre pays a de bon et de
beau. Notre pays en est un où la plupart d’entre
nous, ou de nos ancêtres, ont choisi de vivre et je ferais le
même choix.
Une institution au Canada depuis quarante ans, notre
système de gestion des approvisionnements intérieurs procure
des bienfaits à tous les secteurs.
Certains producteurs peuvent nous demander : « Que
faites-vous pour moi aujourd’hui ? Que faites-vous pour
développer les marchés ?
Les producteurs ontariens aident à financer pour 22
millions de dollars de promotion des produits laitiers de
consommation en Ontario et dans les Maritimes et ils
investissent 38 millions de dollars dans la promotion du
fromage et l’éducation nutritionnelle. Le lait au chocolat
fait l’objet d’une promotion en tant que boisson de
récupération pour sportifs. Des distributeurs automatiques
sont en cours d’installation dans les écoles et dans les centres
communautaires. Nous tentons d’augmenter le nombre
d’écoles inscrites à notre programme de lait.
Conjointement avec le gouvernement de l’Ontario, le
Dairy Farmers of Ontario (DFO) et l’Ontario Dairy
Council ont coordonné leurs efforts en vue de mettre en
oeuvre pour 2010 un programme de lait à l’intention des
élèves de maternelle, en commençant par un petit projet
pilote cette année.
Le DFO encourage la fabrication de produits-créneaux,
tels que les produits biologiques, au DHA, kasher et halal.
Nous avons embauché Nissim Avraham comme spécialiste
de marché afin d’aider les transformateurs à repérer les
débouchés et de faciliter l’approvisionnement d’autres
marchés à créneaux et ethniques.
Pouvons-nous faire davantage pour encourager la transformation
à la ferme ? Le lait de consommation pourrait se
vendre sous forme pasteurisée, non homogénéisée et non
standardisée comme solution de remplacement du lait cru.
Des produits de transformation locaux pourraient satisfaire
le désir de certains consommateurs d’acheter localement.
La priorité absolue du DFO est le développement des
marchés. Nous continuerons de rechercher des débouchés
au sein du système national.
6 | July 2008 | MilkPRODUCER

WestfaliaSurge offers three
Kool Ways to save energy
as you protect milk quality
Milk tank cooling — Kool Way ® milk
tanks provide more high volume cooling
capacity with more energy efficient
operation than comparably sized
competitive tanks. Available in
capacities from 600-8,000 gallons.
Pre-cooling — Kool Way plate coolers
use well water to bring milk within 5˚ of
the well water temperature, providing as
much as 60% of the cooling required.
Contact your local WestfaliaSurge dealer to help design
the cooling package that best fits your dairy.
USA toll free: 877.WS.DAIRY, www.westfaliasurge.com
Instant cooling — Kool Way Chillers,
used with Kool Way multi-duty plate
coolers, operate 15-20% more
efficiently than competitive falling
film chiller systems, reducing
horsepower requirements
and saving energy.
Pre-cooling
Instant cooling
DEALER IMPRINT AREA
Alma
Conestogo Agri
Systems Inc.
519-638-3022
Komoka
Dairy Lane Systems Ltd.
519-666-1404
Keene
Dairy Source
705-295-3247
Moose Creek
Lawrence’s Dairy
Supply (Ltd)
613-538-2559
Seeley’s Bay
McCann Farm
Automation Ltd
613-382-7411
Cobden
McLaren Systems
613-646-2062
54-627E

DAIRYUPDATE
The real McCoy
Survey shows majority of Canadians want real ice cream made from milk
C
anadians are screaming for ice
cream, real ice cream that is.
Educating consumers about the
fact frozen desserts are not real ice
cream is the goal behind Dairy Farmers
of Ontario’s (DFO’s) ‘I Scream
for Ice Cream’ publicity campaign.
According to a new Ipsos Reid survey
released in June by DFO, 96 per
cent of Canadians prefer to serve
their children real ice cream made
from milk and not a frozen dessert
made from vegetable oils. In fact, 83
per cent of respondents say the ice
cream they buy from the dairy freezer
should be made from milk.
“Some manufacturers have switched
to vegetable oils and created
look-alikes of our favourite ice cream
brands labelled ‘frozen desserts’,”
says DFO’s general manager Peter
Gould. “That’s why dairy farmers are
urging consumers to look for ‘ice
cream’ on the label to make sure they
are getting the real McCoy and not
getting frozen dessert.”
The survey also shows 59 per cent
of Ontario consumers believe labelling
regulations should be strengthened,
enabling companies to more
prominently communicate the product’s
ingredients to consumers. An
alarming 49 per cent feel deceived by
the labelling changes, while another
42 per cent believe the companies
making these frozen desserts are trying
to be tricky.
“Consumers tell us they feel deceived
when they think they’ve bought
ice cream, and they find out they’ve
actually been sold something that’s
Half of survey respondents feel deceived by ice cream look-alikes on freezer
shelves, and say companies should disclose what’s in their products.
8 | July 2008 | MilkPRODUCER

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Laurence Dairy — 613-538-2559
©2008 Paul Mueller Company 405

closer to frozen margarine,” says
Gould.
Changes in the
ice cream freezer
Just a few years ago everything in the
ice cream freezer was made from
milk and clearly labelled ‘ice cream,’
says Gould.
Recently, some manufacturers have
removed the ‘ice cream’ label from
some major brands, sometimes replacing
it with the term ‘frozen
dessert’. These products likely contain
palm or coconut oils instead of
cream. As a result, consumers are often
completely unaware the brands
they buy are not ice cream. Instead,
they are buying a product that contains
oils many people are trying to
avoid in their diet.
DFO raises awareness
DFO’s public awareness campaign
includes advertising in major Ontario
newspapers, an Ipsos Reid survey and
various literature highlighting the
differences between ice cream and
frozen desserts.
More information can be found at
www.milk.org.
By Sharon Laidlaw, assistant editor
of The Milk Producer.
Substituting quality for profit
Most frozen desserts list modified milk ingredients as the first ingredient,
meaning they could be made from just about any product that
was initially part of milk, including skim milk powder, milk protein
concentrates, casein and whey protein concentrates.
Substituting milk protein concentrate for milk is common in lower
quality, less expensive ice cream products, so is using imported
butteroil-sugar blends or a blend of domestic and imported butteroil.
Essentially, all the milk protein concentrate used in Canada is
imported. New Zealand is the major source, but it’s also imported
from Europe and the U.S.
Because a butteroil-sugar blend is 51 per cent sugar, it is legally
classified as a confectionery product, not as dairy. After it was classified
this way, manufacturers jumped on this cheaper alternative,
increasing the volume of butteroil-sugar blend imports by 488 per
cent in just over 18 months between 1995 and 1997.
There is no limit to the amount of butteroil-sugar blend that can
be imported into Canada. It’s possible to make products such as
cheese and ice cream using only modified milk ingredients and no
fluid milk or cream at all.
Source: The Dairy Food Safety Program, Food Inspection Branch,
Ontario Ministry of Agriculture, Food and Rural Affairs.
10 | July 2008 | MilkPRODUCER

fetalattraction
www.vetoquinol.ca

Connell resigns
from DFO board
C
raig Connell has resigned as DFO
board member for Region 9, representing
producers in Elgin, Essex, Kent,
Lambton and Middlesex Counties.
A Middlesex County producer, he
had difficulty supporting a recent
board decision, and decided his only
option was to resign. The resignation
was effective May 31.
Connell was serving the last year of
his second four-year term. Since the
regular board member election for
NOTICE: To keep Ontario dairy producers and other industry sectors informed,
Dairy Farmers of Ontario publishes changes to its regulations.
Complete regulations are available on DFO’s Web site at www.milk.org.
DFO Regulation 11/08 replaces DFO Regulation 10/08 and was made to adjust
the price of Special Milk Classes as a result of a CDC announcement, effective
June 1, 2008 as follows:
Solids
5(a)
5(b)
5(c)
U.S. Class Prices
This Class III price graph tracks U.S.
price trends. Actual prices paid to
producers vary by state.
The May 2008 Class III Price,
$18.18 US per hundredweight, is
equivalent to $40.94 Cdn per hectolitre.
This equivalent is based on
the exchange rate of $1 US =
$0.9921 Cdn, the exchange rate
when the USDA announced the
Class III Price.
The Class III Price is in $ US per
hundredweight at 3.5 per cent butterfat.
One hundredweight equals
0.44 hectolitres.
Canadian Class 5a and Class 5b
prices track U.S. prices set by the
U.S. Department of Agriculture.
Source: USDA
Butterfat ($/kg) Protein ($/kg) Other Solids ($/kg)
New
3.4287
3.4287
3.8428
Old
3.2965
3.2965
3.7519
Bruce Saunders
$US
$24
$22
$20
$18
$16
$14
$12
$10
New
8.5591
2.4899
2.4899
June 2007
July 2007
Aug 2007
Sep 2007
Oct 2007
Nov 2007
Dec 2007
Jan 2008
Feb 2008
Mar 2008
Apr 2008
May 2008
Old
7.9378
2.4201
2.4201
New
0.1742
2.4899
2.4899
John Karn
DAIRY FARMERS OF ONTARIO
Old
0.1434
2.4201
2.4201
Region 9 occurs this year, DFO is not
calling a special election to replace
him. His replacement on the board
will start when elected.
Alberta keeps status quo
on raw milk sales ban
After investigating the health risks of
consuming raw milk, Alberta Milk,
the organization representing that
province’s dairy farmers, will not be
pursuing further action on the issue.
A resolution passed at the November
2007 annual meeting directed
Alberta Milk staff to investigate risks
and benefits of raw milk consumption,
notes an article in the organization’s
June newsletter.
“This review uncovered numerous
recent scientific articles outlining the
health risks of consuming raw milk
but none validating the anecdotal evidence
supporting its consumption,”
states the article, written by Katherine
Laughlin, market development
manager. “We found no evidence that
would suggest health authorities
should revisit this legislation.”
The article added that producers
should be aware of the penalty for
selling or distributing raw milk in
Alberta. There is a fine of up to
$25,000, plus the possible suspension
of the producer’s licence.
Tribunal rules
on appeal
The Ontario Agriculture, Food and
Rural Affairs Appeal Tribunal has
granted an appeal by William, John
and Betty Denby, Keith and Ron
Jarvis, and Dale McFeeters, referred
to as the Denby Group, regarding a
challenge of the application of the
transfer assessment on quota sold.
All the farms involved sold their
quota in early 2007, and none currently
operates a dairy farm, the tribunal
noted in its written decision.
The quota sales took place after
DFO implemented the transfer assessment
as part of quota policy changes
implemented in November 2006.
At press time late June, the DFO
board was reviewing the decision and
considering its options.
12 | July 2008 | MilkPRODUCER

