DIP Eligibility Criteria
For dairy products (excluding butter and butter oil):
1. The following criteria must be met in order to be considered eligible under the DIP:
- The product must be wholly or essentially made with milk. It can not contain any imported dairy ingredients.
- Projects which receive approval under the DIP are not entitled to Special Milk Class Permit Program pricing (Class 5(a), (b), (c), Class 3(d)) for the duration of period of eligibility mentioned in the eventual agreement.
2. The following characteristics do not constitute, by themselves, innovation recognized under the program:
- Organic,
- Contains omega fatty acids,
- Milk obtained from a particular breed of cow,
- Made of raw milk,
- Intended for certain ethnic groups ("kosher" or "halal", for example),
- Contains added ingredients or flavours (such as fruit, herbs or spices),
- Packaged differently, innovating packaging.
3. A dairy product that has not been produced in Canada for a period of two years could be considered under the DIP if it respects the above criteria.
For butter and butter oil:
1. The following criteria must be met in order to be considered eligible under the DIP:
- The butter or butter oil must be wholly or essentially made with milk. It can not contain any imported dairy ingredients.
- A butter or butter oil which receives approval under the DIP and which is intended for use in a further processing activity may be entitled to Special Milk Class Permit Program pricing (Class (b), (c)).
- The application for butter or butter oil must be made on a National basis.
- The butter or butter oil must satisfy at least one of the eligibility requirements referred to in Section 2 for butter and butter oil.
2. The introduction of the product must lead to an increase in the net demand for Canadian milk and must satisfy at least one of the following innovative factors:
- Unique/innovative product composition,
- New end-use application,
- Unique/innovative packaging system or design,
- Unique/innovative flavouring.
3. Butter as defined under the Food and Drugs Regulations [B.08.056 [S]] and butter oil as defined under the Canadian Standard of Identity: Volume 1 – Dairy Products, Butter Oil or Clarified Butter, 39.
4. The applicant is required to submit a market impact study demonstrating the unique features, the intended distribution channel and the expected market growth resulting from the introduction of the butter or butter oil.
5. A dairy product that has not been produced in Canada for a period of two years could be considered under the DIP if it respects the above criteria.