Huron County Artisanal Cheese Investor Guide

Artisanal Cheese in Huron and Perth Counties: An Invitation to Cheesemakers Huron Business Development Corporation and Huron County Economic Development Services

March 2012

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Facts About Huron and Perth Counties Huron County is the most agriculturally productive county in Ontario. It has more census farms (3,260), more acres of farmland (711,525) and more gross farm receipts than any other county or district in the province. This is significant considering that the County’s population is only around 60,000. Agriculture is one of the largest and most important sectors within Huron County.

Agriculture is one of the largest sectors in Perth County. The County is home to 2,438 census farms, and 498,159 acres of farmland. In 2006, farm cash receipts for main commodities totaled $558.5 Million. Dairy receipts led the way at $159 Million. Pork Producers were second highest in farm receipts, at $142.7 Million.

Huron and Perth counties account for a very significant portion of all the goat and sheep herds in the province of Ontario.

This project has been generously supported by the following levels of government and programs:

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Foreword This document is addressed to artisan cheesemakers who are looking to set up shop, or expand an existing operation, in Ontario. Our message to you is “Consider Huron/Perth as a home base.”

Huron/Perth offers many advantages.

• • • •

good access to the kind of milk that artisan cheesemakers favour a wide range of business development services that can help you succeed close to city markets home to a large, and growing, network of local food producers and sellers

For all these reasons, Huron/Perth is a good place to make cheese. The pages that follow will give you more details. If the information presented here sparks your interest, please get in touch.

There is much more to the story than what is outlined here.

_________________________________ Paul Nichol

_________________________________ Mike Pullen

Huron Business Development Corporation

Huron County Economic Development Services

Paul Nichol Huron Business Development Corporation 138 Main Street South P. O. Box 1120 Seaforth, Ontario N0K 1W0

Mike Pullen Economic Development Officer Huron County Economic Development Services 57 Napier Street, Goderich, Ontario N7A 1W2

pnichol@smallbusinesshuron.ca Tel: (519) 527-0305 ext. 23

mpullen@huroncounty.ca 519 524-8394 ext. 3 toll-free : (888) 524-8394 x3

Disclaimer: The County of Huron, the Huron Business Development Corporation, author and contributing sources, in publishing this document are engaged in disseminating information, not rendering professional advice or services. The County of Huron, the Huron Business Development Corporation, author and contributing sources expressly disclaim any form of liability to any persons, businesses or organizations in respect of anything done or omitted to be done by such persons, businesses or organizations in reliance upon the whole or any part of the contents of this document.

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Table of Contents Facts About Huron and Perth Counties .......................................................................................... 1 Table of Contents............................................................................................................................ 3 Introduction: Making Money Making Cheese................................................................................ 4 1. Find A Source of Good Quality Milk ......................................................................................... 5 2. Have Milk Delivered To Cheese Factory ................................................................................... 7 3. Artfully Employ Human, Financial, And Material Resources Turn Milk Into Cheese.............. 9 4. Sell Cheese Directly To Consumers At The Factory Or At Markets. ...................................... 10 5. Or Sell Cheese To Restaurants For Them To Sell To Their Customers................................... 11 Conclusion .................................................................................................................................... 11 Appendices.................................................................................................................................... 12 Appendix 1: Artisanal Cheesemakers in Huron and Perth Counties ........................................ 12 Appendix 2: Local and Artisanal Food Programs and Publications......................................... 13 Appendix 3: Tourism in Huron County.................................................................................... 14 Appendix 4: Contacts and Links of Interest ............................................................................. 15 Appendix 5: Blueprint for an Artisanal Cheese Industry ......................................................... 16 Appendix 6: Picture Credits...................................................................................................... 17

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Introduction: Making Money Making Cheese To be successful, artisanal cheesemakers need to know how to make two things: good cheese and a profit. Below we present our “recipe” for making those two things.

Find a source of good quality milk Cheesemakers prize milk with a high fat content. A significant portion of Ontario’s goat and sheep milk is produced in Huron/Perth, and surrounding counties. Jersey milk is also prized, and Jersey Ontario estimates that approximate seven million liters of Jersey milk are currently produced in Huron and Perth counties.