Dairy farmers support new labelling plan
A
new plan to modernize federal
labelling guidelines and clearly
identify Canadian content in food
products has received strong support
from Dairy Farmers of Canada
(DFC).
“We have been advocating for
truth in labelling for several years,”
says DFC president Jacques Laforge.
“We appreciate the support of all
parties on this important issue.”
In a speech unveiling the plan,
Prime Minister Stephen Harper said
products labelled “Product of
Canada” or “Made in Canada” may
actually have little Canadian content.
Current law allows these labels as
long as 51 per cent of production
costs are incurred in Canada and the
last “substantial transformation”
occurs here.
“Under our new rules, if something
in the grocery store is marked
‘Product of Canada,’ it must mean all
or virtually all the contents are
Canadian,” Harper said. “All apples
in the juice will come from Canadian
farmers ... the cod and the fish sticks
will come from Canadian waters, and
all the milk in the ice cream will come
from Canadian dairy cows.”
The government also invited stakeholder
groups to consult on the new
plan, and DFC welcomed the opportunity
to comment.
DFC’s position supports the stricter
requirements for “Product of
Canada” labelling, including the
Canadian content requirement. It also
supports the plan’s voluntary nature.
“We believe that if a company wants
to use ‘Product of Canada’ on the
label, it should submit a set of voluntary
rules for its use,” Laforge says.
Industry supports voluntary “Product
of Canada” labelling system.
Another part of the federal plan
would let companies use “Made in
Canada” on labels when food products
manufactured here use imported
ingredients. “In this case, the label
should incorporate the country of
origin in the listing of primary ingredients,”
he says.
14 | July 2008 | MilkPRODUCER

DFO sets new premium
for organic producers
Due to an organic milk surplus,
DFO has revised how organic producers
are paid for the milk they
produce.
Starting June 1, DFO began
paying organic producers a blend
premium based on the percentage
of organic milk used as
organic, meaning the rate producers
are paid will fluctuate each
month.
Dave Nolan, DFO’s director of
marketing logistics, says DFO
could not continue paying the 23
per cent premium on all organic
milk production when not all of
the organic milk was being used
for organic purposes.
In a late April meeting, DFO’s
board decided to consider options
on how to deal with an imbalance
between supply and
demand of organic milk.
New organic production has
come on stream much more
quickly than anticipated, says
Wray Krompart, DFO’s marketing
manager. It is expected the excess
supply will continue until the
organic milk industry matures.
Since fall 2007, the organic milk
supply has exceeded demand and
continues to grow. One processor,
who was buying organic milk
since 2007, has temporarily withdrawn
from the market, meaning
there is more organic milk production
than required. New supplies
becoming available earlier
than anticipated are also believed
to be a contributing factor.
The likelihood of extending the
six additional quota days DFO put
in place beyond the end of the
year will depend on the amount
of organic surplus at that time,
says Nolan.
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MilkPRODUCER | July 2008| 15

TTR regulations
take effect Aug. 1
O
ntario milk producers have to
make sure time-temperature
recorders (TTR) are installed by next
month. A regulation requiring the
devices to make your premises Grade
A takes effect Aug. 1, and Dairy
Farmers of Ontario (DFO) will start
administering it then.
Approved by the Ontario government,
the regulation requires you to
install a TTR or TTRs to monitor
bulk tanks and pipelines, or wash
sinks used to clean milking equipment.
The regulation details installation
locations, operating details and
data storage. The Dairy Cheq
MilkGuard is the only TTR that
meets requirements at this time.
DFO rolled out TTR installations
across the province more than four
years ago as part of the Canadian
Quality Milk (CQM) program. TTRs
fulfill the program’s record-keeping
requirement for bulk tank milk cooling.
Once on-farm CQM validation begins,
TTR records will simplify the process,
explains Alex Hamilton, DFO’s policies
and regulations manager.
By mid-June fewer than 15 producers
had not had one installed. They
have been informed individually by
letter that they will be inspected and
subject to non-Grade A penalties after
Aug. 1, he notes.
Cost of a TTR installation was
about $750 after grants were applied.
The grant program is no longer in
effect and a new installation now costs
$3,000, plus Bluetooth technology,
TTRs mandatory for Grade A status.
Hamilton says. You also have the
option of installing a used Milkguard.
If your TTR hasn’t been working,
make sure it’s operational, he says.
“Regulations require that your TTR
be operational to meet grade A standards,
and will be administered under
the provincial raw milk quality program.”
TTRs let you know whether your
bulk tank is cooling properly and your
cleaning systems are using water at the
correct temperature. A University of
Guelph study found overall milk quality
improved on farms that had aTTR
installed.
“It is beneficial that in the first year
of TTR installations, there has been a
significant decrease in the raw milk
Bactoscan levels on TTR farms in
Ontario,” the study states.“Also, there
was a potential trend towards a lower
risk of dumped/loss bulk tank milk on
Ontario dairy farms with a TTR.”
DFO’s own statistics reflect the
same trend. A raw milk quality program
update prepared for 2008
spring regional meetings noted the
number of bacteria penalties dropped
30 per cent in the 12-month period
ending Feb. 29, 2008. “Fewer bacteria
penalties may be attributable to producers
reacting in a timely fashion to
milk and wash temperature warnings
and alarms from their TTRs,”
Hamilton says.
As well, starting Aug. 1, the TTR
must store all data required for the
next three years until Aug. 1, 2011.
After that, it has to hold the data for
the most recent three-year period on
an ongoing basis. Data stored in the
TTR have to be in a form that can be
retrieved and read by field persons
inspecting your farm, according to the
regulation.
To view the complete regulation,
visit www.search.e-laws.gov.on.ca and
enter regulation 761 in the search
area.
www.centralalbertafarms.com
call: Andries Steegstra
Royal LePage Info Market Group Lacombe
Cell: 403-391-6260 Office 403-782-2114 Email: asteegstra@royallepage.ca
16 | July 2008 | MilkPRODUCER

Supply management credited
for keeping food prices low
Canada’s supply management system
is being hailed as one of the reasons
food prices for such staples as
milk, poultry and eggs, have
remained stable.
A recent Toronto Star article cited
a Statistics Canada report stating
Canada’s food price inflation has
remained relatively stable at 1.2 per
cent, even though the price of grain
has soared on world markets.
The article also pointed out only
two per cent of the price for a box of
cereal represents the cost of the
grain. The rest pays for things like
packaging, advertising, processing
and shipping.
A rising loonie, which makes
importing food like fruits and vegetables
cheaper, was also credited
with helping offset higher food
prices.
MilkPRODUCER | July 2008 | 17

DFCPROMOTION
By Julie Lefebvre
Partners in nutrition
DFC and Tennis Canada band together to promote tennis and nutrition
Promoting tennis and encouraging
daily consumption
of milk products as part of a
healthy lifestyle are the goals
behind Dairy Farmers of Canada
and Tennis Canada’s three-year
partnership. The partnership includes
two main parts:
Everyday Champions Program
To be nominated as an Everyday
Champion, candidates should display
good sportsmanship, a positive
attitude and a healthy lifestyle,
including daily milk product consumption.
From May to September 2008,
DFC and Tennis Canada will participate
in close to 75 events. DFC
representatives will hand out milk
products during tournaments and
other tennis-related activities.
A four-page insert about the program
appeared in Chatelaine’s July
issue.
For more information, visit
www.tenniseveryday.com.
International Tennis
Championships
DFC will sponsor the Rogers Cup
in Toronto from July 19 to 27 and
in Montreal from July 26 to Aug.
3. An Everyday activity centre will
include:
• a mini-tennis and smash cage;
• product tasting;
• promotional items and prizes;
• DFC dietitians.
As well, DFC’s Everyday logo will
appear on centre court. A 30-second
television ad will also be available
via closed circuit television.
Dairy Farmers of Canada brings you the latest news from the national marketing and
nutrition front with this feature. Learn more about the programs and activities we carry
out to get the most from your promotion dollar. We welcome your comments, so please
write or fax us at: DFC, c/o Communications Coordinator,1801 McGill College Ave., Suite
1000 Montreal, Quebec H3A 2N4. Fax: (514) 284-0449 or e-mail: jlefebvre@dfc-plc.ca.
18 | July 2008 | MilkPRODUCER

Set sail aboard a luxurious yacht
For a third year, DFC is partnering with Toronto Sail Escapes
to offer trips aboard luxurious yachts. Participants will be able
to enjoy a three-cheese platter prepared by DFC during their
afternoon sail.
The excursion concludes with a three-course dinner hosted by
professional wine and cheese educators at the Island Yacht
Club in Toronto, Ont. Sailing dates are July 18, Aug. 8, 15, 21
and 28 and Sept. 4.
For more information, visit www.sailescapes.ca.
Buy cheese, win a barbecue
DFC recently launched a new in-store promotion across Canada (except
Quebec) to increase consumption of Canadian cheeses. In Ontario, consumers
are encouraged to buy any two of Sobey’s 520-gram Compliments
brand cheeses to get a free one-litre Natrel chocolate milk.
Consumers can also enter a contest at allyouneedischeese.ca/summerbreeze
to win a fully equipped patio set that includes a dinning set for six, an outdoor
patio heater, a free standing umbrella and a barbecue with accessories.
A six-page recipe booklet that features a cheese or milk product in every
recipe will also be distributed as part of the campaign.
MilkPRODUCER | July 2008 | 19

