This consolidation is unofficial and is for reference only.  For the official version of the regulations, consult the original documents on file with the Office of the Registrar of Regulations, or refer to the Royal Gazette Part II.
Regulations are amended frequently.  Please check the list of Regulations by Act to see if there are any recent amendments to these regulations filed with our office that are not yet included in this consolidation.
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Milk Pricing Regulations

made under clauses 9(b) and 15(1)(g) of the

Dairy Industry Act

S.N.S. 2000, c. 24

N.S. Reg. 84/2008 (effective February 12, 2008)

as amended to N.S. Reg. 182/2017 (effective February 1, 2018)


Table of Contents


Please note: this table of contents is provided for convenience of reference and does not form part of the regulations.
Click here to go to the text of the regulations.

 

Citation

Interpretation

Board policy related to Ingredients Strategy

Classes of milk

Milk component prices

Processor information reporting

Calculating payments to producers

Bulk haulage deduction

Paying producers

Payment agents

Producer fees

 


 

Citation

1     These regulations may be cited as the Milk Pricing Regulations.


Interpretation

1A  In these regulations,

 

“certified organic” means certified organic as defined in the Milk Classes and Categories Regulations made under the Dairy Industry Act;

 

“DFNS Organic Milk Policy” means a policy established by the Board respecting the production and sale of organic milk;

 

“National Ingredients Strategy Implementation Policy” means a policy established by the Board under Section 1B;

 

“premium payment certified organic milk” means certified organic milk for which the Board is required to pay a 20% premium to producers in accordance with the DFNS Organic Milk Policy.


Board policy related to Ingredients Strategy

1B   The Board may establish a policy with respect to the pricing of and payment for milk and milk components in accordance with the National Ingredients Strategy adopted by the Canadian Milk Supply Management Committee and the P5 Supervisory Body.


Classes of milk

2     The classes of milk referred to in these regulations are the classes prescribed in the Milk Classes and Categories Regulations made by the Natural Products Marketing Council.


Milk component prices

3     (1)    Except where otherwise specified in the National Ingredients Strategy Implementation Policy, milk processors in the Province must pay, on an F.O.B. plant basis, the prices of milk components set out in the following table for each class of milk specified:


Component Prices for Classes of Milk

Class

of Milk

Butterfat

($ per kg)

Protein

($ per kg)

Other Solids

($ per kg)

Solids-Non-Fat

($ per hl)

1(a)

7.6056

 

 

74.67

1(b)

7.6056

 

 

60.44

1(c)

Per current P5 policy for the 1c/4c Pricing Program for innovative products, the price discounts for milk cream and manufactured dairy products are respectively 25% for the first 12 months, 15% for the second 12-month period and 10% for the third 12-month period. The discounts will be deducted off the appropriate P5 target class component prices for approved products.

2(a)

8.5525

5.9299

5.9299

 

2(b)

8.5525

5.9299

5.9299

 

3(a)

8.5525

12.7565

0.8698

 

3(b)

8.5525

12.4093

0.8698

 

3(c)(1)

8.5525

12.7565

0.8698

 

3(c)(2)

8.5525

13.8435

0.8698

 

4(a)

8.5525

5.3734

5.3734

 

4(b)

8.5525

5.4820

5.4820

 

4(c)

Per current P5 policy for the 1c/4c Pricing Program for innovative products, the price discounts for milk cream and manufactured dairy products are respectively 25% for the first 12 months, 15% for the second 12-month period and 10% for the third 12-month period. The discounts will be deducted off the appropriate P5 target class component prices for approved products.

4(d)

8.5525

5.3734

5.3734

 

 

       (2)    Milk component prices payable by processors in Nova Scotia for classes 3(d), 5(a), 5(b), 5(c), 5(d) and 7 are as established by the Canadian Milk Supply Management Committee or the Canadian Dairy Commission.

 

       (3)    Processors in Nova Scotia must pay a premium of an additional 20% of the prices in subsection (1) for milk components of premium payment certified organic milk that are processed into dairy products in which all of the milk components are from certified organic milk.


Processor information reporting

4     (1)    Each processor purchasing raw milk in Nova Scotia must report milk receipts, milk utilization and bulk haulage costs on a form provided by the Board, and must pay producers and settle the difference with the Board no later than the date indicated on the monthly reporting schedule prepared by the Board in consultation and agreement with processors.

 

       (2)    Each processor must report to the Board all of its class 1 milk sales, based on sales of products in litres and the products’ milk volume and kilograms of butterfat, protein and other solids, using the pure skim formula to determine the kilograms of protein and other solids.

 

       (3)    The information received under subsections (1) and (2) must be treated in a confidential manner by Board staff.

 

       (4)    If Board staff have concerns about processor reporting or payments, staff may review the situation with the milk utilization auditing firm appointed by the Council.


Calculating payments to producers

5     (1)    The Board must calculate the monthly component prices to be paid to producers no later than the date indicated on the monthly reporting schedule prepared by the Board in consultation and agreement with processors.

