With Canadian and European Union politicians now concentrating on sensitive compromises that might be necessary for a trade liberalizing deal, supply management protectionism remains in the crosshairs of the debate.
This week, EU trade commissioner Karl De Gucht visits Ottawa for meetings with trade minister Ed Fast and possibly agriculture minister Gerry Ritz.
Agriculture remains a key dividing point if a deal is to be signed this year — Canada wants increased beef and pork access while the EU wants more dairy product access.
On Feb. 6, the Conference Board of Canada took advantage of the trade talks and anti-supply management advocate speculation about an imminent Canadian compromise on dairy imports to issue another call for an end to supply management trade restrictions.
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“The EU deal is an opportunity for Canada to embark on reform of a policy that doesn’t meet the interests of the broader public or arguably even the dairy sector,” senior Conference Board official Danielle Goldfarb wrote in a commentary. “Lowering dairy tariffs or raising our import quota for dairy from all countries could allow the industry to gradually adapt to increased competition.”
And it would give exporters more leverage to argue for better access, said the business-oriented research centre.
In the House of Commons Feb. 6, opposition critics accused the Conservative government of preparing the groundwork for a sellout of supply management protections.
Without directly addressing the question, Conservative ministers including prime minister Stephen Harper said the government is a strong supporter of supply management and only the Liberals — leadership candidate Martha Hall Findlay — are advocating dismantling the system.
“We certainly defended the supply managed sector,” Nova Scotia MP Gerald Keddy, parliamentary secretary to the trade minister, said in the House. “We will negotiate in the best interest of Canadians and only sign a deal that is in our best interest.”
With the annual Dairy Farmers of Canada convention in Ottawa this week, the issue of a potential compromise on supply management protections is a major topic both officially and in the corridors.
Canada-EU trade deal advocates say negotiations must be concluded soon after more than two years of negotiation or the EU will turn its attention to pending free trade talks with the United States.