How Green
Can You Grow?
Greenhouse gas calculator
provides most recent
example of dairy’s
environmental initiatives
20 | July 2008 | MilkPRODUCER
MilkPRODUCER | Month 200X | XX

ISSUESUPDATE
By Bill Dimmick
When it comes to reducing
greenhouse gas emissions
on your farm, the hard
part has just begun. While
Canadian dairy farmers have
already reduced emissions dramatically
in the past two decades, the
industry isn’t content to sit on its
laurels as public awareness and
concern about global warming
continue to grow.
“The industry in Canada is committed to decreasing
greenhouse gas (GHG) emissions associated with milk
production,” says Dr. Robert Janzen, a scientist employed
by ClimateCHECK, a consulting firm providing practical
climate change services to its clients. However, most of the
easy GHG emission reductions have already been accomplished.
“This means further decreases will require greater
innovation,” he says.
That’s where Janzen comes in. He heads a project to
develop a protocol and computerized GHG calculator for
dairy farms. “The protocol and calculator will provide
dairy farmers with a means to predict the potential environmental
benefits associated with changes in management
practices,” he says.
The dairy calculator project is managed by the Atlantic
Dairy and Forage Institute, in partnership with Dairy
Farmers of Canada (DFC), using $450,000 in funds provided
by the Advancing Canadian Agriculture and Agri-
Food Program. Project plans call for a working calculator
by early next year. Instructional workshops for dairy
farmers across Canada would be completed by March
2009.
“This will enable farmers to determine and track GHG
emissions associated with the practices used on their
farms,” says Janzen, ClimateCheck’s vice-president of
Western Canada operations. “Farmers can also predict the
GHG reduction credits they could generate by implementing
GHG-mitigating practices.”
Dairy farms by nature emit GHG. Emissions originate
from feed production, cows, and manure storage and
spreading. According to 2001 data, the most recent year
for which complete GHG numbers are available for
Canadian dairy farms, emissions break down like this:
• fertilizing, growing, harvesting and providing feed, 15
to 20 per cent;
• cows burping methane, 40 to 45 per cent;
• storing and spreading manure, 35 to 45 per cent.
Much of the media and public attention when it comes
to GHG from cows has focused on the methane they and
other ruminants exhale as they digest their feed. Methane
is rated 23 times more potent than carbon dioxide (CO2)
as a GHG.
However, Canadian cows burp far less methane and our
dairy farms emit far less GHG than they did only a few
decades ago. From 1981 to 2001, Janzen notes, GHG
emissions from all the nation’s dairy cows decreased 49
per cent. Emissions per kg of milk decreased by 35 per
cent.
“These emissions have decreased as milk production
efficiency on dairy farms has increased,” he says.
In 2001, dairy farm emissions comprised about 1.5 per
cent of total GHG in Canada. Producers, meanwhile, have
continued to implement efficiencies since then, estimated
to reduce GHG by one per cent per year, says Émie
Désilets, DFC’s GHG coordinator.
“The last data I have show dairy production represented
less than one per cent of total Canadian GHG emissions,”
she says. “I would say it is a meaningful contribution
from the dairy sector toward combating GHG. Dairy
farmers are doing their share.”
A 2006 report published by the United Nations Food
and Agriculture Organization puts the Canadian numbers
in perspective. It concludes livestock, measured in CO2
equivalent, account for 18 per cent of GHG emissions
worldwide, more than the transportation industry.
The situation in this country is reversed, according to
Désilets. “The transportation sector creates nearly six
times more GHG emissions than cattle,” she says.
MilkPRODUCER | July 2008 | 21

You can continue on this green path, and improve your
bottom line at the same time, using the GHG calculator’s
output with your own operation’s costs. This will give you
the information needed for comprehensive cost-benefit
analysis of GHG mitigation practices.
As production efficiency increases, GHG emissions generally
decrease, Janzen explains. He expects the calculator
to serve “as a powerful tool to identify the interconnection
of environmental and economic benefits. That is, with
farm-specific estimates of costs for these strategies, dairy
farmers will be able to predict the costs and benefits for
implementing environment-enhancing practices on their
farms.”
The protocol and calculator are tools necessary for
Canadian dairy farmers to evaluate possible participation
in the emerging markets for GHG reduction credits, he
adds. “Many of these strategies have been demonstrated
on dairy farms in Canada through DFC’s programs. Using
the protocol and calculator, farmers will accurately assess
the potential to generate GHG reduction credits on their
farms.”
You probably have most of the information you need.
These include records of feed composition, feed intake,
milk production, milk composition, lactation length and
animal inventories. “Farmers will also need to demonstrate
implementation of a whole farm nutrient management
plan,” Janzen says.
The protocol and calculator are also designed to connect
to GHG reduction protocols to other aspects of the
farming enterprise. “For example, farmers may choose to
install an anaerobic digester to generate alternative energy
and GHG reduction credits. Tying back into the economic
benefits, the GHG reduction credits can then be
traded on a carbon market, providing financial incentives.”
Development of the calculator provides another example
of GHG mitigation initiatives that began shortly after
Canada signed the Kyoto Protocol in December 2002.
Researchers, funded through a federal program administered
by Dairy Farmers of Canada, set up four projects,
one each in the Maritimes, Quebec, Ontario and the West,
that looked at ways you could reduce on-farm GHG emissions.
The projects have been completed and evaluated for
their economic as well as environmental impact. An article
detailing the results was published in the February
2008 issue of The Milk Producer.
While you’re waiting for the GHG calculator’s release,
the most important step you can take to reduce GHG
emissions is to keep improving efficiency, says DFC’s
Désilets. “The fewer cows needed to produce more milk
means less methane emitted, less manure to spread, less
feed to grow, and less fuel consumed. That means reducing
your farm’s impact on the environment.”
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22 | July 2008 | MilkPRODUCER
TAKE A
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Forget the 100 mile diet.
Food fashionistas these
days are embracing an
newer concept as they
strive to help save the
planet by environmentally
friendly dining. They want
to know the carbon footprint
of the food they consume.
Websites devoted to all
things green have been
abuzz about a study released
this spring by Carnegie Mellon
University researchers
Christopher L. Weber and H. Scott
Matthews. They argue that how food
is produced has a far greater impact on
greenhouse gas (GHG) emissions than how far
it has been transported. That leads them to suggest
Americans can reduce their food-related impact on the
climate by consuming less beef and fewer dairy products.
Their numbers show consuming chicken, fish or vegetables
one day a week instead of beef and dairy products
would be the same as driving 1,600 fewer kilometres
per year. The buzz about their study has spilled off
the trendy websites and into mainstream media.
The answer to why respected scientists like Weber and
Matthews would even bother with a study on this subject
goes back 20 years. Dr. James Hansen, a climatologist
with the National Aeronautics and Space
Administration, made a startling statement before a U.S.
Senate hearing: “The greenhouse effect has been detected,
and it is changing our climate now.”
After two decades of debate, the vast majority of scientific
opinion today sides with him.
Carbon dioxide (CO2), methane, nitrous oxide (N2O)
and even water vapour are considered greenhouse gases.
They trap some of the sun’s heat on the earth’s surface,
creating a greenhouse effect. Without these gases, scientists
explain, the earth would reflect much of the sun’s
heat back into space. That would turn our planet into a
giant snowball.
While greenhouse gases play a vital role in maintaining
a habitable environment, humanity has contributed too
much of a good thing. The scientific community has
reached a broad consensus that we have been gradually
warming the earth since the industrial revolution some
200 years ago.
By December 1997, representatives from 160 nations
gathered in the Japanese city of Kyoto to develop a plan
that would curb greenhouse gas emissions and stave off
global warming. The Kyoto Protocol set targets for
reducing GHG emissions. Some major emitters, notably
the U.S., ignored it, and the debate about taking action
raged on. Then Al Gore lost his run for the presidency to
Why Dairy’s
Going Green
George W. Bush.
After licking his wounds,
Gore became an environmental
advocate. His slide
show presentation, “An
Inconvenient Truth,” was
made into an award-winning
documentary, viewed
by millions around the
world. His warnings about
melting ice caps, rising
oceans and general environmental
Armageddon gripped
the public’s attention.
Gore’s impact reinforced a
trend of businesses embracing
green trends to position their products
or services as environmentally
friendly. The dairy industry is no exception.
In the U.S., producer and processor organizations
launched a joint “sustainability initiative.” It encourages
industry innovations and improved environmental performance
“to position the industry for future marketplace
demands.”
About 30 per cent of U.S. consumers buy products
based on their health and sustainability attributes,
according to the news release announcing the initiative.
Surveys indicate 85 per cent of consumer product companies
have sustainability policies in place.
The three dairy organizations involved—National
Milk Producers Federation, Dairy Management Inc. and
International Dairy foods Association—are analysing
milk’s carbon footprint. The industry will use the results
to find ways to increase sustainable practices.
In the United Kingdom, an industry umbrella organization,
Dairy UK, has launched a program aimed at greening
milk from farm to consumer. Targets include a 20 to
30 per cent reduction by 2020 in dairy farm GHG emissions
from 1990 levels.
Individual dairy companies and co-operatives are
undertaking similar initiatives. New Zealand’s Fonterra
and Denmark’s Arla have announced plans to measure
their carbon footprints and cut GHG emissions.
In late June, producers from 40 countries gathered in
Edinburgh, Scotland for the First Dairy Summit under
the theme, “The heat is on.” Organized by the
International Dairy Federation and DeLaval, which markets
dairy production equipment worldwide, the event is
totally devoted to global warming.
“Our aim is to give dairy producers some practical,
hands-on advice on what they can do to reduce environmental
impact as part of their daily routines,” says David
Homer, a British dairy farmer and chair of the organizing
committee. “We all have a responsibility when it
comes to these questions, and we can contribute one way
or the other.”
Image created by Reto Stöckli, Nazmi El Saleous, and Marit Jentoft-Nilsen, NASA GSFC
MilkPRODUCER | July 2008 | 23

