Cheese changes could mean cheaper pizza for restaurant-goers

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Robert Gallant, owner of Michael’s Pizzeria in Summerside, is hopeful a move by Canadian dairy farmers will open the door for lower prices on mozzarella cheese prices. The move will favour the development of the market for mozzarella in the restaurant sector and benefit farmers, processors and restaurants.

SUMMERSIDE – A recent change by the Canadian Dairy Commission could mean cheaper pizza as soon as next month.

The Canadian Dairy Commission (CDC) has announced the creation of a milk class for mozzarella cheese to be used on fresh, restaurant-made pizzas.

The new 3-(d) class was approved by the Canadian Milk Supply Management Committee (CMSMC) and will take effect June 1. The new class will lower costs for restaurants that prepare and cook pizzas on site and hopes within the industry are that it will help grow the market segment for mozzarella cheese in Canada.

“The Dairy Farmers of Canada and the Canadian Restaurant and Foodservices Association (CRFA) have been collaborating with the CMSMC on finalizing this proposal for a few months now,” said Wally Smith, president of Dairy Farmers of Canada. “It is the farmers’ sincerest hope that this class will bring growth in sales of cheese in the restaurant pizza category.”

Robert Gallant, owner of Michael’s Pizzeria in Summerside said the new regulations put fresh pizza outlets on a level playing field with the frozen pizza industry.

“We were always at a disadvantage because of the frozen market,” Gallant said. “They use to be able to buy their cheese, which they still do, at a substantial reduction to us that put us at a disadvantage. We have fought for years and years through the Canadian Federation of Independent Business and different places to try to get us on more of a level field.”

Gallant said the prices pizzeria operators have to place on their pizzas are affected by the high cost of cheese.

“Our margins are completely different than what they would be in they were in the frozen market,” he said. “Now, the dairy farmers are have allowed us to be able to get a reduction in the price of our mozzarella.”

Gallant’s concerns were echoed by the president and CEO of the Canadian Restaurant and Foodservices Association.

“This new restaurant mozzarella cheese class responds to longstanding concerns raised by CRFA on behalf of our members and fresh pizza makers across the country,” said Garth Whyte.  “We congratulate the dairy industry for making this important announcement.”

This new class covers standardized mozzarella cheeses to be used strictly on fresh pizzas by establishments registered with the CDC under terms and conditions approved by the CMSMC.

“It could mean a substantial amount of money to us,” he said. “Cheese is the biggest part of our product. So, if we can get a reduction, I would have no problem reducing the price of my pizza.”

Gallant said he could guarantee that if the prices come down enough if would be reflected in the marketplace.

“I’m a true believer that people love pizza,” he said. “But it has gotten to the point where it gets so gosh darn pricy that people have to make a decisions as to whether they are going to have that or something else. If we can get the prices of our pizzas down, more people will consume it and that’s even good for the dairy industry because they’re going to sell more product.”

Gallant said it is an issue of supply management.

“I never wanted to see supply management gone,” he said. “We need our farmers to get paid for their product. We need to have that ... but when I go (to the U.S.) and we go into a store and see that mozzarella cheese is half the cost of what it is here, there’s something wrong with that picture. If this is a way that we can get lower cheese prices without hurting the supply management end of it this would a good step to help us reduce our price of the mozzarella cheese.”

mcarson@journalpioneer.com

 

 

 

 

 

 

 

Organizations: Canadian Dairy Commission, Canadian Milk Supply Management Committee, Canadian Restaurant and Foodservices Association Canadian Federation of Independent Business

Geographic location: SUMMERSIDE, Canada, U.S.

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Recent comments

  • too much
    May 07, 2013 - 04:58

    i hope so, two 18'' & pepsi from michaels = $67!!! that's insane

    • capsfan
      May 07, 2013 - 16:19

      looks they had a big special on for only $67 bucks. seriously though we honestly did pay $22 and we looked at others over there and they were all around 22 to 25 for 18 large works. included sausage too.

  • WAKE UP
    May 06, 2013 - 22:26

    Where did you ever get the idea that Island businesses would pass on savings to the customers. The Government thought the same thing about the taxes and what was passed on by businesses. NOTHING. You actually believe you are going to get reduced prices in a province where milk is over 7 dollars a gallon.

  • Dave
    May 06, 2013 - 17:27

    To solve the problem they need to take this monopoly away from the dairy. It's about time they enter the real world.

  • caps fan
    May 06, 2013 - 17:15

    i am wondering why pizza just this last week at pizza places in truro ns were $22 for a large 18" works pizza and here they are like around $40 bucks?????? There pizza was terrific. is that the price of cheese? will you lower your pizza that much with the new cheese prices here after june 1????