Washington dairy interests optimistic in wake of new trade agreement

03 Octobre, 2018, 05:05 | Auteur: Auguste Feret

Ontario Premier Doug Ford says he's concerned about how the province's dairy farmers will be affected by Canada's new trade deal with the United States and Mexico.

Dairy farmers across the Maritimes say the trade agreement will not only limit their exports, but that the quality of milk produced in the USA just isn't comparable to what is produced in Canada because of our higher standards.

"Protecting our auto industry was one of the core concerns that Canadians had about getting to a deal, and we're glad to say that we have significant protections". Increasing the dairy access was a key demand by the USA administration despite the fact the US already imports about $500 million of milk products duty-free to Canada annually.

"It appears Canadian steel and aluminum workers are among those being sacrificed in the concessions made by the Liberal government in this deal", he said in a statement. "Our government will continue to vigorously defend and advance Ontario's economic interests at home and overseas". Vic Fremlin, owner of Lock City Dairies, called the deal "bullshit". Canada has no reassurances that the 25 per cent steel and aluminium tariffs imposed earlier this year will be lifted by the USA administration.

Gordon said there could be a slight increase in market access to Canada for USA dairy products, and the removal of that nation's Class 7 system pricing could lessen impact on the US and world markets.

"On the farm we make investments to make improvements and expand our facilities in anticipation of market growth", Wiens said.

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"Looking north, dairy trade with Canada was one of the most hard and contentious negotiating issues to solve in the entire USMCA deal", Stan Ryan, president and CEO of Seattle-based Darigold, said in a statement.

Thirty per cent of Canada's import licences for shelled products will be reserved for new American exporters, the USTR said. Canada's counter-tariffs on USA goods also remain intact. "It's in everyone's best interest to life the tariffs", he said.

Prime Minister Justin Trudeau said in a press conference that the auto sector was a key priority in negotiations. Sheehan also stressed that the Canadian government has implemented a $2-billion Strategic Innovation Fund, which he's urging industries to apply for to make their plants stronger and more efficient.

Foreign affairs minister Chrystia Freeland said Monday all farmers in supply management sectors will be compensated. "It will strengthen the middle class, and create good, well-paying jobs and new opportunities for the almost half billion people who call North America home", read a joint statement between the nations. But the final details of that are likely to be kept under wraps until the new deal is ratified by all three countries.

A briefing note released by the U.S. Trade Representative (USTR)'s office said the two classes will be eradicated within six months of the new deal coming into force. NAFTA had been created to reduce trade barriers between Canada, the US and Mexico by eliminating tariffs on traded products.

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