Canada has reached agreement with 10 other countries on a
trade-liberalization deal.
It does not include the United States because President
Donald Trump pulled out of the Trans-Pacific Partnership negotiations just as
they were about to be finalized.
The deal includes Japan, which is of key importance for
Canada. The meat industry was, for example, concerned about losing competitive
advantages to Australia because it had negotiated a free trade deal with Japan.
Now Canada gains a competitive advantage over the United
States.
There are a number of Asian countries which could become
lucrative markets for Canadian farmers and food processors, such as Viet Nam
and Singapore.
The others who participated in negotiating the deal reached
this week are Australia, Brunei, Chile, Malaysia, Mexico,
New Zealand and Peru.
Jacques
Lefebvre, chief executive officer for the Dairy Farmers of Canada
supply-management agency, criticized the deal for keeping a concession that was
part of the deal before the U.S. walked out – access to another 3.25 per cent of
the Canadian market.
Lefebvre said
it makes no sense to give as much tariff-free access in TPP talks when the
benefits of U.S. participation are absent.
"The
negotiating logic is really hard to understand," Lefebvre said, calling
Wednesday a "sombre day for the 220,000 Canadians who depend on the dairy
sector for their livelihood."
Frankly, what's hard for me to understand is that Australia and New Zealand are satisfied with a measly 3.25 per cent increase in market access.
The poultry sector
has been silent about the deal’s impact on its fortunes.
When he was still prime minister, Stephen Harper promised these quota holders more than $4 billion in compensation, made up of promises that profits and quota prices would be retained and only gradually allowed to decline.
Thank goodness that promise does not have to be honoured now.
They will also yield access, 2.3 per cent for eggs, 2.1 per cent for chicken, two per cent for turkey snd 1.5 per cent for hatching eggs.
When he was still prime minister, Stephen Harper promised these quota holders more than $4 billion in compensation, made up of promises that profits and quota prices would be retained and only gradually allowed to decline.
Thank goodness that promise does not have to be honoured now.
