Dairy Farms in Canada - Industry Market Research Report

Dairy Farms in Canada - Industry Market Research Report

Dairy Farms in Canada

Canadian dairy farmers primarily raise cattle for milking, while most industry revenue comes from selling milk to dairy processors. Revenue has expanded in recent years, climbing at a CAGR of 3.3% to $11.3 billion through the end of 2023. This includes a 3.3% growth in 2023 alone as macroeconomic indicators, including consumer spending and the CPI for food, continue to climb. While consumer spending has risen, fluid milk consumption has fallen in favour of substitutes, cutting into demand for one of dairy farmers' primary products. Downstream demand for other dairy products, including yogourt, butter and cheese, has risen steadily, bolstering demand for milk products used as inputs for those goods. Dairy farmers operate on a supply management system that manages production volumes and the prices they receive for their goods according to domestic demand. This shields farmers from significant revenue volatility and helps keep profit high, especially as they have been able to pass on price increases to consumers in recent years.

The Dairy Farms industry in Canada primarily milks dairy cattle. Dairy cattle are raised for both milking and meat production, but raising, feeding and fattening cattle as dairy herd replacements are excluded from the industry.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.