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FARMPROFILE By Bill Dimmick
Team player
New DFO board
member sees
co-operation as
key to success
When John and Dina Haasen
immigrated to Canada from
The Netherlands in the
1950s, they had set their sights on
dairy farming in their newly adopted
country. However, shipping industrial
milk or cream had no allure. Low
returns back then condemned many
farm families to a constant struggle
for survival.
While working in vegetable production
near Grand Bend in southern
Ontario, John got word from his
brother that well-paying employment
could be had far to the north. He and
Dina moved to Timmins, where he
went to work in the mines as a
labourer. Once there, he and Dina
also discovered a thriving dairy
industry amid the mining and
forestry that dominated northern
Ontario’s economic landscape.
The local dairy in Timmins, 700
kilometres north of Toronto, sourced
its raw milk supply locally from more
than 30 area dairy farmers. They
received contracts that guaranteed set
volumes at a fair return. Here, the
hard-working Dutch immigrants saw
opportunity, and soon settled onto
their own dairy enterprise.
One of their children, Frank,
remained on the farm. He eventually
Frank Haasen is convinced of supply management’s
value and hopes to contribute to its continued success.
26 | July 2008 | MilkPRODUCER

took over the operation’s reins and
followed in his father’s footsteps as
an active member of the local dairy
producer committee. Today, Frank
represents Region 12, acclaimed last
fall as the newest member on the
Dairy Farmers of Ontario (DFO)
The Haasen team: John, left, Eddy, Frank and Ivy.
board. His sprawling region covers
the province’s northern districts and
Haliburton County.
A passionate advocate of supply
management, Frank describes his
parents’ early experience as a solid
argument to support the current system.
“Those contracts were much like
the quotas we have today,” he says.
His passion and support for the
dairy industry and the marketing system
led him to consider running for
the board member’s seat. “I’m convinced
of supply management’s value,
and I also have a lot of interest in
what’s going on,” he says. “I wanted
to do it (run for the board) for quite
a while, and I’m hoping to contribute.”
Other northern dairy farmers have
long recognized Frank as a potential
board member. Two of his predecessors
who represented Region 12,
John Vanthof and Jean Guy Seguin,
had suggested he consider running
for the position when they stepped
down. However, Frank chose to wait
until the time was right.
When Vanthof announced he
would be running as an NDP candidate
in the 2007 provincial election
and not seeking re-election to the
board, Frank decided the right time
might finally have arrived. First, he
sounded out the views of his wife,
Ivy, and youngest son, Eddy, who
have integral roles in operating
Haasen Farms. “There’s no way I
would have done this without the
support of my family,” he says.
“It was a big step,” says Eddy. “It
meant a lot more responsibility for
me, but it was a good opportunity for
him. And, he’s a good person for the
job.”
Ivy offers a similar opinion. “It
means Eddy and I have to work a little
harder when Frank’s away on
board business,” she says. “But we
always support him.”
Frank met Ivy during the 1970s
through mutual friends. They married
in 1978, and are celebrating their
30th anniversary in August.
Before meeting Frank, Ivy’s only
contact with cows had been a few visits
to her uncle’s dairy farm near
MilkPRODUCER | July 2008 | 27

Truro, Nova Scotia. She grew up in
South Porcupine, now part of the
City of Timmins, and worked at a
bank. Marrying a dairy farmer meant
transitioning to a different way of
life. “I was terrified of cows,” she
recalls with a smile. “It took a few
years, but I overcame it.”
She continued working at the bank
until the first of their three children
was born. Then it was motherhood
and farming full-time.
Frank refers to Ivy as his partner in
life and in business. They are the
principal owners of Haasen Farms.
John, now in his 80s, still shows up
daily to help with chores and holds a
share. Family plans call for Eddy to
28 | July 2008 | MilkPRODUCER
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take ownership of his grandfather’s
share this fall.
Jonathan, 28, Frank and Ivy’s eldest
son, is an ironworker and their
daughter, Sonya works in marketing.
Eddy, 23, after trying a few other
occupations after high school, made
up his mind he wanted to be a dairy
farmer. After attending
Kemptville Agricultural
College, he came back to
the operation full-time.
The Haasens milk 80
cows—a mostly Holstein
herd sprinkled with a
few Brown Swiss—on their 500-acre
farm, and grow most of their own
feed. The climate precludes corn, but
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their herd thrives on a barley and
alfalfa-grass hay total mixed ration.
They strive to be among Ontario’s
top 30 of CanWest DHI herds for
production per cow.
They also strive for producing
high-quality milk, and have a Gold
Seal Certificate to prove it. “We’re
Haasen Farms is the only dairy
operation left in Timmins. That means
they can’t hire custom operators since
there are none in the area.
always trying to do a little better,”
Frank says.
Farming where they do, the Haasens
face challenges more southerly operations
never have to consider. The local
dairy is long gone, as are all the dairy
farms that once supplied it, except
Haasen Farms. It’s the only dairy farm
left in the City of Timmins, and their
nearest dairy farming neighbour is
now 60 km away.
That means, for instance, they can’t
hire custom operators to spread
manure, or plant or harvest grain.
There are none in the area. Their herd
veterinarian has to travel 200 km
from New Liskeard, Frank notes.
On the plus side, they’re just a 15-
minute drive from town and the dealers
who sell and service mining
equipment. These dealers can also
service much of the Haasens’ farm
equipment. “A tractor is a tractor
whether it’s used in a mine or on a
farm,” he says.
When it comes to dividing up
duties on the farm, no one has a
defined job. “We work as a team.
What needs doing just gets done,”
Frank says.
He used the team analogy in his
acceptance speech last year when
Haasen Farms was named Company
of the Year in the one to 15 employees
category of the Northern Ontario
Business Association awards. “We
were thrilled,” he says of the family’s
reaction when they learned they had
won.
“We like what we do, and we’re
proud of what we do,” he says.

Ivy and Frank: partners in life and in business.
Frank hopes a sense of teamwork
and co-operation can carry the
Canadian dairy industry forward,
too. DFO needs to work with others,
whether it’s Quebec, the P5 or
the rest of Canada, he says.
He counts processors as a key part
of the success equation. He senses
there is still work ahead to improve
the relationship between producers
and processors, and believes the
industry has to continue in this
direction. “If we all work together,
supply management works well.
Everybody wins—producers, processors
and consumers.”
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Sheldon
Froese
204-371-5131
MilkPRODUCER | July 2008 | 29

PROCESSORSPOTLIGHT
By Sharon Laidlaw
A healthy perspective
Functional foods and nutrition are at the heart of Parmalat
Functional foods are here to
stay, says Cheryl Smith, national
vice-president, consumer
and trade marketing, Parmalat
Canada.
With more consumers turning
to food for added nutrition,
Parmalat has put all its
energy behind this growing
trend.
“Functional foods fit the
trend of health and wellness.
More Canadians are focusing
on healthy, active living and
wellness, and prefer to get
their nutrition from food
rather than take a pill,” she
says.
There is a wide variety of
functional foods available on
the market. Most contain probiotics,
prebiotics, conjugated
linoleic acid (CLA) or omega-
3 fatty acids, or a combination
of these.
Dairy foods, in particular,
are seen as an ideal delivery
system to support these functional
ingredients.
In 2004, the Global Market
review of functional foods
estimated Canadians spend
more than $2.7 billion on
functional foods per year.
“Dairy products are already
an integral part of a healthy
diet,” says Smith. “Adding
functional ingredients maintains
the same great flavour
and doesn’t require the consumer
to change their eating
habits.”
Parmalat Canada has be-come
a prominent player in the this
country’s functional food category.
With over 120 years of
experience in the Canadian
dairy industry, Parmalat Canada
employs more than
2,900 and operates 18 facilities
across the country, producing
a variety of milk,
dairy products and cheese.
Its Astro BioBest yogurt,
launched more than 10
years ago, was the first probiotic
yogurt on the market.
Each serving of Astro
BioBest Vitalité contains one
billion probiotic cultures,
friendly bacteria that benefit
the digestive system and
protect the body’s immune
system, Parmalat claims.
In 2006, Parmalat Canada
released Astro Jeunesse as
the first yogurt containing
betacarotene and grape seed
extract—antioxidants
believed to prevent and control
numerous ailments by
protecting cells from damage.
“Parmalat is very proud
of the incredible success of
its BioBest functional yogurt
line, led by BioBest Vitalité
yogurt, and its launch of
BioBest Maximmunité, a
Canadians spend an average
$2.7 billion per year on functional
foods, a key market for
Parmalat’s dairy products.
30 | July 2008 | MilkPRODUCER

