Cheese makers oppose new regulations in Canada
October 21, 2008
by FoodBusinessNews.net Staff
OTTAWA — Kraft Canada, Inc., Parmalat Canada, Inc. and Saputo, Inc. have together filed an application in the Federal Court of Canada to challenge regulatory changes to the Food and Drugs Act and the Canadian Agricultural Products Act that will change the way cheese sold in Canada is made.
Specifically, the new regulations, which will be effective Dec. 14, will require cheese makers to limit the use of natural constituents of milk, which also are known as modified milk or dairy ingredients.
"The clear intent of these new regulations is additional revenue for dairy farmers," said Yvan Loubier, spokesperson for Kraft, Parmalat and Saputo. "Unfortunately any gains for dairy farmers will likely be short-lived. The new regulations will hurt both cheese makers and dairy farmers. They will increase the price of cheese to consumers, may reduce cheese consumption and threaten the viability of Canada as a cheese making nation. Canada’s dairy processors are the unique market for the milk produced by Canadian dairy farms; the less cheese that is eaten by Canadian consumers, the less milk that will be needed from Canadian dairy farmers."
The companies said the changes likely will cause Canadians to pay significantly more for cheese and will have no impact on taste or nutritional quality. In addition, the cheese makers see the new regulations to be in conflict with Canada’s international trade obligations and agreements.