Have milk delivered to cheese factory The Dairy Farmers of Ontario have created a program designed to give artisanal cheesemakers access to milk.

Artfully employ human, financial, and material resources turn milk into cheese.

Huron and Perth counties have much to offer artisanal cheesemakers in this area. Agriculture is a pillar of each county’s economy. There is a culture of self-employment in these counties.

Land suitable for building a factory is available and may be cheaper than comparable land in larger urban areas. Both counties have active economic development offices with staff that are eager to help artisanal cheesemakers get established in this area.

Sell cheese directly to consumers at the factory or at markets.

Huron and Perth counties have active local and artisanal food communities. Farmer’s markets are well established in many communities. Economic development offices have sponsored many local food initiatives (e.g., Buy Local Buy Fresh map, Taste of Huron). Tourism is another pillar of the economy here, and culinary tourism is a growing component of Huron/Perth’s draw as a tourist destination. Work to establish Huron County as Ontario’s fourth wine region is well underway.

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Or sell cheese to restaurants for them to sell to their customers.

Huron/Perth is home to a group of fine dining establishments that feature local food and local food products on their menus.

By locating in Huron/Perth, cheesemakers will find themselves within a two-hour drive to London, Kitchener/Waterloo, and the Greater Toronto Area.

Another hour’s drive brings all of the Golden Horseshoe into each access.

For those wishing to set up an artisanal cheese operation in Southern Ontario, Huron/Perth has much to offer. In the pages that follow, we offer more detail about the components of our “recipe for success”.

1. Find A Source of Good Quality Milk Cheesemakers choosing to locate in Huron/Perth will find themselves close to producers of goat, sheep, and cow milk.

Dairy Goat Herds in Huron/Perth and Surrounding Counties Goat milk is prized by artisanal cheese makers for its high fat content. This population of dairy goats in this area is a good reason for cheesemakers to consider Huron/Perth as a home for their cheese factory.

OMAFRA data report that there were 76,114 goats in Ontario in 2006. Approximately 47% of Ontario’s goat population was found in Huron/Perth and surrounding counties. The table below shows the details.

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Huron Perth Bruce Grey Wellington Waterloo Oxford Middlesex

Artisanal Cheese in Huron and Perth Counties

Farms 84 114 87 124 107 59 87 67 729

1

Goats 4,890 6,025 6,545 7,085 3,924 2,054 4,011 1,286 35,820

Estimated Dairy 2 Goats 3,912 4,820 5,236 5,668 3,139 3,139 1,643 3,209 30,766

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Percentage of Total 14% 17% 18% 20% 11% 6% 11% 4% 100%

Dairy Sheep Herds in Huron/Perth and Surrounding Counties OMAFRA data report that there were 160,100 ewes in Ontario in 2006. Approximately 40% of Ontario’s population of ewes was found in Huron/Perth and surrounding counties in 2010. The table below shows the details.

3

Huron Perth Bruce Grey Wellington Waterloo Oxford Middlesex

Ewes 12,900 6,025 11,600 13,500 7,400 2,500 5,100 4,900 63,925

Estimated Dairy 4 Sheep 2580 1205 2320 2700 1480 500 1020 980 12,785

Percentage of Total 20% 9% 18% 21% 12% 4% 8% 8% 100%

This population of dairy sheep in this area is a good reason for cheesemakers to consider Huron/Perth as a home for their cheese factory.

Cow Herds in Huron/Perth Huron/Perth is home to about 13% of Ontario’s milk producers. These producers are milking primarily Holstein cows, with some Jersey cows, and a smaller number of Guernsey cows. All these cows produce milk suitable for cheese-making.

1

Numbers from OMAFRA, based on 2006 Census of Agriculture The number of dairy goats has been estimated using an 80/20 rule suggested by Rick Norkooli of OMAFRA. He reported that, generally, 80% of the goats in the province are dairy goats, while 20% of the sheep are dairy sheep.

3 Numbers from OMAFRA. Numbers current to July 2010.

4 The number of dairy sheep has been estimated using an 80/20 rule suggested by Rick Norkooli of OMAFRA. He reported that, generally, 80% of the goats in the province are dairy goats, while 20% of the sheep are dairy sheep.