probiotic drink containing 10 billion
active probiotic cultures,” says Smith.
Functional milk products make up
a quarter of the premium milk market
in Canada. Sales of lactose-free,
omega-3 and DHA milk products
have been growing consistently for
the past few years.
Astro BioBest Smart Growth
yogurt, which targets kids, is made
from milk produced from cows fed
with DHA and EPA, two types of
omega-3 fatty acids, as well as probiotics
and prebiotic fibre. Adequate
intake of these fatty acids are said to
support normal development of the
brain, eyes and nerves, says Smith.
Parmalat has also incorporated
DHA and EPA into its Black
Diamond Smart Growth Cheestrings
and its Lactantia and Beatrice Smart
Growth milk.
In February, Parmalat released
Vitalité, a prebiotic fibre milk beverage
that contains four grams of
inulin, a natural, soluble fibre
extracted from the chicory
plant. It won top spot
at the 15th Annual
Canadian Grand Prix
Awards.
Parmalat’s Smart Growth
products were also
recognized with a Sial
D’or Award nomination.
This international award
recognizes successful innovative
commercial products.
“Parmalat is committed
to health and wellness,”
says Smith. “We strive to
provide nutrition and wellness
to consumers throughout
the world. It is our goal to
make Parmalat one of the top
players in the global market for
functional foods, by delivering improved
nutrition and wellness to consumers.”
Smith is optimistic about the industry’s
future. “Parmalat continues to
Parmalat’s Astro BioBest yogurt is made
with milk from cows fed with DHA and EPA.
invest in new, innovative products. I
expect functional foods are here to
stay, and their popularity and consumption
will continue to grow,” she
says.
Belleville Cheese Warehouse
SCHOLARSHIPS
To commemorate the valuable role that the Belleville
Cheese Warehouse played for the dairy industry over
many years, Dairy Farmers of Ontario established a
scholarship program in 1995.
The program offers up to four $3,000 scholarships to
students entering a degree or diploma program in agriculture.
The scholarships will be payable in two instalments,
one in semester one and one in semester three,
based on satisfactory progress. Selection criteria for this
award include:
• the son or daughter of a DFO licensed dairy producer;
• students entering semester one of the agricultural
degree programs including B.Sc. (Agr.), B. Comm.
(Agr. Business), B.Sc. (Animal Biology, Food Science);
or semester one of a diploma program in agriculture;
• high academic achievement;
• demonstrated leadership ability through high school
and community extra-curricular activities;
• an assessment of future career objectives;
• sons/daughters of current board members are not
eligible for these awards; and
• the awards are not tenable with other entrance
scholarships above $3,000.
Your application should include:
• your name, address and postal code;
• your relationship to a DFO licence holder and the DFO
licence number;
• the course you are enrolled in and the name of the
university or college;
• a brief outline of your future career plans indicating
the area in which you intend to specialize;
• a list of your extra-curricular activities in secondary
school;
• a list of your community activities during the past five
years;
• other entrance scholarship awards received or
pending in 2008;
• a note with your signature certifying the information
supplied is correct.
Completed applications must be accompanied by a
copy of your academic transcript of record, and forwarded
by August 29, 2008 to:
Wes Lane
Director, Communications
and Planning Division
Dairy Farmers of Ontario
6780 Campobello Road
Mississauga, Ontario
L5N 2L8
DAIRY FARMERS
OF ONTARIO
MilkPRODUCER | July 2008 | 31

FARMFINANCE
By Sharon Laidlaw
A critical decision
Investing in critical illness insurance means business as usual while you recover
You or one of your employees
has just been diagnosed with
cancer. What will happen to
the business is often your first
thought. Not too worry, if you’ve
invested in critical illness insurance,
says Colin Corner, senior consultant
for The Wealth & Benefits Group,
based in Brantford, Ont.
This specific type of policy differs
from illness and disability insurance.
For one, critical illness pays out a
tax-free lump sum benefit and covers
such things as heart attack, cancer or
organ failure.
“It’s an excellent option for dairy
farmers because it enables them to
hire someone immediately to help run
the business,” says Corner. If you
decide to sell your farm to a third
party, you can use the funds to pay for
any capital gains tax. “It’s liquid cash
to do what needs to be done quickly,”
he says.
As a busy dairy farmer, you have little
time to think about the consequences
of an injury. But, accidents and
illnesses can happen to anyone at any
time. A strong financial plan that
includes disability insurance can provide
much needed income in the event
of an injury or illness.
Disability insurance is paid as a
monthly benefit and can be harder
for farmers to acquire, says Corner.
Dairy farmers have to prove their
annual income, which can be challenging
because in many cases, after
deducting all operating and overhead
costs, a producer’s net earnings are
substantially reduced. This makes it
difficult to get the proper amount of
coverage since it’s based on earned
income.
Investing in critical illness
insurance sooner rather than
later can save you a lot of
heartache down the road.
32 | July 2008 | MilkPRODUCER

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Dealing with the inevitable
Besides being susceptible to falls, slips
and accidents on the farm, there are
many other health risks dairy farmers
face. One is Farmer’s Lung, which
occurs from breathing dust from
moldy feed like hay, straw and grain.
It is one of the most disabling diseases
among dairy farmers.
Farmers feeding moldy hay to their
cows are exposed to a large amount
of dust particles that can get trapped
in the lungs. Long-term exposure can
cause permanent lung damage or
even death.
Cancer, heart attack or stroke are
the three most common critical illnesses,
occurring across all ages in
Canada. Dairy farmers are not immune
to these diseases.
According to 2001 statistics from
the Heart and Stroke Foundation and
the National Cancer Institute of
Canada, about 250,000 Canadians
are diagnosed with cancer, heart
attack or stroke annually. Thanks to
improved medical treatments, most
will survive.
Investing in critical illness insurance
sooner rather than later can save
you a lot of heartache down the road.
Taking the time to assess your insurance
needs is an important first step
in managing your risks.
There are several major issues you
should include in any risk management
plan, regardless of size or type
of business, says Corner. These key
areas include:
• Income replacement—determine how
much income you need to keep the
business and household functioning
normally;
• Capital requirements—figure out what
funds are needed to pay for expenses like
loans, mortgages, tuition fees for
dependents, and so forth;
• Estate Planning—decide which one
of your dependents will temporarily
take over the farm while you recover.
This may or may not become a permanent
transition.
You should be prepared to answer
the following questions, says Corner:
“If I passed away or became severely
ill, how would the business and my
family be affected? Who would continue
running the farm in my absence?
How will my employees be
affected?”
Upgrade your policy
Most large dairy operations recognize
that having insurance for key
members of the operation is critical,
particularly if the business is operating
as a partnership.
Consider the ramifications to your
business if your partner suddenly
died. Having buy-sell funding insurance
could save you from bankruptcy,
says Corner.
This type of tax-free benefit is
automatically paid into the partnership,
which is then paid into the business.
“Essentially, it is money that can be
used to buy out the deceased person’s
interest or share of the business,” he
says. “It’s a good way to keep the
partnership solvent.”
Sharon Laidlaw is assistant editor of
The Milk Producer. Written with
files from BDO Dunwoody.
34 | July 2008 | MilkPRODUCER

RUMINATIONS
By Barry Potter
A short cut that works
You can make better silage
by chopping your corn into
finer particle sizes. Your
cows can thrive on it, too
Those tell-tale nose prints in the
total mixed ration (TMR) you
put in front of your milking
herd provide indisputable evidence
the cows have been sorting their feed
again. Chopping your corn silage into
finer particles can help reduce sorting
and won’t hurt performance—as long
as you take other steps to ensure your
animals get enough effective fibre.
The recipe for properly ensiling
corn includes maturity, moisture content
and hybrid selection. Chopping
it fine allows better packing density,
fermentation and maintenance of
nutritive value.
However, fine chopping raises
some serious questions:
• will reducing corn silage particle
size impact the cow’s eating activity?
• what’s the impact of fine chopping
on cow’s rumen?
• how do you balance quality in the
bunker with quality in the feed bunk?
A research study by P.J. Kononoff
and associates recently answered the
Ruminations is prepared by Ontario Ministry of
Agriculture, Food and Rural Affairs livestock
technology specialists to provide information
you can use on your farm.
Cows sort their TMR less as corn silage length is shortened.
first two questions, and a simple
device for measuring particle size can
take care of the third.
The researchers looked at the effect
of corn silage particle size on eating
behaviour, chewing activities and
rumen fermentation in lactating dairy
cows. Four groups of cows were
offered four different diets over a
period of time. These diets had similar
chemistry, but varied corn silage
particle size. Lengths were short (7.4
mm), mostly short (7.8 mm), mostly
long (8.3 mm) and long (8.8 mm).
Shorter cut preferred
In the study, cows increased dry matter
intake as the silage cut length was
decreased. Also, the amount of neutral
detergent fibre (NDF) intake
increased as the chop got finer, and
leftover feed, or orts, had less NDF
remaining.
While fine chopping or processing
corn silage may take more power, it
definitely reduces sorting by cows.
Reducing particle size resulted in less
sorting and greater consumption of
coarse, high-fibre particles, the
researchers found. The longest particle
size resulted in the most sorting.
Effects on rumen
It is generally accepted that cows
secrete less buffer saliva when fed
short particle size forages. This
should then lower rumen pH and
butterfat percentage. Having enough
MilkPRODUCER | July 2008 | 35

effective fibre should stimulate chewing
activity, an indicator of the diet’s
effect on the rumen.
While cows increased their intake
of fine-chopped silage, they also
spent less time chewing each unit of
dry matter and NDF consumed. But
the reduced chewing time did not
impact rumen pH. This was possibly
due to cows continuing to secrete
saliva while resting.
Type Corn Silage Haylage TMR
Sieve Size % DM Retained
> 19.0 mm 5 +/-3 15 +/- 5 5 +/- 3
19.0-8.0 mm 55 +/- 10 60 +/- 15 40 +/- 10
8.0-1.18 mm 40 +/- 10 30 +/- 10 40 +/- 10
< 1.18 mm

