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 PROVINCE OF BRITISH COLUMBIA
THE MILK BOARD
ANNUAL REPORT
for the
YEAR ENDED DECEMBER 31
1978
Queen's Printer for British Columbia ©
Victoria, 1979
  To His Honour the Lieutenant-Governor in Council
of the Province of British Columbia
May it please Your Honour:
Sir: We have the honour to transmit herewith, in accordance with section 56
of the Milk Industry Act, the Thirty-third Annual Report of the Milk Board under
that Act for the year ended December 31, 1978.
THE MILK BOARD
E. D. Daum, Chairman
J. D. Honeyman, Member
S. L. Hanson, Member
Vancouver, B.C., April 4,1979.
 ■
;
■
■
.
 Thirty-third Annual Report of the Milk Board
For the Year Ended December 31,1978
This Report of the Milk Board is made in accordance with section 56 of the
Milk Industry Act and covers the calendar year ended December 31, 1978.
LEGISLATION
Milk Industry Act
The Thirty-first Legislative Assembly did not pass any amendments to the
Milk Industry Act during the 1978 Session of the Legislature.
Milk Board General Orders
General Order 69 (B.C. Reg. 64/78), made on the 30th day of January
1978, to come into operation on the 1st day of February 1978, amended General
Order 67 (B.C. Reg. 289/77). General Order 70 (B.C. Reg. 84/78), made on
the 22nd day of February 1978, to come into operation on the 1st day of March
1978, repealed General Order 69 (B.C. Reg. 64/78), and amended General Order
67 (B.C. Reg. 289/77). General Order 71 (B.C. Reg. 158/78), made on the
31st day of March 1978, to come into operation on the 1st day of April 1978,
repealed General Order 70 (B.C. Reg. 84/78), and amended General Order 67
(B.C. Reg. 289/77). General Order 72 (B.C. Reg. 217/78), made on the 26th
day of April 1978, to come into operation on the 1st day of May 1978, repealed
General Order 68 (B.C. Reg. 505/77) and General Order 71 (B.C. Reg. 158/78),
and amended General Order 67 (B.C. Reg. 289/77). Milk Market Sharing Order
3 (B.C. Reg. 406/78), made on the 22nd day of August 1978, to come into
operation on the 1st day of September 1978. Milk Market Sharing Order 4 (B.C.
Reg. 541/78), made on the 5th day of December 1978, to come into operation on
the 15th day of December 1978, repealed Milk Market Sharing Order 1 (B.C.
Reg. 768/75) and Milk Market Sharing Order 2 (B.C. Reg. 282/77), and
amended Milk Market Sharing Order 3 (B.C. Reg. 406/78). The orders referred
to herein are reprinted in Appendix A.
Milk Board Membership and Activities
Membership of the Board remained unchanged from the previous year, with
Elmer D. Damn, B.A., C.A., as Chairman, and J. D. Honeyman and S. L. Hanson
as the other members.
The Board held many meetings to discuss matters of policy and held numerous
additional meetings with producers, vendors, and other interested parties to discuss
matters pertinent to the milk industry. Board representatives attended meetings
of the Dairy Committee of the British Columbia Federation of Agriculture and the
Board members attended the Federation's Annual Convention. The Board Chairman and the Administrator attended the meeting held by the International Association of Milk Control Agencies which took place in Asheville, North Carolina.
The Board Chairman and the Administrator, together with the members of
the Market Share Advisory Committee, attended the meetings of the Canadian
Dairy Commission Milk Supply Management Committee in Ottawa. The Administrator of the Milk Board continued to serve on the Secretariat to the Milk Supply
Management Committee.
5
 6 BRITISH COLUMBIA
J. Gilbert and J. Waardenburg and R. Emblem continued to serve as members
of the Market Share Advisory Committee. The Committee held many meetings to
discuss matters of policy and administration related to market-sharing quotas and
the Milk Supply Management Program. They also held additional meetings with
producers and other interested parties to discuss matters related to these programs.
Milk Production Areas
The milk production areas of British Columbia defined in Order in Council
2145/75 (B.C. Reg. 460/75) as the Vancouver Island Area and the British
Columbia Mainland Area remained unchanged during 1978.
Statistical Information
Table I (a, b, c)—Analysis of Litre Sales by Product Category
Total litre sales increased 5.70 per cent in the combined controlled production
areas of the Province during 1978. All product categories participated in the
increase.