2

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Of particular interest to cheesemakers may be Huron/Perth’s Jersey cows. Because of its higher than average butterfat and protein levels, Jersey milk is a good raw material for making rich flavourful artisanal cheeses.

Facts about Jersey Cows • • • • •

Makes up four per cent of the provincial herd.

Averages 6,000 liters per cow per year.

Originated in Island of Jersey, Channel Islands, and Britain.

Average test for fat is 4.8 per cent and 3.8 per cent for protein5.

Fawn or brown, shading from light to dark, some with distinct white markings.

According to Jersey Ontario, there are 32 herds of dairy cattle in Perth County that contain some Jersey cows, and three herds that are all Jersey cows. There are 316 jersey cows in these 35 herds. Jersey Ontario estimates that these cows produce close to two million liters per year.

In Huron County, there is a higher population of jersey cows (939), though fewer herds. Jersey Ontario reports that there are 10 herds of dairy cattle that have some Jersey cows, and 11 herds that are all Jersey cows. Jersey Ontario estimates that these cows produce over five million liters of milk per year.

2. Have Milk Delivered To Cheese Factory Building Specifications6 There are no specific licencing requirements for individuals wishing to make cheese in Ontario.

However, your building must be licenced, either by the local health authority (sheep milk only) or by the Ontario Ministry of Agriculture, Food and Rural Affairs (to sell cheese only in Ontario) or the Canadian Food Inspection Agency (to sell cheese in other Provinces or countries).

Food Inspection Branch's Dairy Food Safety Program is your key source for regulatory requirements and licensing of dairy processors in Ontario. Currently, the Milk Act (Ontario) governs the production and processing of goat and cow milk products in Ontario. Goat and cow milk products that will be sold to the public must be made in facilities that are licensed by OMAFRA's Food Inspection Branch.

All goat and cow milk processors, including on-farm processors, are required to meet the requirements of, and be licensed under, the Milk Act. Under that Act, you are required to contact the Director before constructing a new dairy processing facility or renovating an existing facility.

Milk Act regulations will remain in effect until new regulations are developed and implemented under the Food Safety and Quality Act. Sheep and other types of milk products are also governed under Ontario's Food Safety and Quality Act, so new entrants into the sheep milk processing business should also contact FIB, as 5 6

According to Statistics Canada report “production per breed for selected countries.pdf”. Data current to 2010.

Information in this section comes from OMAFRA’s Specialty Cheese web-page. See Appendix 4 for address.

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well as their local Public Health Unit, for advice. The Public Health Units have jurisdiction anywhere that food being offered for sale is made, e.g.- restaurants, retail deli counters, food vendor carts, caterers, and otherwise unregulated processing facilities (such as sheep milk processors, bakeries, etc).

Accessing Milk The regulations above apply to all cheesemakers, not matter what kind of milk they plan to use as raw materials. Once over that hurdle, cheesemakers will need to make arrangements to have cheese delivered to their factory. The process is different for each kind of milk.

Cow’s Milk To obtain cow’s milk, processors must contact the Dairy Farmers of Ontario (DFO). They are the organization responsible for collecting, testing, and distributing cow’s milk in Ontario. The DFO is very interested in supporting the development of artisanal cheesemaking in Ontario. In April 2006, they launched an Artisan Cheese Program to encourage new small-scale cheese makers using traditional production methods. This program will make available three million liters of milk for the manufacture of Artisan style cheeses in Ontario. This pool of milk will be made available to Artisan cheese makers each year for a period of five years.

The DFO is willing to help cheesemakers obtain specific kinds of cows milk (e.g. Jersey, Guernsey) if that is desired. They have an well-developed system of segregated delivery that can be tailored to meet specific requirements.

Each successful Artisan cheese applicant will be eligible to receive up to 300,000 liters annually.

Industry stakeholders will review the program after four years, or sooner if the three-million-liter volume is reached earlier. DFO developed the program in consultation with its customers represented by the Ontario Dairy Council.