RESEARCH
By Anupriya Dewan and
Sarah Van Engelen
Protein power
How amino acid imbalance can stimulate milk fat production
Altering levels of amino acids in
your herd’s diet may increase
fat and reduce milk’s protein
content, according to University of
Guelph research.
Professor John Cant has been
studying the effect of incomplete
amino acid profiles—diets with deficient
or imbalanced amino acid levels—on
fat production. He believes
altering a cow’s amino acid profile
may help position milk to meet
changing market demands.
“So far, we know amino acid
imbalance can affect milk fat,” says
Cant. “What we need to figure out is
the mechanism of how it happens.”
In cow milk, fat and protein content
are linked. Amino acids are the
building blocks of protein. An increase
in milk’s fat content means
reduced protein content. Cant believes
if a cow is fed a low amino acid
diet, it will not produce high levels of
protein in its milk. Instead, it will
make milk fat.
Altering milk’s protein content
without impacting the protein needed
by the cow to maintain body performance
can be difficult, says Cant.
Making sure the cow’s health is not
compromised by increasing fat content
is crucial.
Changing amino acid feed composition
is a challenge because microbes
in a cow’s stomach change the protein’s
composition during digestion.
The protein in the diet is not what
the cow is actually absorbing. Controlling
amino acid levels in the cow’s
diet is an important first step.
To do this, Cant will experiment by
feeding cows a low amino acid diet,
which will eventually be supplemented
by varying amino acid mixes
infused directly into the bloodstream
of cows. In some cases, the cows will
be infused by an amino acid mixture
completely deficient in a particular
amino acid. Histidine, an amino acid
known to play a critical role in milk
protein production, will be eliminated
first.
The impact amino acids have on
milk’s protein and fat levels vary. It is
believed a diet deficient in certain
amino acids could play a vital role in
milk production or an imbalanced diet
could alter blood flow to mammary
tissues. Likewise, a lack of certain
amino acids could change a cow’s
metabolism, resulting in fat being directly
deposited into the milk.
“Some nutritional changes in diet
can change the composition of milk
within a couple of weeks,” says Cant.
“We want to be able to adjust what
the cow is producing to match the
market’s demand without changing
the herd.”
Altering amino acids in your herd’s diet may affect
your milk’s protein and fat levels.
Anupriya Dewan and Sarah Van
Engelen are student writers with the
University of Guelph’s office of
research. Also involved in this research
are University of Guelph professors
Vern Osborne, Norm Purdie and
Carmen Chui and Anna-Kate
Shoveller from P & G PetCare.
Funding for this research was provided
by Dairy Farmers of Canada and
the Natural Sciences and Engineering
Research Council.
MilkPRODUCER | July 2008 | 37

APPLIEDSCIENCE
By Ian Dohoo, Signe Andersen, Simon Dufour
and Anne-Marie ChristenIan
Seeing is believing
Research project set up to determine how well mastitis
control measures work, or may not work, in your herd
You can’t measure what you
can’t see. That makes it difficult
to determine whether mastitis
control steps you undertake are
reducing the incidence of new intramammary
infections in your herd.
New mastitis cases, developed during
the dry period and lactation,
increase your herd’s overall infection
level. Many new infections are subclinical.
While invisible to you, they
may be causing milk production to
drop.
Where do these infections come
from and how frequently do they
occur? A research project by
Canadian Bovine Mastitis Research
Network (CBMRN) is addressing
this question.
Disease study lessons
Prevalence measures a disease’s presence
in a population, such as your
herd, at a specific time. It is like taking
a snapshot: you collect milk samples
from a number of your cows, or
all of them, and then analyse them by
culturing the bacteria and taking cell
counts.
Click—you have a snapshot of
your herd’s infection level on that
particular day. Virtually all bovine
mastitis studies are based on such
prevalence measures.
The prevalence of new mastitis
cases depends on two criteria: incidence
and duration. Incidence is the
number of cows newly infected per
week and duration is the length of
time they are infected.
You can’t take a snapshot of incidence
the way you can for prevalence.
New infections can occur every
day, constantly changing the picture.
To control disease, however, it is
important to know the frequency at
which new infections occur. Changing
one aspect of herd management
quickly shows up as an increase or
decrease in the new infection rate.
Without even knowing it, a particular
aspect of your daily management
practices may be causing all your
mastitis headaches.
Herd management lessons
For a new mastitis infection to occur,
several conditions must exist at the
same time. A wide range of factors,
often interconnected, will influence
your cows’ ability to resist new infections
(see diagram next page). For
example, everything related to the
cleanliness of your cows’ stalls affects
the number of bacteria present. More
bacteria increase chances of a new
infection. If teat ends are severely calloused,
the likelihood of infection
becomes even higher. This makes
herd management a major influence
on the new infection incidence.
A research team recently investigated
management practices used by
282 dairy farms in nine Canadian
provinces. The team also assessed the
prevalence of pathogens responsible
for mastitis by sampling the milk
from these farms’ bulk tanks.
For example, researchers detected
Staphylococcus aureus on 73 per cent
of the farms, but with substantial
variations from one province to
another. They ranged from 90 per
cent in Saskatchewan to 41 per cent
in British Columbia.
In looking at management practices,
researchers found 96 per cent of the
farms disinfected the teats after milking,
while 72 per cent gave all cows a
dry-cow treatment at drying-off (see
table below). In tie-stall operations, 50
per cent of people who milked cows
wore gloves, compared with 74 per
cent in free-stall operations.
Pathogens found in various parts of
Canada do differ, as do some of the
management practices applied. Could
these two factors somehow be connected?
By looking at the interaction
between the presence of Staph.
Some management practices applied on Canadian dairy farms (%)
Management Practices Tie stalls Free stalls All farms
(n=132) (n=128)
Dinsinfect teats after milking 94,6 97,7 95,6
Put on latex or similar gloves before milking * 50,0 74,0 61,5
Give all cows dry-cow treatment at dry-off 67,9 76,4 72,3
Soft stall bases (rubber mat or mattress)* 75,8 59,8 68,0
Balance cows’ rations at least twice per year * 74,2 93,0 81,5
*difference between the two types of stalls is significant
For a complete table, see Richard G.M. Olde Riekerink and H.W. Barkema. 2007. www.mastitisnetwork.org,
Mastitis: Online Resources /Research Results.
38 | July 2008 | MilkPRODUCER

Number of infected cows
(reservoir)
Purchases of
infected animals
Antibiotic treatments for all
cows at dry-off
Milking order
(Chronic/High SCC/Clinical mastitis
Milk methods
(individual towels, gloves, first
squirts, milker’s attitude
Milking system
aureus on dairy farms and the farms’
management practices, the researchers
showed treating all cows at drying-off,
adjusting the cows’ rations
twice per year and having an animal
nutrition specialist do the balancing
were factors associated with less likelihood
of finding Staph. aureus in
bulk tanks. In contrast, having soft
stall floors, such as rubber mats or
mattresses, increased the probability
of finding Staph. aureus.
These examples show certain management
practices—and sometimes
ones you would not suspect—can
influence mastitis infection prevalence
on your farm. However, to
improve mastitis-control programs
already in place, we must now identify
management practices that affect
infection incidence. We must also
develop tools that will let us estimate
incidence on your farm.
Applying the lessons
The best way to control sub-clinical
mastitis is to prevent new infections
from occurring. One of our study’s
objectives is to identify management
practices associated with a high number
of new infections. Once we have
identified them as risk factors, we can
develop methods of controlling them
to achieve a long-term reduction in
the mastitis infection rate.
By estimating the effect of each risk
factor on infection incidence, we will
New intramammary infections
Ease of transmission Host Resistance Infection pressure
in environment
Age/Parity
Days in milk
Production
Genetics
Conformation
Rations (Se, Ca. Mcal)
Diseases
Vaccination
Teat sphincter calluses
Teat injuries
Teat dip after milking
Stocking density
Free or tie stalls
Type of bedding
Cleaning frequency
Cow cleanliness
Interrelationships between management practices
and intramammary infections
also be able to prioritize solutions
that will most effectively prevent high
infection rates, according to the various
bacteria that cause mastitis.
For you to effectively change your
management, however, you need to see
the impact those changes are having on
the rate of new infections in your herd.
Toward this end, we will be developing
monitoring tools you can use to estimate
the rate of new infections. These
tools will be based on routinely available
data, such as somatic cell count
(SCC) from the cow, the bulk tank
SCC, production data compiled by
dairy-monitoring organizations and
bacteriological data.
Ian Dohoo is a professor of epidemiology
at the Atlantic Veterinary College,
University of Prince Edward Island,
Signe Andersen is a veterinarian and
PhD student at that same college, Simon
Dufour is a veterinarian and MSc
student at the Faculty of Veterinary
Medicine of the Université de Montréal,
and Anne-Marie Christen is the transfer
manager of the CBMRN.
Research priority for dairy producers
This challenging project, one of the 10 main research projects now being conducted by the
CBMRN, is being carried out by a team of eight researchers and four graduate students
based at the Atlantic Veterinary College of the University of Prince Edward Island, under
the direction of Dr. Ian Dohoo. Their objectives are:
• determining the incidence of new mastitis infections in Canadian herds during the dry
period and lactation;
• developing tools that will let you estimate the rate of new infections in your herd;
• evaluating management practices as risk factors that influence the incidence of new
infections, and see how they differ from the management practices that influence the duration
of infections;
• studying the dynamics of infections in dairy cows, with particular emphasis on determining
how minor pathogens influence the risk of infections by major pathogens, and how an
infection in one quarter influences the risk of infection in the other quarters of the same
udder.
The project’s overall protocol calls for collecting nearly 100,000 milk samples over two
years from National Cohort of Dairy Farms. Questionnaires will be used to assess management
practices on these farms.
The National Cohort of Dairy Farms comprises 78 dairy farms in seven Canadian
provinces. Established in fall 2006, it is
the heart of the CBMRN Core Research
Platform and the main source of data
for all network projects.
All Canadian dairy producers participate
financially in this research program and are involved at all levels of decision-making
within the CBMRN. To find out more, or to share your ideas and comments, e-mail Anne-
Marie Christen at anne-marie.christen@umontreal.ca or visit www.mastitisnetwork.org.
MilkPRODUCER | July 2008 | 39