 

       (2)    In calculating monthly component prices, the Board may take into account the impact of any pooling agreements to which the Board is a party.

 

       (3)    The Board must calculate an equalized premium, based on the premiums paid under subsection 3(3), and allocate this premium equitably among all producers selling premium payment certified organic milk in accordance with the DFNS Organic Milk Policy.


Bulk haulage deduction

6     (1)    The Board must calculate the equalized bulk haulage rate to be charged on all milk, taking into account the impact of any pooling agreement to which the Board is a party.

 

       (2)    The equalized bulk haulage rate must be deducted from all payments to producers.

 

       (3)    In addition to the equalized bulk haulage rate, the Board must calculate an equalized bulk haulage rate premium for certified organic milk to be charged on all certified organic milk to reflect the extra costs of transporting certified organic milk separately from other milk.

 

       (4)    The equalized bulk haulage rate premium for certified organic milk must be deducted from all payments to producers for certified organic milk.


Paying producers

7     (1)    In the context of payments, “banking day” means a day between Monday and Friday inclusive, and on which at least one half of the banks in the Province are open for business.

 

       (2)    The Board must pay or cause to be paid advance and final payments to each producer for the milk produced by that producer in a month as follows:

 

                (a)    an advance payment must be paid to each producer on the 1st day of the following month or, if that day is not a banking day, on the last banking day before the first day of the following month, and must be calculated as 45% of the previous month’s net total payment to that producer;

 

                (b)    a final payment must be paid to each producer on the 15th day of the following month or, if that day is not a banking day, on the next day that is a banking day, and must be calculated as the total payment due to that producer for the month, less the advance payment.

 

       (3)    A payment agent may adjust the amount of an advance payment to a producer to account for that producer experiencing a reduction in milk production compared to the previous payment period.

 

       (4)    The Board may use the services of a payment agent or, if one or more processors choose not to be payment agents as referred to in subsection 8(4), may be its own payment agent.


Payment agents

8     (1)    Despite anything in these regulations to the contrary, a payment agent must, on behalf of the Board,

 

                (a)    prepare a statement of the milk supplied to that payment agent by the Board in respect of the producers whose milk was supplied;

 

                (b)    mail statements by prepaid first class mail and transmit payment electronically, or by cheque by prepaid first class mail, to producers no later than the dates specified in subsection 7(2).

 

       (2)    If a payment agent chooses to cease being a payment agent of the Board, it must first provide 6 months’ written notice to the Board.

 

       (3)    If a payment agent provides the Board with the notice referred to in subsection (2), the matter must be referred to the Advisory Committee for Milk.

 

       (4)    If a processor ceases to be a payment agent for the Board, the Board must arrange to have another payment agent pay the producers formerly paid by that processor or, if no other payment agent is willing to pay the producers formerly paid by the processor who ceased to be a payment agent, the Board may establish a payment system for all producers in the Province, in which case the agreements with all payment agents must be terminated.

 

       (5)    If a producer has a payment agent, all payments for milk supplied by the producer to the Board must come from the payment agent for that producer.


Producer fees

9     (1)    Each producer must pay the following fees to the Board:

 

                (a)    an administration fee of $0.16 per kilogram of butterfat marketed,

 

                (b)    a milk promotion fee of $0.3947 per kilogram of butterfat marketed,

 

                (c)    a school milk fee in an amount per kilogram of butterfat marketed, calculated using the following formula so that the total of the school milk fees collected from all producers in a month is sufficient to pay the Board’s costs in the previous month for the School Milk Program administered by the Department of Agriculture:


SMF = (TL × .15) ÷ TK

 

in which

 

                         SMF is the school milk fee per kilogram of butterfat marketed,

 

                         TL    is the total litres of milk sold under the School Milk Program in the previous month, and

 

                         TK   is the total number of kilograms of butterfat marketed by all producers in the previous month;

 

                (d)    a milk testing fee, calculated using the following formula so that the amount of the milk testing fee is the same for every producer, and the total of the milk testing fees collected in a month from all producers is sufficient to pay the Board’s costs for milk component and quality testing in the previous month:

MTF = TT ÷ TP

 

in which

 

                         MTFis the milk testing fee,

 

                         TT    is the total testing costs of the Board in the previous month, and

 

                         TP    is the total number of producers.

 

       (2)    Fees paid by producers under subsection (1) must be deducted by the Board from the producer’s payment or, if payment is made by a payment agent, must be deducted by the payment agent and remitted to the Board no later than the date indicated on the monthly reporting schedule prepared by the board in consultation and agreement with processors.

 

 


 

Legislative History
Reference Tables

Milk Pricing Regulations

N.S. Reg. 84/2008

Dairy Industry Act

Note:  The information in these tables does not form part of the regulations and is compiled by the Office of the Registrar of Regulations for reference only.