This program offers a second way for cheese makers to easily obtain milk for new, innovative cheeses. Individuals interested in the program must first apply to the Canadian Dairy Commission to obtain milk through the Domestic Dairy Product Innovation Program. If they don't qualify for that program, they can apply to purchase milk under the Artisan Cheese Program.

Individuals wishing to receive milk under this program are required to obtain a Dairy Plant License from the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA), apply to the Canadian Dairy Commission (CDC) for a Domestic Dairy Product Innovation Program contract (DDPIP) and failing to obtain a contract apply to DFO to receive milk under DFO’s Artisan Cheese Program.

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Goat Milk To obtain goat’s milk, processors will begin by contacting the Ontario Goat Milk Co-operative.

They will work with the cheesemaker to arrange delivery of goat milk.

Sheep Milk At this point, there is no central organization responsible for collecting, testing, and distributing sheep’s milk in the province of Ontario. Cheesemakers wanting to access sheep milk can work directly with producers. Much of the sheep milk produced in Ontario comes from the Mennonite and Amish residents of Huron County.

3. Artfully Employ Human, Financial, And Material Resources Turn Milk Into Cheese.

Both Huron and Perth Counties have people and programs designed to support the development of a thriving local and artisanal food economy.

County economic development officials often employ consultants to develop programs and publications in support of local and artisanal food and food products. Richard Fitoussi, a local restaurateur and entrepreneur, has played a significant role in getting Huron/Perth’s artisanal cheese initiative off the ground. Mr. Fitoussi sees a lot of opportunity for the development of an artisanal cheese industry in Huron/Perth, and has developed a blueprint for how such an industry could develop. A brief overview of his ideas is presented in Appendix 5. To learn more about Mr. Fitoussi’s idea, please contact Mike Pullen of the County of Huron Economic Development Services.

In the winter of 2012, Huron County’s Economic Development Services Office and the Huron Business Development Corporation jointly sponsored a workshop on culinary tourism. This speaker was the executive director of the Ontario Culinary Tourism Association. Attendees learned valuable lessons on how to improve farm-gate sales.

The economic development offices of Huron Perth provide a wide-range of support services. For those who want some assistance in developing business plans, securing financing, improving the marketing of their cheese, or understanding the local economy better, this is a good area to make cheese in. The economic development personnel in Huron/Perth are deeply knowledge about the agricultural economy in this area. They have their finger on the pulse of economic development in their communities. They know where investors might find a good building site at a good price. They know the relevant land use regulations, and what is required to meet them.

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Office Huron County Economic Development Services

Huron Business Development Corporation

Perth County Economic Development Office

Services and Programs • • •

Consulting and referral Assistance with meeting County land use regulations Research programs into the feasibility of non-traditional agriculture

• • •

Consulting and referral Small business loans Research programs into the feasibility of non-traditional agriculture

• •

Consulting and referral Assistance with meeting County land use regulations Research programs into the feasibility of non-traditional agriculture

•

Perth County Community Futures

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• • •

Consulting and referral Small business loans Research programs into the feasibility of non-traditional agriculture

Assistance is also available from the Dairy Farmers of Ontario under their Artisanal Cheese program, and from the Ontario Ministry of Agriculture and Food.

4. Sell Cheese Directly To Consumers At The Factory Or At Markets.

County economic development offices offer program, publications, and workshops designed to help local food producers become successful. The Huron/Perth Farm-to-Table program and website, and the Buy Local Buy Fresh Map, were designed specifically to bring visitors into the area, and help them find their way to local retailers and producers.

This interest in culinary tourism has developed because Huron and Perth Counties are now home to an extensive and growing network of local food growers and artisanal food producers. This networks includes organizations and enterprises such as Producers 1. Community Supported Agriculture 2. Organic Farms Processors/Manufacturers • Artisanal cheese producers (See appendix for list of cheesemakers in Huron/Perth) • Butchers and other specialty meat processors (e.g., O’Brien’s, Metzger’s, Green’s) • Bakeries (Red Cat Bakery, Gabriel’s)

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Specialty food producers (Garlic Box)

Markets for local/artisanal food and food products • Farmer’s markets • Retail outlets that feature food and food products from Huron and Perth

5. Or Sell Cheese To Restaurants For Them To Sell To Their Customers.

The city of Stratford is home to the Stratford Shakespearean Festival which draws tens of thousands of visitors to Huron/Perth each year. Stratford is also home to many fine restaurants, and many of these restaurants make a point of featuring locally grown and produced food and food products.