Home delivery sales in the controlled areas accounted for 12.49 per cent of
all litre sales and store sales accounted for 87.51 per cent.
Table II (a, bJ—Analysis of Class I Sales, Including Interarea Sales
Total Class I sales in litres, which is the aggregate of all Class I sales in an
area of production, whether made by vendors within the area or by vendors
located outside the area, increased in both the British Columbia Mainland and the
Vancouver Island milk production areas. Both areas showed increases in within
area Class I sales.
Table III (a, b, c)—Analysis of Qualifying Milk: Production and Utilization
Total qualifying milk production during 1978 increased 0.40 per cent in the
controlled areas of milk production.
Quota milk receipts in the controlled milk production areas were 78.81 per
cent of the total production during 1978, an increase from 77.13 per cent in 1977.
Class I utilization of quota receipts increased from 85.09 per cent in 1977
to 86.50 per cent in 1978.
Table IV (a, b, cj—1978 Year-to-date Production and Class I Utilization
Compared to 1977
This table shows a monthly comparison of 1978 production and Class I
utilization to 1977 in both litres of milk and percentage change.
Table V (a, b, c)—Production and Utilization in British Columbia
This table shows the amount of milk produced in the controlled areas of
production in the Province and the class in which that milk was utilized.
Table VI—Class I Accounting Value Formula and Producer Price
The contents of this table summarize the accounting values for each class of
utilization announced by the Milk Board for the calendar year 1978. Also shown
are producer prices (before adjustments) calculated monthly by the Board. Details
relative to Milk Board general orders referred to in the table may be found in the
Appendix, where Milk Board general orders are reprinted.
Table VII—Licensing Information
Under the provisions of the Milk Industry Act and General Order 67, as
amended, the Milk Board issues Class I licences to vendors and milk jobbers and
 REPORT OF THE MILK BOARD,  1978
Class II licences to producers. Both classes of licences are issued April 1 each
year for a 12-month period or portion thereof. A summary of the 1978/79 licences
issued, cancelled, and in effect December 31, 1978, is contained in Table VII.
There was a net decrease of 58 producers from December 1977 to December 1978,
which is a 4.94-per-cent reduction.
Milk Board Hearing, July 5, 1978
The British Columbia Milk Board held a hearing to enable a Class II licence-
holder to show cause why the Milk Board Class II licence issued to him should not
be cancelled and the daily milk quota and market-sharing quota held by him should
not be revoked for violation of General Order 67, as amended.
It was alleged there was a breach of section 7.08 (a) by reason that a transfer
of the daily milk quota had been made without the written consent of the Board.
The Board decided:
(1) The Milk Board Class II licence issued in the name of the Class II
licence-holder be cancelled.
(2) Further participation in the daily milk quota graduated entry building program by either the transferor or the transferees not be
continued.
(3) Two hundred and eighty-two litres of daily milk quota be relinquished to the Milk Board.
(4) Five hundred and thirty litres of milk quota be transferred to the
transferees.
(5) Sufficient market-sharing quota be issued to the transferee to enable
production to a level of 110 per cent of the daily milk quota transferred. This allotment of market-sharing quota be effective to the
end of the current market-sharing quota period only.
The Board further stated that this decision of the Board shall not be considered
as creating a precedent involving decisions respecting any future cases with similar
circumstances.
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 16
BRITISH COLUMBIA
Table IVa—British Columbia Mainland Area, 1978 Year-to-date
Production and Class I Utilization Compared to 1977
Month
1978
Production Receipts
Monthly
Receipts
(Col. 1)
Accumulated
Monthly
Receipts
(Col. 2)
1977
Production Receipts
Monthly
Receipts
(Col. 3)
Accumulated
Monthly
Receipts
(Col. 4)
1978
Compared
to 19771
(Col. 5)
Per Cent
of
Change1
(Col. 6)
1978
Compared
to 19772
(Col. 7)
Per Cent
of
Change^
(Col. 8)
January	
February...
March	
April	
May.	
June	
July	
August	
September
October	
November.