Source Law

The current consolidation of the Milk Pricing Regulations made under the Dairy Industry Act includes all of the following regulations:

N.S.
Regulation

In force
date*

How in force

Royal Gazette
Part II Issue

 

84/2008

Feb 12, 2008

date specified

Feb 29, 2008

 

354/2008

Sep 1, 2008

date specified

Aug 29, 2008

 

11/2009

Feb 1, 2009

date specified

Feb 13, 2009

 

307/2009

Oct 14, 2009

date specified

Nov 6, 2010

 

341/2009

Feb 1, 2010

date specified

Jan 15, 2010

 

75/2010

May 11, 2010

date specified

Jun 4, 2010

 

174/2010

Feb 1, 2011

date specified

Dec 17, 2010

 

197/2010

Feb 1, 2011

date specified

Jan 14, 2011

 

187/2011

Aug 1, 2011

date specified

Jun 3, 2011

 

313/2011

Feb 1, 2012

date specified

Dec 16, 2011

 

321/2011

Feb 1, 2012

date specified

Dec 30, 2011

 

130/2012

Aug 1, 2012

date specified

Jul 13, 2012

 

232/2012

Jan 1, 2013

date specified

Jan 11, 2013

 

1/2013

Feb 1, 2013

date specified

Jan 25, 2013

 

45/2013

Apr 1, 2013

date specified

Mar 22, 2013

 

212/2013

Jun 1, 2013

date specified

Jun 14, 2013

 

261/2013

Aug 1, 2013

date specified

Aug 9, 2013

 

328/2013

Feb 1, 2014

date specified

Nov 29, 2013

 

2/2014

Feb 1, 2014

date specified

Jan 24, 2014

 

29/2014

Mar 1, 2014

date specified

Mar 7, 2014

 

178/2014

Feb 1, 2015

date specified

Jan 9, 2014

 

15/2015

Mar 1, 2015

date specified

Feb 20,2015

 

290/2015

Sep 1, 2015

date specified

Aug 7, 2015

 

355/2015

Feb 1, 2016

date specified

Dec 11, 2015

 

374/2015

Feb 1, 2016

date specified

Jan 8, 2016

 

159/2016

Sep 1, 2016

date specified

Aug 19, 2016

 

236/2016

Oct 21, 2016

date specified

Nov 11, 2016

176/20161

Nov 1, 2016

date specified

Sep 30, 2016

238/2016

Nov 1, 2016

date specified

Nov 11, 2016

262/2016

Feb 1, 2017

date specified

Jan 6, 2017

13/2017

Feb 1, 2017

date specified

Feb 17, 2017

38/2017

Mar 22, 2017

date filed (not filed within 7 days)

Apr 14, 2017

66/2017

May 1, 2017

date specified

Apr 28, 2017

182/2017

Feb 1, 2018

date specified

Jan 5, 2018

 

 

 

 

 

 

 

 

The following regulations are not yet in force and are not included in the current consolidation:

N.S.
Regulation

In force
date*

How in force

Royal Gazette
Part II Issue

 

 

 

 

 

 

 

 

 

 

 

 

*See subsection 3(6) of the Regulations Act for rules about in force dates of regulations.

Amendments by Provision

ad. = added

am. = amended

fc. = fee change

ra. = reassigned

rep.=repealed

rs. = repealed and substituted

Provision affected

How affected

1A.............................................

ad. 307/2009; am. 232/2012, 13/2017

1A(c)......................................

ad. 75/2010

1B..............................................

ad. 13/2017

3(1)............................................

rs. 354/2008, 11/2009; am. 307/2009; rs. 341/2009; am. 75/2010; rs. 174/2010, 197/2010, 187/2011, 313/2011, 321/2011, 232/2012; am. 1/2013; rs. 45/2013, 328/2013, 2/2014, 178/2014, 15/2015, 355/2015, 374/2015, 159/2016, 238/2016, 262/2016, 13/2017, 38/2017, 66/2017, 182/2017

3(2)............................................

am. 212/2013, 13/2017

3(3)............................................

ad. 307/2009; rs. 75/2010

5(3)............................................

ad. 307/2009; rs. 75/2010

6(3)............................................

ad. 307/2009

6(4)............................................

ad. 307/2009

9

rs. 290/2015

9(1).........................................

fc. 29/2014

9(2).........................................

fc. 130/2012, 261/2013

Note that changes to headings are not included in the above table.

Editorial Notes and Corrections:

 

Note

Effective
date

1

N.S. Reg. 176/2016 never came into force.  Repealed by 236/2016.

Oct 21, 2016

 

 

 

 

 

 

Repealed and Superseded:

N.S.
Regulation

Title

In force
date

Repealed
date

61/2002

Milk Pricing Regulations

Apr 1, 2001

Feb 12, 2008

Note:  Only regulations that are specifically repealed and replaced appear in this table.  It may not reflect the entire history of regulations on this subject matter.