Canada and New Zealand resolve dairy trade dispute, Canada says

Reuters — Canada and New Zealand have reached a “mutually passable” decision to a long-running dispute over entry for dairy merchandise, the Canadian authorities mentioned in a press release on Thursday.

Why it issues: Canada’s provide administration system stays a sticking level in commerce negotiations with the U.S.

“This settlement, negotiated in shut session with Canadian dairy stakeholders, will lead to sure minor coverage modifications to Canada’s TRQ (tariff charge quotas) administration, and doesn’t amend Canada’s market entry commitments,” Worldwide Commerce Minister Maninder Sidhu and Agriculture Minister Heath MacDonald mentioned in a press release.

Second Harvest redirecting surplus food to those in need

Second Harvest, billed as Canada’s largest food rescuer, was on hand at Ag in Motion in Langham, Saskatchewan, from July 15 to 17 to connect with farmers and raise awareness of their presence on the Prairies.

New Zealand Commerce Minister Todd McClay added in a separate assertion that the federal government was happy the dispute has now been settled, and New Zealand exporters are assured higher entry to the Canadian market.

“At the moment’s settlement reinforces help for the rules-based buying and selling system,” McClay mentioned.

New Zealand launched a declare towards Canada in Might 2022, arguing that Ottawa’s implementation of dairy tariff charge quotas underneath the Complete and Progressive Settlement for Trans-Pacific Partnership (CPTPP) commerce settlement had been towards the its guidelines.

Beneath the brand new settlement, Canada has dedicated to make commercially significant modifications to the way in which it administers its dairy quotas underneath CPTPP, in response to the New Zealand authorities. The Canadian authorities added that this implies there are technical coverage modifications however these are restricted to quotas administered underneath the phrases of the CPTPP.

Canada’s provide administration system, which for the reason that Seventies has tightly managed provides of dairy, eggs and poultry by limiting manufacturing and limiting imports by way of onerous tariffs, has turn into a sticking pointing in its ongoing commerce negotiations with the U.S.

President Donald Trump has repeatedly criticized what he calls tremendously excessive Canadian tariffs on dairy merchandise.