December
Litres
29 552 963
27 119 719
30 419 388
29 932 227
31477 390
29 638 385
29 826 664
29 608 120
28 539 007
29 117 263
27 693 910
29 713 829
Litres
29 552 963
56 672 682
87 092 070
117 024 297 30
148 501 687
178 140 072
|207 966 736
|237 574 856
266 113 863|28
295 231 126[29
322 925 036J27
352 638 S65J29
I I
Litres
225 641
168 665
548 438
086 722
676 744
488 909
085 195
234 140
611 307;
077 926
354 125
038 037
Litres
29 225 641
56 394 306
86 942 744
117 029 466
148 706 210
178 195 119
208 280 314
237 514 454
266 125 761
J295 203 687
|322 557 812
|351 595 849
I	
Litres
+327 322
—48 946
— 129 050
— 154 495
-199 354
+ 149 476
-258 531
+373 980
—72 300
+39 337
+339 785
+ 675 792
I
+ 1.12
—0.18
—0.42
—0.51
—0.63
+0.51
-0.86
+ 1.28
-0.25
+0.14
+ 1.24
+2.33
Litres
+327 322
+278 376
+ 149 326
—5 169
—204 523
—55 047
—313 578
+60 402
—11 898
+27 439
+367 224
+ 1 043 016
+ 1.12
+0.49
+0.17
—0.01
—0.14
—0.03
—0.15
+0.03
—0.01
+0.01
+0.11
+0.30
Month
1978
Class I Utilization
Monthly
Utilization
(Col. 9)
Accumulated
Monthly
Utilization
(Col. 10)
1977
Class I Utilization
Monthly
Utilization
(Col. 11)
Accumulated
Monthly
Utilization
(Col. 12)
1978
Compared
to 19773
(Col. 13)      (Col. 14)
Per Cent
of
Changes
1978
Compared
to 1977*
(Col. 15)
Per Cent
of
Change*
(Col. 16)
January	
February...
March	
April	
May	
June	
July	
August	
September
October....
November-
December
Litres
18 529 320
17 683 079
20 206 792
18 631 603
19 408 663
19 353 372
18 933 772
20 545 735
19 753 684
20 097 819
20 281 933
19 722 950
I
Litres
18 529 320
36 212 399
56 419 191
75 050 794
I 94 459 457
|113 812 829
132 746 601
153 292 336|
173 046 020|
193 143 839|
213 425 772|
233 148 7221
Litres
17 955 360
17 159 278
19 262 587
18 408 002
17 889 130
18 473 498
17 942 565
19 344 708
18 978 438
19 110 426
19 245 453
19 708 891
I
Litres
17 955 360
35 114 638
54 377 225
72 785 227
90 674 357
109 147 855
127 090 420
146 435 128
|165 413 566
184 523 992
1203 769 445
|223 478 336
Litres
+573 960
+ 523 801
+944 205
+223 601
+ 1 519 533
+ 879 874;
+991 207|
+ 1 201 027|
+ 775 2461
+987 393|
+ 1 036 4801
+ 14 059J
I
+ 3.20
+3.05
+4.90
+ 1.21
+ 8.49
+4.76
+ 5.52
+6.21
+4.08
+5.17
+5.39
+0.07
Litres
+573 960
+ 1097 761
+2 041 966
+2 265 567
+3 785 100
+4 664 974
+5 656 181
+6 857 208
+7 632 454
+ 8 619 847
+9 656 327
+9 670 386
+3.20
+3.13
+3.76
+3.11
+4.17
+4.27
+4.45
+4.68
+4.61
+4.67
+4.74
+4.33
1 Col. 1 compared to Col. 3.
3 Col. 9 compared to Col. 11.
- Col. 2 compared to Col. 4.
* Col. 10 compared to Col. 12.
: Increase.
: Decrease.
 REPORT OF THE MILK BOARD, 1978
17
Table IVb—Vancouver Island Area, 1978 Year-to-date Production
and Class I Utilization Compared to 1977
Month
1978
Production Receipts
Monthly
Receipts
(Col. 1)
Accumulated
Monthly
Receipts
(Col. 2)
1977
Production Receipts
Monthly
Receipts
(Col. 3)
Accumulated
Monthly
Receipts
(Col. 4)
1978
Compared
to 19771
(Col. 5)       (Col. 6)
Per Cent
of
Change*
1978
Compared
to 19772
(Col. 7)
Per Cent
of
Change^
(Col. 8)
January.	
February	
March	
April	
May.	
June	
July-	
August	
September-
October	
November...
December...