On the shores of Lake Huron are the towns of Bayfield and Goderich. Both towns are home to very successful restaurants that feature local grown and locally produced food and food products.

The cities of London and Kitchener/Waterloo are a 1-2 hour drive from Huron/Perth. The drive into the Greater Toronto Area, and the Golden Horseshoe (Oakville, Burlington, Hamilton) is a bit long, about 2-3 hours. In this area are many markets, provisioners, and restaurants that represent potential outlets for sales of artisanal cheese products.

Conclusion Our goal in this document has been to provide you with an overview of the many advantages that cheesemakers who located in Huron/Perth would enjoy We understand that potential investors will need more information that we have presented here.

Here, we have presented only a general outline of that information available.

Paul Nichol Huron Business Development Corporation 138 Main Street South P. O. Box 1120 Seaforth, Ontario N0K 1W0

Mike Pullen Economic Development Officer Huron County Economic Development Services 57 Napier Street, Goderich, Ontario N7A 1W2

pnichol@smallbusinesshuron.ca Tel: (519) 527-0305 ext. 23

mpullen@huroncounty.ca 519 524-8394 ext. 3 toll-free : (888) 524-8394 x3

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Appendices Appendix 1: Artisanal Cheesemakers in Huron and Perth Counties There are currently three artisan cheesemakers in the Huron/Perth area.

Huron County Blyth Farm Cheese Cow Cheese Goat Cheese

Blyth, Ontario Paul Van Dorp http://www.blythfarmcheese.ca/category/

Gordon’s Goat Dairy Goat Cheese

Wroxeter, Ontario Bethany and Gordon Edgar http://gordonsgoatdairy.ca/index.html

Perth County Monforte Dairy Cow Cheese Goat Cheese Sheep Cheese

Stratford, Ontario Ruth Klahsen http://www.monfortedairy.com

C’Est Bon Cow Cheese Goat Cheese Sheep Cheese

St. Mary’s, Ontario http://cestboncheese.com/cms/

Millbank Cheese Cow Cheese Goat Cheese Sheep Cheese

Millbank, Ontario http://millbank.spellboundpublishing.com/index.html

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Appendix 2: Local and Artisanal Food Programs and Publications Economic development offices in Huron and Perth counties have collaborated to develop a set of programs in support of artisanal and local food, each with a strong Internet presence. These programs include • •

Buy Local Buy Fresh Map (http:// http://huronperthfarmtotable.ca/consumers/where-tobuy-local-food/home) Huron Perth Farm to Table (http:// http://huronperthfarmtotable.ca)

In addition to program specifically designed to support the development of a local food economy, county administration is also a strong supporter of programs designed to attract visitors to the counties. Many of these programs have a local food focus.

Huron County’s Taste of Huron Perth County’s Flavours of Perth City of Stratford’s Savour Stratford

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Appendix 3: Tourism in Huron County Huron County, known as Ontario's West Coast, offers unlimited natural areas, a breathtaking shoreline plus quaint towns and villages. Outstanding regional theatres, museums and cultural attractions combine with unique, established events to draw visitors from outside the area.

Nurseries, antique and specialty shops with unique products, and diverse restaurants and country inns specializing in serving locally grown foods help make the tourism industry the third pillar in Huron's regional economy.

The County of Huron and the Huron Tourism Association (HTA) work closely together in promoting the region and its tourism strategies. Annually, the County and Huron Tourism Association produce a comprehensive Travel Guide; specialty brochures promoting Fishing, Cycling, Hiking, Heritage Walking Tours and Heritage & Culture amenities are also published.

Additional information regarding Huron County’s tourism industry can be found at http://ontarioswestcoast.ca.