MARKETS
Producers put brakes on production
Ontario milk producers have
put the brakes on production,
and are on track to end the
current dairy year on July 31 at or
just below 100 per cent of the
province’s quota. That means they
will likely avoid a temporary quota
reduction when the new dairy year
begins Aug. 1.
Provincial production by mid-June
showed a substantial drop from a
similar period a year ago. Phil Cairns,
Dairy Farmers of Ontario (DFO) senior
policy adviser, expects the downward
trend will continue.
In the spring, Ontario’s production
trend indicated the province would
end the dairy year more than 1.5 per
cent over its provincial quota. Under
a national policy agreement, overquota
production by a province in
the current dairy year is considered a
pre-fill for the next dairy year. Any
over-quota production would be temporarily
deducted from its 2008-09
quota allocation starting Aug. 1.
If Ontario did end the dairy year
over its allocation, the national policy
would essentially trigger a quota
reduction for all the province’s producers
on Aug. 1. The DFO board
has been urging producers to keep
production within their individual
quota holdings to help avoid this situation.
The board has also limited quota
credit use during June and July. The
alternative would have been reducing
quota for all producers.
DFO deems any production above
your quota holdings plus one production
credit as over-quota production.
Over-quota charges—equivalent to
the within-quota value of milk for the
month—apply to that volume, plus
normal deductions.
Continuous quota
system considered
The Canadian Milk Supply Management
Committee (CMSMC) is taking
a hard look at a proposal to introduce
a continuous quota system
nationally. Discussion is scheduled on
P5 and Western Milk Pool blend prices*
The graph below shows the 12-month blend price for the
P5 provinces and the Western Milk Pool (WMP).
*There is a two month lag reporting these figures.
74
Solids non-fat to butterfat (SNF-BF) ratio
This graph shows Ontario’s SNF-BF ratio for the last 12
months in relation to Ontario’s target SNF-BF ratio of
2.2840.
2.45
Blend price in $/hL
72
70
68
66
P5
$70.40
WMP
$70.39
SNF-BF Ratio
64
2.4
2.35
2.3
2.25
2.2
2.3023
2.15
May 2007
June 2007
July 2007
Aug 2007
Sept 2007
Oct 2007
Nov 2007
Dec 2007
Jan 2008
Feb 2008
Mar 2008
Apr 2008
June 2007
July 2007
Aug 2007
Sept 2007
Oct 2007
Nov 2007
Dec 2007
Jan 2008
Feb 2008
Mar 2008
Apr 2008
May 2008
P5 blend price
WMP blend price
Ontario’s SNF-BF ratio
Target SNF-BF ratio
40 | July 2008 | MilkPRODUCER

Daily quota prices ($/kg)
$36,000
$34,000
$32,000
$30,000
$28,000
$26,000
$24,000
$22,000
$20,000
$18,000
$16,000
June 2007
July 2007
Aug 2007
Sept 2007
Oct 2007
Nov 2007
Dec 2007
Jan 2008
this issue when the CMSMC meets
later this month.
The CMSMC Secretariat, a technical
advisory group, and a Continuous
Quota Working Group, came up with
the proposed system that would
allow meeting market requirements
at all times while reducing production
volatility.
It would also be more responsive to
market changes and allow greater
flexibility in producing 100 per cent
of market demand at national and
regional levels. Surplus production
would be kept to a minimum.
While the current system has been
working, concerns have been raised
about a disconnection between production
signals and market requirements.
The continuous quota system
would add flexibility while keeping
what has worked well.
The present national system has
fixed deadline dates for meeting set
targets. For instance, provinces producing
over their provincial quota
allotments for the dairy year ending
July 31 face penalties of temporarily
losing quota for the next dairy year
under the pre-fill policy.
The proposed new system would
replace fixed deadlines with on-going
targets, and abandon the pre-fill policy
in favour of a simple financial
penalty. It would also increase production
flexibility for provinces
Feb 2008
Mar 2008
April 2008
May 2008
June 2008
June prices
$33,235 ON
$30,500 PEI
$30,000 NS
$28,500 NB
$26,900 QC
$24,502 MB
slightly over or under their quotas.
Growth allowance revisited
The CMSMC will revisit a Secretariat
recommendation to keep a growth
allowance equivalent to 0.5 per cent
of national market sharing quota
(MSQ) when the new dairy year
starts Aug. 1.
CMSMC members, representing all
provinces, could not reach agreement
at their meeting in April on what to
do about the growth allowance, or
sleeve, in the new dairy year. The
growth allowance was introduced to
ensure markets were filled and
rebuild domestic butter stocks.
Canadian Dairy Commission butter
stocks are expected to reach a satisfactory
level this summer, and
processor stocks are at or above normal
levels. Meanwhile, domestic
requirements have leveled off after
growing during the first half of the
dairy year.
SNF cap reduced?
The CMSMC will also consider a recommendation
to slightly reduce the
national cap on the ratio of solids
non-fat (SNF) to butterfat to 2.313
from 2.32. If approved, however, it is
not expected to change policies at the
producer level.
The SNF structural surplus could
reach 80,000 tonnes by the end of the
current dairy year. The Secretariat, in
a report to the committee, noted the
main reason for the increase was the
production increase needed last year
to meet demand for replenishing butter
stocks.
MilkPRODUCER | July 2008 | 41

Ontario deductions
For May 2008
Over-
quota
Within
quota
*per hL *per hL
Average gross $75.36 $-75.80
DFO Administration $0.47 $0.47
DFO Research $0.04 $0.04
Ontario DHI $0.06 $0.06
Transportation $2.85 $2.85
Market Expansion $1.30 $1.30
Total Deductions $4.72 $4.72
Average total net $70.64 $-80.52
*These kg per hL equivalents are based
on Ontario’s May 2008 average composition
of 3.92 butterfat, 3.29 protein and
5.74 other solids, rounded to the nearest
cent.
The actual transportation rate for May
2008 was $2.72 per hL.
Ontario average net returns
Net after DFO deductions. Per hL based on yearly provincial kg-per-hL composition of
3.90 butterfat, 3.31 protein and 5.74 other solids for trend comparison only. May differ
from returns based on actual monthly composition.
$75
$70
$65
$60
B B B B B B B B
June 2007
July 2007
Aug 2007
Sep 2007
Oct 2007
Nov 2007
Dec 2007
Jan 2008
B B
B
Feb 2008
Mar 2008
Apr 2008
B
May 2008
$70.97
Producer prices for May 2008
Butterfat Protein Other Solids Return Return
per kg per kg per kg per kg/BF *per hL
Within-quota $10.05 $8.09 $1.66 $19.21 $75.36
Overquota -$9.98 -$8.08 -$1.67 -$18.88 -$75.80
Milk marketings: During the month of May total DFO milk marketings
were 4.3 per cent higher than they were the corresponding
month a year ago. Total DFO milk marketings for the 12 month period
June 2007 to May 2008 were down 1.9 per cent compared to the
same period a year earlier. 4,417 producers sold milk to DFO in May
compared to 4,568 a year earlier.
P5 utilization by class*
For April 2008 (kg of butterfat/kg of solids non-fat)
45%
40%
35%
32.67%
% Butterfat % Solids Non−Fat
30%
25%
20%
15%
10%
5%
14.02%
11.20%
2.25%
6.17%
6.17%
19.00%
21.85%
14.89%
12.61%
20.21%
1.04%
2.91%
3.10%
4.60%
1.59%
3.69%
1.82%
2.68%
15.27%
0%
1(a) 1(b) 2 3(a) 3(b) 4 5(a) 5(b) 5(c) 5(d)/4(m)
Class 1a
Class 1b
Class 2
Class 3a
Class 3b
Class 4a
Class 4b
Homo, 2%, 1%, skim, chocolate milk
flavoured milks, buttermilk
Fluid creams
Ice cream, yogurt, sour cream
Fresh cheese, specialty cheese
Cheddar cheese
Butter and powders
Condensed and evaporated milk for retail sale
Class 4c New products
Class 4d Inventory, animal feed
Class 4m Domestic surplus
Class 5a Cheese for further processing
Class 5b Non-cheese products for further processing
Class 5c Confectionery products
Class 5d Planned exports
Class 4m is grouped with 5d
42 | July 2008 | MilkPRODUCER

NEW’N’NOTED
Innovative ideas
can win big prizes
The Large Herd Operators (LHO)
and Grand Valley Fortifiers are holding
a contest for the most innovative
idea on a dairy farm.
Innovations can be related to any
aspect of dairy farming, including
labour-saving inventions, animal
handling and welfare, environmentally-friendly
farming, improved
safety, improved farming efficiency,
management improvement and so
forth.
Innovations must be an original
idea developed by the individual
submitting the idea. Also, the idea
must be operating and in use at the
time of contest entry.
This contest is open to all LHO
members (not related to the contest
judges) 21 years of age or
younger (on Dec 31, 2008), or LHO
members’ children 21 years or
younger. Older entrants are eligible
to enter if they are enrolled fulltime
in post-secondary education
(college or university). Only one
entry per person is allowed.
Prizes will be awarded for the top
three entries as determined by the
judges: first, laptop computer; second,
Apple iPod Touch; third, GPS
navigation system.
Contest entries must be received
by Fri., Aug. 15, 2008.
For details about how to enter
your idea, or join LHO, please visit
www.lho-ontario.ca.
Note: Descriptions of products and
services are for the information of our
readers only. Publication of this information
does not constitute endorsement
by The Milk Producer.
Tractor series runs on biodiesel
T
he heart of Agco’s new heavyduty,
mid-range LT Series tractors
is the B100-approved engine. The
4.4-litre power plant delivers 85-
PTO-horsepower to the LT85A and
the 95-PTO-hp to the LT95A.
The B100 approval means the
SisuDiesel engine can run on dieselbiodiesel
blends, or 100 per cent
biodiesel. “Of course, it is vital that
the biodiesel meet approved ASTM
D6751 quality standards and service
recommendations be followed,” says
Tom Weir, Agco’s mid-range and
specialty tractor marketing manager.
The bottom line, Agco claims, is a
four-cylinder design that delivers the
performance of a six-cylinder engine
with greater economy in a more
compact package.
The head design improves control
of air and fuel mix for a better burn
to lower fuel consumption with high
Agco LT 85A
efficiency even at high power.
LT tractors was designed with the
diversified livestock producer in
mind, says Weir. They combine the
versatility of utility tractors with the
ruggedness of row-crop tractors.
Customers can select from openplatform
or cab models, and two-or
four-wheel drive. “Buyers can custom-design
a tractor to match their
needs and their budget,” says Weir.
The new models are equipped
with an advanced semi-powershift
transmission, high-flow hydraulics
and a rear end built to handle one
of the highest hitch lift capacities in
the mid-range market. The tractors
also have a single-piece hood that
can be raised up and out of the way
for easier servicing.
For more information, see your
area Agco dealer or visit:
www.agcoiron.com.
MilkPRODUCER | July 2008 | 43