I
Litres
4 027 813
3 656 903
4 032 480
3 971 595
4 126 044
3 860 264
3 888 5151
3 946 172
3 795 329
3 953 503
3 854 501
4 081 779
Litres
4 027 813
7 684 716
11 717 196
15 688 791
19 814 835
23 675 099
27 563 614
31509 786
35 305 115
39 258 618
43 113 119
47 194 898
Litres
3 904 967
3 573 906
4 016 081
3 947 909
4 157 707
3 814 455
3 939 722
3 866 944
3 822 725
3 903 022
3 747 557
3 936 760
Litres
3 904 967
7 478 873
11 494 954
15 442 863
19 600 570
23 415 025
27 354 747
31 221 691
35 044 416
38 947 438
42 694 995
46 631755
I
Litres
+ 122 846
+82 997
+ 16 399
+23 686
—31 663
+45 809
-51 207
+79 228
—27 396
+50 481
+ 106 944
+ 145 019
I
+3.15
+2.32
+0.41
+0.60
-0.76
+ 1.20
-1.30
+2.05
—0.72
+ 1.29
+2.85
+3.68
Litres
+ 122 846
+205 843
+222 242
+245 928
+214 265
+260 074
+208 867
+288 095
+260 699
+311 180
+418 124
+563 143
+3.15
+2.75
+ 1.93
+ 1.59
+ 1.09
+ 1.11
+0.76
+0.92
+0.74
+0.80
+0.98
+ 1.21
Month
1978
Class I Utilization
Monthly
Utilization
(Col. 9)
Accumulated
Monthly
Utilization
(Col. 10)
1977
Class I Utilization
Monthly
Utilization
(Col. 11)
Accumulated
Monthly
Utilization
(Col. 12)
1978
Compared
to 19773
(Col. 13)
Per Cent
of
Changes
(Col. 14)
1978
Compared
to 1977*
(Col. 15)
Per Cent
of
Change*
(Col. 16)
January—
February-
March	
April	
May.	
June	
July.	
August-
September..
October.	
November...
December-
Litres
3 130 293
3 015 012
3 434 634
3 123 191
3 364 439
3 390 767
3 178 773
3 351 658
3 434 877
3 367 368
3 285 785
3 322 847
Litres
3 130 293
6 145 305
9 579 939
12 703 1301
16 067 569|
19 458 336
22 637 109
25 988 767
29 423 644
32 791012
36 076 797
39 399 644
Litres
2 935 693
2 889 119
3 236 539
3 151 837
3 126 598
3 103 408
3 118 103
3 332 680
3 344 164
3 192 068
3 197 062
3 292 907
Litres
2 935 693
5 284 812
9 061351
12 213 188
15 339 786
18 443 194
21 561 297
24 893 977
28 238 141
31 430 209
34 627 271
37 920 178
Litres
+ 194 600
+ 125 8931
+ 198 095|
—28 646|
+237 841|
+287 359
+60 670
+ 18 978
+90 713
+ 175 300
+88 723
+29 940
+6.63
+4.36
+ 6.12
-0.91
+7.61
+9.26
+1.95
+0.57
+2.71
+5.49
+2.78
+0.91
Litres
+ 196 600
+320 493
+518 588!
+489 942
+727 783
+1 015 142
+ 1 075 812
+ 1094 790
+ 1 185 503
+1 360 803
+ 1 449 526
+ 1479 466
+6.63
+5.50
+5.72
+4.01
+4.74
+5.50
+4.99
+4.40
+4.20
+4.33
+4.19
+3.90
i Col. 1 compared to Col. 3.
a Col. 9 compared to Col. 11.
2 Col. 2 compared to Col. 4.       +:
* Col. 10 compared to Col. 12.
:Increase.
• = Decrease.
 18
BRITISH COLUMBIA
Table IVc—All Areas Combined, 1978 Year-to-date Production
and Class I Utilization Compared to 1977
Month
1978
Production Receipts
Monthly
Receipts
(Col. 1)
Accumulated
Monthly
Receipts
(Col. 2)
1977
Production Receipts
Monthly
Receipts
(Col. 3)
Accumulated
Monthly
Receipts
(Col. 4)
1978
Compared
to 19771
(Col. S)
Per Cent
of
Change*
(Col. 6)
1978
Compared
to 19772
(Col. 7)
Per Cent
of
Changes
(Col. 8)
January—
February-
March	
April	
May-
June.
