Quebec’s artisanal cheesemakers are forced to lower their prices due to a surge in European cheese imports, which have increased by 8.5% annually since 2016, and by nearly 19% in the past year alone. With 17.7 million kilos of European cheese entering Canada duty-free, local producers have implemented promotions and tastings to maintain competitiveness. Despite efforts to boost sales, Quebec milk production growth has stagnated, prompting a new advertising campaign to promote local cheeses.
In response to the surge of European cheeses in the Canadian market, Quebec’s artisan cheesemakers are compelled to adjust their pricing strategies.
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“This year has been exceptionally challenging,” shares Nancy Portelance, the owner of Plaisirs Gourmets, which supports 15 Quebec artisan cheesemakers.
“We faced significant challenges early this year that I haven’t encountered in my 25 years in the industry,” she adds.
Increased Imports: Two Million Kilos
This year has seen an additional two million kilos of European cheese enter Canada duty-free, marking another annual increase in import quotas established by the free trade agreement with Europe that took effect seven years ago.
The impact has been pronounced, with Quebec cheese imports rising by an average of 8.5% each year since 2016. Over the last year alone, the growth has neared 19%.
Currently, more than 17.7 million kilos of European cheese can be imported into Canada without tariffs, doubling the volume from 2016.
“This has a substantial effect on our market,” comments Mme Portelance.
Promotions and Tastings to Compete
Determined not to succumb to market pressures, the entrepreneur implemented various strategies to sustain revenue.
“We adopted several tactics,” she explains. “It’s remarkable. We had to hire additional staff and deploy teams to the field. We ran numerous promotions to persuade retailers to showcase our products more appealingly, along with many in-store tasting events.”
The offered discounts have aided the competitiveness of Quebec cheeses against their European counterparts.
“While we rarely go beyond 20% discounts, it is sometimes necessary,” states Nancy Portelance. “Typically, we operate within the 10 to 15% discount range, depending on circumstances.”
For many consumers today, price often takes precedence over the desire to purchase local products.
“We felt it was necessary to emphasize the local aspect a bit less,” acknowledges Mme Portelance.
Isabelle Coulombe, owner of Montreal’s Maître Corbeau cheese dairy, points out that some Quebec cheeses are priced lower than their imported equivalents. For instance, the Lemeric 1972 retails for about $20, while the Savoy Reblochon is around $45.
New Advertising Initiative
Regardless of the competitive landscape, Quebec milk producers are launching a fresh advertising campaign aimed at promoting local cheese sales.
According to the group’s president, Daniel Gobeil, the surge in foreign dairy exports has led to stagnation in Quebec’s milk production. Currently, the annual growth rate is around 2%, significantly down from nearly 5% before 2017.
It’s worth noting that Ottawa has invested hundreds of millions of dollars to support milk producers affected by revenue loss due to international trade agreements.
Quebec Cheese Imports
Top 5 suppliers for the 12-month period ending August 31, 2024
- France: $78.3 M (+13%)
- Italy: $74.8 M (+26.9%)
- Switzerland: $35.3 M (+12.4%)
- United States: $25.3 M (+17.0%)
- Ireland: $18.8 M (+20.0%)
- Total Imports: $311.4 M (+18.9%)