Canadian dairy farmers defend our country’s supply management system, saying it produces the highest quality milk in the world while keeping family farms in business.

The dairy industry was reeling this week after accusations by U.S. President Donald Trump that the marketing system here is unfair to American producers. Even the Prime Minister waded into the discussion to defend Canadian dairy.

"I will continue to defend supply management because it works for our farmers, it works for our agricultural industry and it works for Canadians,” said Justin Trudeau.

In Canada, a market is guaranteed for each farm’s quota of milk, and the margin of profit is guaranteed to be fair, something those in the industry say has created the highest quality standards in the world, better care for the animals and also protects against booms and busts that could drive many family farms out of business.

Canadian dairy farmers point out that the U.S. also subsidizes its dairy industry. In 2013, the American government gave its sector $243 million.

“If you take supply management out and give us the ability to produce milk with shortcuts  we can be competitive  but what does our public want, and that's one of the things we’ve decided is important  was safe healthy milk and that's what supply management has allowed us to do," said Orville Schmidt, Holstein Canada President.

Canada exported about $113 million worth of milk to the U.S. last year but imported $557 million, meaning a dairy dispute would hurt the U.S. more than Canada.