July	
August	
September-
October	
November-
December—
Litres
33 580 776
30 776 622
34 451 868
33 903 822
35 603 434
33 498 649
33 715 179
33 554 292
32 334 336
33 070 766
31548 411
33 795 608
Litres
33 580 776
64 357 398
98 809 266
132 713 088
168 316 522
201 815 171
235 530 350
269 084 642
301418 978
334 489 744
366 038 155
399 833 763
Litres
33 130 608
30 742 571
34 564 519
34 034 631
35 834 451
33 303 364
34 024 917
33 101 084
32 434 032
32 980 948
Litres
33 130 608
63 873 179
98 437 698
132 472 329
168 306 780
201 610 144
235 635 061
268 736 145
301 170 177
334 151 125
31 101 682|365 252 807
32 974 797J398 227 604
I
Litres
+450 168
+34 051
— 112 651
— 130 809
—231 017
+ 195 285
—309 738
+453 208
—99 696
+89 818
+446 729|
+820 8111
+ 1.36
+0.11
—0.33
—0.38
-0.64
+0.59
-0.91
+ 1.37
-0.31
+0.27
+ 1.44
+2.49
Litres
+450 168
+484 219
+371 568
+240 759
+9 742
+205 027
— 104 711
+348 497
+248 801
+338 619
+785 348
1 +1 606 159
+ 1.36
+0.76
+0.38
+0.18
+0.01
+0.10
—0.04
+0.13
+0.08
+0.10
+0.22
+0.40
Month
1978
Class I Utilization
Monthly
Utilization
(Col. 9)
Accumulated
Monthly
Utilization
(Col. 10)
1977
Class I Utilization
Monthly
Utilization
(Col. 11)
Accumulated
Monthly
Utilization
(Col. 12)
1978
Compared
to 19773
(Col. 13)
Per Cent
of
Change 3
(Col. 14)
1978
Compared
to 1977*
(Col. 15)
Per Cent
of
Change*
(Col. 16)
January	
February-
March	
April	
May.	
June	
July.	
August	
September.
October	
November.
December.
Litres
21 659 613
20 698 091
23 641 426
21 754 794
22 773 102
22 744 139
22 122 545
23 897 393
23 188 561
23 465 187
23 567 718
23 045 797
Litres
21 659 613
42 357 704
65 999 130
87 753 924
110 527 026
133 271 165
155 383 710
179 281 103
202 469 664
225 934 851
249 502 569
272 548 366
Litres
20 891 053
20 048 397
22 499 126
21 559 839
21 015 728
21 576 906
21 060 668
22 677 388
22 322 602
22 302 494
22 442 515
23 001 798
Litres
20 891 053
40 939 450
63 438 576
84 998 415
106 014 143
127 591 049
148 651 717
171 329 105
193 651 707
215 954 201
238 396 716
261 398 514
J
Litres
+768 560
+649 694
+ 1 142 300
+ 194 955
+ 1757 374
+ 1 167 233
+ 1 051 877
+ 1 220 005
+865 959
+ 1 162 693
+ 1 125 2031
+43 999|
I
+3.68
+3.24
+5.08
+0.90
+8.36
+5.41
+4.99
+5.38
+3.88
+5.21
+5.01
+0.19
Litres
+768 560
+ 1418 254
+2 560 554
+2 755 509
+4 512 883
+5 680 116
+6 731993
+7 951 998
+8 817 957
+9 980 650
+ 11 105 853
+ 11 149 852
+3.68
+3.46
+4.04
+3.24
+4.26
+4.46
+4.53
+4.64
+4.55
+4.62
+4.66
+4.26
i Col. 1 compared to Col. 3.
3 Col. 9 compared to Col. 11.
2 Col. 2 compared to Col. 4.
4 Col. 10 compared to Col. 12.
: Increase.       — = Decrease.
 REPORT OF THE MILK BOARD,  1978
19
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 REPORT OF THE MILK BOARD, 1978
Table VII—Licensing Information
23
British Columbia
Mainland
Vancouver Island
Total
Class I
Class II
Class I
Class II
Class I
Class II
Issued from April 1,1978
33
1,071
74
5
125
6
38
1,196
80
In effect December 31,1978   ...
In pfff>ct neremhpr 31,1*77
33
32
997
1,051
6
8
119
123
39
40
1,116
1,174
Queen's Printer for British Columbia ©
Victoria, 1979
355-779-3508
 1