Thank you.
My name is Pierre Lampron. I'm a dairy farmer from the Mauricie region. I live in Saint-Boniface-de-Shawinigan, in the heart of Quebec. I have an organic dairy farm. I'm a member of the board of directors of the Fédération des producteurs de lait du Québec and of the board of directors of the Dairy Farmers of Canada, or DFC. I deal with research files.
Mr. Chair, members of the committee, DFC is pleased to have the opportunity to provide our comments concerning the committee's study of Growing Forward 2 with a focus on the science and innovation pillar.
DFC is the national lobby, policy and promotion organization representing Canadas 13,000 dairy farms. Our mandate is to create stable conditions for the Canadian dairy industry, today and in the future. Dairy producers fund its operations, including promotional activities as well as research activities in human nutrition and health and in dairy production.
We have long recognized that science and innovation are essential to improving our farm businesses and their profitability. DFC has been investing in research in the field of human nutrition and health as well as dairy production since the 90s. Dairy farmers finance numerous projects at the national level in partnership with Agriculture and Agri-Food Canada and the Natural Sciences and Engineering Research Council.
We also provide funding for research chairs and networks in many Canadian universities. Our total yearly investment in research for the study of human nutrition and health and dairy production is $1.7 million. Of this, $750,000 is directed toward dairy producers' priorities to improve efficiency, on-farm sustainability, animal health and welfare, and dairy genetics.
Our partnerships supported hundreds of scientists, professors and students working in 22 dairy research centres and academic institutions across Canada. The contribution of research has led to tangible results year after year. Fewer cows are needed today to produce enough milk for Canadians. Since the introduction of supply management in 1971, the average herd size has increased from about 20 to 76 cows over the same period, shipments per farm have increased by about 600%. The average annual production of milk per cow has almost doubled and now exceeds 10,000 kg.
Science and innovation are important drivers for the industry's profitability. During the past year, we were pleased to be a partner under the agri-science clusters initiative. The dairy research cluster will receive close to $7.5 million, with a $1.5 million contribution from the Canadian Dairy Commission and $161,000 from the Natural Sciences and Engineering Research Council of Canada. These investments support Dairy Farmers of Canada's 25% contribution of $3 million.
The dairy research cluster has 46 research projects in human health and nutrition, sustainable development, and animal health and welfare involving more than 100 scientific experts and students from Canadian universities and research centres. This program will end on March 31, 2013.
Besides addressing industry priorities, one of the major benefits of the cluster program has been the cost-sharing arrangement with a ratio of 25% in funding from the industry and a 75% contribution by government. Consequently this formula allowed us to expand our research investments considerably to address our priorities in the interest of Canadians. It also provided an opportunity to take a more coordinated, integrated and strategic approach to address these priority issues.
However, the new cluster program and requirements have created some challenges in administration, timing and fund allocating methods. This resulted in the implementation of a five-year plan in less than three years. DFC understands that the government process for administering public funds is complex. But administrative considerations should not become an impediment to the efficient execution of projects.
Funding and support for technology transfer and communications is vital in science and innovation programs. One of the most recent achievements was the creation of the Canadian dairy research portal, a website that contains information on all dairy researchers, associated institutions, and dairy production research projects funded since 1996.
DFC intends to maintain its leadership role in supporting dairy research. In November 2011, DFC is organizing a workshop with participation from producers, scientists, governments and other industry partners, to evaluate dairy production research projects under the current cluster and identify research priorities for 2013 to 2018.
DFC hopes that science and innovation programming like the cluster will be renewed for 2013 to 2018. Continuity and long-term planning in research are essential because students and researchers need an ongoing source of funding otherwise it may be a deterrent and drain Canadian specialists who will do research in areas other than agriculture.
Over and above the five-year program, DFC believes that Agriculture and Agri-Food Canada should also commit to core funding for agricultural research on a longer-term basis. The industry needs to assess results continuously and have the flexibility to either continue in a direction based on the findings or have the option to redirect the project.
A future research program should contain a more efficient and streamlined administration and auditing process to reduce the administrative burden. Programs aimed at partnering with industry need to be more flexible, particularly as they relate to the research and science cycles. The identification and hiring of highly qualified personnel and graduate students, for example, takes time. There are many factors outside of a researcher's control in dairy production, like the planting cycle and animal reproduction, that can cause delays in the project. The level of flexibility in the program should reflect the expertise of the fund recipient in managing research and programs.
DFC believes government and industry have a role in promoting and creating awareness of the progress made in research to maintain support for research as a public good. For its part, DFC has important investments in food safety at the farm level and the promotion of best management practices at the farm level to ensure that milk leaving the farm is safe. A few examples of our commitments include the Canadian quality milk program and the recent announcement of the Dairy Farm Sustainability Award, which honours those dairy farmers from Canada's four regions who make the most effort to apply sustainable development in the farm as a whole. We will announce these results.
We are proud of what we accomplished in partnership with industry and government. We wish to continue this close collaboration in the future to keep investing in research programs to continue to improve the efficiency of our farms and ensure Canadians receive a constant source of safe and high-quality dairy products.
With these remarks, Mr. Chair, I conclude my presentation and I would be happy to answer any questions.
Thank you.