Madam Speaker, I am pleased to rise today on Bill C-30, one of our government's blueprints for Canada's dynamic agriculture and agrifood industry.
Agriculture is hugely important in my riding, and has played an enormous role in my life, having grown up on a large farm and having produced myself. After finishing university and coming home, I was farming on my own, learning life's lessons through the farm. I worked within primary agriculture off the farm, and in food manufacturing and food processing.
It has really helped me throughout the years to become the person I am. I would like to thank my parents for giving me that opportunity. Growing up in an agricultural household has played a significant role in my life.
I was a supply-managed egg producer for six years, up until just recently. My wife and I recently exited the egg business. Over the last six years, I have had the ability to learn about a supply-managed system and the challenges and opportunities that evolve because of it. It has afforded me the opportunity in my life to learn those lessons, and to see the opportunity that agriculture offers to allow family operations to transition from one generation to the next, not only within primary agriculture but also through secondary and finished production as well. We can link these easily to CETA.
Canada is a medium-sized open economy. Our economic prosperity depends on an open trading environment. One in five Canadian jobs depends on trade. Canada's agriculture and food exports exceed $60 billion a year. Half the value of Canada's agricultural production is exported, which is why our government strongly supports free trade.
The Canada-European trade agreement demonstrates Canada's continued leadership with regard to the opportunities for Canada's farmers and food processors on the global stage, which has been nothing short of breathtaking. I hope it continues in that same fashion.
I believe CETA will allow agricultural producers to flourish. According to the Food and Agriculture Organization of the United Nations, the global demand for food is projected to increase by 60% by 2050. Much of this demand will come from the growing middle class around the world, which is on track to exceed half the planet's entire population over the next 15 years.
A lot of this production is not going to come from new agricultural operations. It is going to come from the growth that will be sustained through the industry, through people who are able to innovate and accept technology, and grow their businesses through that. This is good news for farmers in my riding and across the country. There is no doubt of the benefits CETA will bring Canada's agriculture and agrifood industry.
We are talking about access to Europe, a region that is among the world's largest market for food. That is why timely implementation of CETA remains a top priority for our government. Since taking government, 99.991% of my constituents believe in the global economy, and our government's efforts to place Canada on the world stage. When we are talking about agriculture in my riding, we are not only talking about dairy. We have a vibrant dairy sector, but we also have a very vibrant beef sector. We also have a very vibrant maple syrup manufacturing sector, so we need to look at the total picture and include all the industries when we talk about trade.
CETA will provide a strong foundation for Canada and the EU to demonstrate leadership on an inclusive, progressive approach to global trade. At the same time, we know that some sectors of agriculture will be impacted by CETA, namely our dairy and cheese producers under the supply-managed system.
While CETA does offer enormous opportunity for many of our farmers, such as our maple producers, beef producers, and aquaculture industry, there will also be greater access for European cheeses to Canada. Canada has provided additional access to the EU on two specific dairy products, cheese and milk protein substances. New imports of European cheese under CETA will represent 4% of Canadian cheese consumption and 1.4% of milk production overall. The supply-managed system has been preserved under CETA.
The Government of Canada fully supports supply management. In fact, we were the government that created it. That is something of which we are extremely proud. Supply management provides a fair return for farmers, stability for processors, and safe, high quality food products for consumers, something I know is important to many farmers in my riding and to constituents across the country.
We recognize the importance Canada's supply-managed sectors play in ensuring a strong rural economy, accounting for over 25,000 direct jobs and over $34 billion in overall economic benefit to the country.
As my colleague, the hon. Minister of Agriculture, likes to say, Canada has the responsibility and the ability to feed the world. We need look no farther than the innovation that has already occurred within the agriculture sector, and the ability to capitalize on the innovation in the future.
Canada is the fifth largest exporter and the sixth largest importer of agriculture and agrifood products in the world. With our small population and huge production capacity, Canada is today's world leader in agricultural trade on a per capita basis. Trade accounts for one out of every five jobs in Canada. Canada's dairy industry alone generates farm gate sales of $6 billion, and processing sales of $17 billion, and 22,000 direct jobs.
The hon. Minister of Agriculture and Agri-Food and his colleagues continue to consult closely with Canada's supply-managed sector regarding the transition through CETA.
The Minister of Agriculture has met with the Dairy Farmers of Canada, the Dairy Processors Association of Canada, provincial dairy associations from across the country, and young dairy producers. These meetings were very productive with many ideas and fresh thinking. Discussions mainly focused on how to strengthen the sector in the face of domestic and international challenges, and how to transition assistance for new markets under CETA.
Responding to these concerns, the government is committed to putting in place a transition package to help the sector adapt to the new CETA commitments. This government has said from the get go that we need to help dairy producers and processors make the transition when it comes to CETA.
That is why in early November, the Minister of Agriculture announced an investment of $350 million for two new programs to support the competitiveness of the dairy sector in anticipation of the entry into CETA. The government is supporting the continued strength of the dairy sector by helping ensuring dairy producers and processors continue to innovate and improve productivity.
The two new programs identify $250 million over five years for a dairy farm investment program that will provide targeted contributions to help Canadian dairy farmers update farm technologies and systems, and improve productivity through upgrades to their equipment. I have had over two dozen calls from dairy farmers wanting to know the specifics of these programs, when they will take effect, and how they can access these funds.
There will be $100 million over four years for a dairy processing investment fund that will help dairy processors modernize their operations and in turn improve their efficiency and productivity, as well as diversify their products to pursue new market opportunities. These programs will complement the dairy sector's ongoing investment efforts, help in both current and future generations of dairy farmers and processors to remain profitable over the long-term under a strong supply-managed system.
With regard to the allocation of CETA cheese quotas, the government is currently reviewing the results of the public engagement process that concluded at the end of August. The Minister of International Trade's decision will take stakeholder views and interests into consideration before determining how to allocate the new CETA cheese quotas.
The allocation policy for the cheese tariff rate quotas will be finalized following the passage of CETA implementation, legislation, and before the agreement enters into force.
While there are challenges, the Canadian dairy sector remains a progressive, innovative industry. The Canadian dairy farmers are doing a great job of meeting the needs of consumers on food quality, animal welfare, the environment and, of course, great tastes and high nutritional value of Canadian products.
Consumers love Canadian dairy products. Production continues to grow every year. Butter consumption has risen by 10% over the last decade. Yogourt consumption has increased over 60% during the same period, and is expected to continue growing.
Canadian dairy farmers are among the global leaders in their industry when it comes to the environment. Canada's dairy sector has a smaller footprint for carbon, water, and land than most other leading dairy industries around the world.
Today, Canadian dairy farmers are able to produce 14% more milk than they used to 20 years ago, thanks to better genetics, nutrition, and farm management practices. They are able to accomplish this with 24% fewer cows while producing 20% fewer greenhouse gas emissions. That is thanks to advances in animal genetics and nutrition.
Forward-thinking Canadian farmers have contributed to the success of the Canadian dairy industry in many ways. Canadian dairy genetics are exported to over 80 countries around the world, and of course, who can forget our famous Canadian cheeses which are winning top prizes at some of the world's leading competitions.
We all want a bright future for Canada's dairy sector. The agricultural sector continues to create jobs and be a leader in innovation, not only within the dairy sector but across our agricultural industries.
To help build that future, we are investing in science—