Canada refutes U.S. claims of unfair dairy trade

Cheryl Sanders
April 30, 2017

Trump called out Canada by name Tuesday amid a brewing trade spat that has seen the USA dairy lobby accuse Canada of "systemic disregard" of its trade obligations.

"I don't expect there would be many countries that would do anything other than support a WTO action against Canada", said Australian Dairy Farmers interim Chief Executive Officer John McQueen in a telephone call.

Today's missive, delivered in the Oval Office, was more detailed than his complaints earlier this week in Wisconsin about Canadian dairy regulations.

Speaking in Kenosha on Tuesday, President Trump said he's "gonna call Canada" and work with Gov.

The Dairy Farmers of Canada also updated their brand strategy to help consumers spot American ingredients on grocery shelves.

MADISON, Wis. (AP) - Wisconsin and NY state officials have asked the U.S. Department of Agriculture to take action to help dairy farmers in their states who've been hurt by Canada's decision to change policy in pricing its own milk.

Canada's ambassador to Washington David MacNaughton on Tuesday sent a letter to the governors of two major dairy states to convince them that Canadian dairy policies are not the cause of financial loss for dairy farmers in the United States.

Canada exported about $113 million worth of milk to the USA a year ago but imported $557 million, meaning a dairy dispute would hurt the US more than Canada. "NAFTA has been very, very bad for our country", Trump said.

Bernier says Canadians suffer more under supply management than Americans and if elected leader he promises to abolish the system. "And we'll be reporting back some time over the next two weeks as to NAFTA and what we are going to do about it", Trump said. The president's comments have led many observers to speculate that dairy - and Canada's system of supply management - could be a target as the USA considers a renegotiation of the North American Free Trade Agreement (NAFTA).

In response to Trump's latest comments on trade with Canada, Foreign Affairs Minister Chrystia Freeland said the federal government "will always defend Canada's interests".

"When there's trade discussions we're always concerned and watching what's happening", Smith said.

At issue is a new pricing agreement struck last spring by Canada's dairy farmers and processors that industry groups in Australia, New Zealand, the European Union, Mexico and the United States say would price domestic milk ingredients, used for making cheese and yoghurt, below cost.

About 70 dairy producers in both USA states are affected. "The Canada-U.S. partnership is a model to the world".

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