YOUR ONE STOP FOR LIVESTOCK HANDLING EQUIPMENT
The best Gates
• Thick, high tensile tubing,
• Tough baked-on coating
• 5 bar for heavy duty use
• 6 bar for toughest abuse
• 54” or 66” high,
• Lengths 3’ to 18’
• Unique, proven design by Smale with baked finish
• Each three-sided unit combines with similar or
straight units for many feeder layouts
• Easy to feed round, square, or bagged bales
Versatile feeders
in 6'6" or 8' sizes
Mossley, Ontario N0L 1V0 519-269-3754 • Fax 519- 269-3795
Trusted by farmers for 40 years
MICHAEL’S STABLING DEVELOPMENTS
Self-Lock S1 Head Gate
Safety - When a cow falls down, she can be easily released
Soundness - Very durable. No moving parts & no wear & tear
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Scrutinized - Registered patent for Canada & U.S.
Strong welded - Heavy duty & hot-dipped galvanized
Satisfaction - Over 20 years in business with satisfied customers in Europe, Canada and U.S....& Bermuda.
Phone & fax 519-794-3933
Williamsford, On N0H 2V0
e-mail: mpyfferoen@sympatico.ca
www.sgate.ca
Generator systems
• WinPower/Winco PTO alternators — 7 kw to 150 kw
• Automatic standby generator systems
• Large Inventory & full rewinding
and repair of electric motors
www.sommersgen.com Tavistock Ont. 1-800-690-2396
Show room open Saturday until noon
#1 CHOICE OF COMMERCIAL DAIRY PRODUCERS
gcg Diamond Pattern Cut Grooved Floors
* Maximum Traction-longest lasting
* Cleanest, Driest, Safest
* Zero maintenance, Fast payback
New Barns- DO IT RIGHT THE FIRST TIME
Aisles, Holding Areas, Yards, slats
Specialists in Concrete Grooving
1-888-447-6684 toll free
www.cowcomfort.com
Tom Armstrong BSc(Agr), DVM, MBA
Dairy Farm Business & Production Consultant
“Helping you position your dairy farm for a profitable future.”
• financial, production & animal health evaluation
• dairy expansion feasibility analysis • farm business plans
1507 Highpoint Sideroad
Caledon, Ont., L7K 0J8
Tel: 519-942-0509
Fax: 519-942-0148
e-mail: tomarmstrong@rogers.com
Where fresh heifers are a speciality
not a sideline
• Climatized
• Vaccinated
• Free stall or tie stall
Call Lloyd at 519-572-8049
This space is available to any
business that needs to reach
the $2.5 billion dairy industry
in 8 provinces.
phone Milk Producer representative
Jim Fitzgerald 1-888-460-6212
519-273-9369 • Fax 519-2739289
e-mail: jfitzger@milk.org

R
TRIPLE “P” CONSULTING~
PARTNERS IN PROFIT
Dairy Nutrition Expertise
From an Independent Consulting Company
Tom Palen and Associates
Ruminant Nutritionist
343915 Ebenezer Road P/F (519)-425-1002
RR #2 Mount Elgin, On 1-800-376-8861
N0J 1N0 Cell (519)-535-3806
triplepconsulting@execulink.com
MANUFACTURING & SALES LTD.
R. R. 1 MOOREFIELD, ON N0G 2K0
519-638-3551 Fax: 519-638-3128
e-mail: reid@wcl.on.ca
1-877-710-2296
www.jkreid.com
Call today for a Free Catalogue!
Invest in a JK Reid Hoof Trimming
Stall or Tilt Table &
avoid lost production
and suffering
of lame cows
OTHER HOOF
CARE PRODUCTS
AVAILABLE
Is Your Milk Safe?
New and Improved ! !
Delvotest SP - NT
quick and accurate on-farm
check for antibiotics in milk.
Delvo NT tests for antibiotics
and sulpha-based drugs.
No tablet required - and a
longer shelf-life ! !
Systems Plus
1-800-604-3645
sales@splus.ca
Tilstra Dairy
Equipment Ltd.
Milking & Cooling Systems
Stabling, Pasture Mats,
Rissler
Two locations
Dunnville & Woodstock
24 hour Service
Our trade area’s longest serving dealer
Woodstock 519-533-1776
Dunnville 905-774-5890
Andy Veldman
Sales Representative
Specializing in Ontario Farms
Dairy, beef, poultry and hogs
Re/Max a-b Realty Ltd.
Independently owned and operated
88 Wellington Street. Stratford ON N5A 2L2
519-273-2821 Ex 265 office
519-854-0926 cell
amveldman@quadro.net
www.andyveldman.com
AGRI-TRAC
Concrete Traction Milling
• Corduroy texture ground into flooring
• Proven to be more effective than grooving
or rubber flooring!
Secure Cattle Lead to
Secure Prots for Farmers!
Livestock Safety Specialists
Resurfacing slippery barn floors:
• Increases Milk Production
• Increases Heat Detection
• Decreases Cull Rates
• Decreases Hoof & Leg Injuries
• Decreases Hoof Trimming Costs
Call Toll Free: 1-877-966-3546
www.agritraction.com
Poultry???
Thinking about getting into
poultry or egg production?
Contact us, Ontario’s leading
supplier of poultry & egg production
equipment.
Established in 1950
24 hour, 7 day service
W. Murray Clark Ltd.
800-263-6410
905-765-4401
Fax 905-765-3922
www.theclarkcompanies.com
Are you being
"heard"
6,500 dairy farmers
with $2.5 billion
in milk sales are
listening!
Want to talk to
them?
Call Jim at
888-460-6212
MEGAPLASTPOWER ®
Bunker Silo Covers
Built for tough Canadian conditions
• Feed your whole bunker
• Thousands in use world-wide
• Up to 160 feet, all sizes, thicknesses available for any bunker
• High quality, triple plastic
• Other covers & sandbags available
Roos Seven Hills - Brownsville, Ont. 519-877-0168
Ton Zuidervaart Agri-Import Ltd. - Mitchell, Ont. 519-347-4253
John Roosendaal- Winchester, Ont. 613-774-3351
Milverton:
Theo Kersten
519-595-4382
Embro:
Bart Kersten
519-274-0703
bkersten20@yahoo.ca
Kersten Farms Ltd
Custom Work
• Liquid manure spreading
— topload & vacuum
— injection available
• Planting & tillage
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— bunkers & towers
• Combining
WOPA HOOF TRIMMING STALL
• Hot dipped Galvanized
• Walk Through Self-locking Head gate
• Different Models
Sales & Service of Farm Equipment
RR 1, Embro, Ont N0J 1J0 Canada
519-475-4381
www.wopa.nl

THEBACKFORTY
By Sharon Laidlaw
We want to hear from you
We’re asking for your help in making this back column more interactive
Ican’t believe it’s been nearly a
year since I started at Dairy
Farmers of Ontario.
A city girl at heart, I sheepishly
admit to not knowing much about
the dairy industry when I started.
Exactly how the milk I buy weekly at
the store gets on the shelf, I couldn’t
have told you. Mind you, I knew as
much as the average person, that
milk came from cows, that it had to
be pasteurized and shipped to the
store. My journalism background has
taught me a thing or two. But, that’s
where my knowledge ended. I now
know it’s not that simple. Dairy
farmers are hardworking people,
committed to providing us city folk a
premium product produced with a
lot of care and dedication.
In the short time I’ve been here,
I’ve learned more about magazine
It’s nice to stand out
from the crowd!
Silverdell Farm in Glen
Sandfield, Ont., is proudly
owned by Heidi and Keith
MacRae. The farm has been
in the family for six generations.
The MacRae’s currently
milk 42 Holsteins. Their three
children, Kristen 5, Madison
3 and Connor 2, love to help
out on the farm. Heidi sent
in this photo of their
Holsteins coming over the
hill for milking. Rising, as
she’s called, is the only red
and white Holstein in their
milking herd.
production than I ever had before.
Our magazine staff consists of three
very talented people, Bill Dimmick,
Jim Fitzgerald and myself. We
source, write and edit stories. We
also lay out pages, source photos and
deal with many contributors, some
you’ve come to know well through
their columns. When you are responsible
for so many facets of putting a
magazine together—literally from
scratch—you learn quickly. I’m sure
you can relate: limited resources, but
lots to get done on time and on budget
or you don’t get paid.
We enjoy delivering a high-quality
product to you every month, just as
you enjoy providing high-quality
milk to us daily.
We’re always looking to upgrade
the magazine. This Back Forty column
has already undergone a lot of
changes. I want it to be as interactive
as possible, which is why I’m asking
for your ideas. I’d like you to think of
this back column as another way
of connecting with your fellow producers.
Remember my call for photos? The
photo below taken by Heidi MacRae
is a perfect example. Keep them coming.
After all, this magazine is about
you, the producer. If you have any
stories, suggestions, advice or information
you’d like to share with us or
with your peers, please send them our
way. Consider this page yours. Have
you discovered a new way of doing
something on the farm? Tell us about
it. Don’t be shy. Send me an e-mail at
slaidlaw@milk.org.
I look forward to hearing from you
and reading what you submit in a
future issue.
46 | July 2008 | MilkPRODUCER

Alexandria
R.B. Farm & Dairy Equip.
613-525-3691
Brinston
Dundas Agri-Systems
613-652-4844
Earlton
Earlton Country Store
705-563-2671
Oshawa
Gordon Corners Ltd.
905-655-3177
Woodstock-Dunnville
Tilstra Dairy Equipment
519-533-1776
905-774-5890
Strathroy
Dortmans Bros
519-247-3435
Napanee
Moore Bros
613-354-5516
Tara - Listowel
Penner Farm Services (Ont)
519-934-2343
877-349-3276
Wellesley
Advanced Dairy Systems
519-656-2379
Winkler-Blumenort
Penner Farm Services
800-461-9333
204-325-9373