Dale, the supply-management systems in Canada are a bit haywire but not as
far off as you imagine. The price from the egg producer is set by the
provincial egg board (which not composed only of producers). The formula
to arrive at the wholesale price of eggs includes all inputs except the
price of "quota", it's not $100/bird but it is not far from it. The
farmer's labour is included, then a fair return on capital and kazam!! they
arrive at a producer price for eggs. The retailer, restauranteur,
whatever, can charge whatever competition will allow (which is usually not
above the US average price).
The buying and selling of "quota" makes no sense at all, no more than
buying a commercial fish lisence or a taxi lisence. But then, the strange
thing is the bankers will lend you money on "quota" but usually farm
buildings, land, and animals are not good collateral like the etherial
"quota".
If you really would like to know more about a fairly good system, providing
a reliable year-around supply and a reasonable price, with a decent return
to the farmer, let me know and I'll get someone more knowledgable than
myself to answer your questions.
Don Maroc
Vancouver Island, Canada
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