The County provides support to the following rural and agri-tourism marketing strategies: * Tastes of Huron * Huron Harvest Trail * Huron Arts and Heritage Network * Huron Tourism Association * Shakespeare to the Shoreline

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Appendix 4: Contacts and Links of Interest Canadian Cheese Society http://www.ontariocheese.org/index.php Dairy Farmers of Ontario Artisan Cheese Program https://www.milk.org/Corporate/View.aspx?Content=Processors/ArtisanCheese Glengarry Cheesemaking and Dairy Supply http://www.glengarrycheesemaking.on.ca/ Huron County Buy Local Buy Fresh http://www.huroncounty.ca/health/food/buylocal.php Huron County Economic Development Services http://www.huroncounty.ca/econdev/ Huron County Health Department Local Food Programs http://www.huroncounty.ca/health/food/local.php Jersey Ontario http://www.jerseyontario.ca/ Ontario Dairy Goat Co-operative http://www.ontariodairygoat.com/ Ontario Ministry of Agriculture, Food, and Rural Affairs Information about specialty cheese production http://omafra.gov.on.ca/english/livestock/goat/news/dgg0502a7.htm Information on starting a food-processing business http://www.omafra.gov.on.ca/english/food/business-development/foodprocessing/starting.htm Perth County Economic Development Services http://www.perthcounty.ca/ecdev Perth County Tourism http://www.visitperth.ca/daytrips.html University of Guelph Cheese Program http://www.foodsci.uoguelph.ca/cheese/welcom.htm

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Appendix 5: Blueprint for an Artisanal Cheese Industry For Mr. Fitoussi, the development of an artisanal cheese industry in Huron County calls for the development of an appellation controllee system. He prepared a report for the County of Huron Economic Development Services which described in great detail the basis on which such a system could be developed. He describes how the appellation d'origine contrôlée (AOC) system works in France, and shows how this system could be developed here.

Mr. Fitoussi suggests that a set of ten AOC cheeses that could be made in Huron County. He names the cheeses, and describes their characteristics.

HURON COUNTY APPELATION CONTROLEE CHEESES The Fragrant Huron The Huron Big wheel The West Coast Blue The Saint Joseph Triple Crème The Bayfield Blue Veined The Old Goderich Drum The Creamy Spruced Exeter The Brussels Big Wheel The Clinton Creamy The Snowy Little Varna

THE EUROPEAN EQUIVALENT Munster Alsace Comte Bleu des Causes Brillat Savarin Stilton England Cheddar England le Vacherin du Jura Appenzaler Swiss Epoisse Jura Chaource Champagne

In his blueprint for creating this artisanal cheese industry, he says that the appellation controlee designations would be based on type of milk used, where the milk comes from, and where the cheese is made. In an appendix to his main report, he goes into detail about how these cheeses could be made. For cheesemakers and investors alike, Richard Fitoussi’s report offers a wealth of information. Anyone interested in learning more about what it takes to make artisanal cheese will find the report valuable. So will those who see investment opportunities in the growing demand for local food, and want to hear the investment and production ideas of someone who is both knowledgable and willing to dream big.

Mr. Fitoussi stresses that marketing is a key element in the development of any successful artisanal cheese business. In an artisanal cheese business and marketing guide that he produced, he argues that cheesemakers should keep the “4 P’s” in mind. These are Product, Price, Promotion, and Place.

The documents that Mr. Fitoussi created are available for review. To obtain a copy, please contact Mike Pullen of the County of Huron Economic Development Services office

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Appendix 6: Picture Credits Cover

Photo from Sopra Mais' Flickr photostream, used under Creative Commons license7

4

Photo of cow from wattpublishing's Flickr photostream, used under Creative Commons license. http://www.wattagnet.com.

4

Photo of truck from aldenjewell's Flickr photostream, used under Creative Commons license..

4

Photo of factory from Sopra Mais's Flickr photostream, used under Creative Commons license.

4

Photo of cheese at outdoor market from Trishhh's Flickr photostream, used under Creative Commons license.

5

Photo from theCSSdiv's Flickr photostream, used under Creative Commons license.

9

Photo from Sopra Mais' Flickr photostream, used under Creative Commons license.

7

http://creativecommons.org/licenses/by/2.0/