Country-of-origin labelling rules and low-level presence of genetically modified crops in commodity shipments were expected to dominate talks at the Tri-National Agricultural Accord in Saskatoon this week.
The annual accord, which ran this year from Sept. 23–25, involved close to 100 agricultural delegates from Canada, Mexico and the United States, who were in Saskatchewan to discuss issues affecting agricultural trade, investment and production.
“Certainly from Canada’s perspective, and I’d suggest possibly Mexico’s as well, COOL is the elephant in the room,” said Saskatchewan agriculture minister Lyle Stewart.
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As the harvest in southern Alberta presses on, a broker said that is one of the factors pulling feed prices lower in the region. Darcy Haley, vice-president of Ag Value Brokers in Lethbridge, added that lower cattle numbers in feedlots, plentiful amounts of grass for cattle to graze and a lacklustre export market also weighed on feed prices.
“It’s certainly the most difficult issue that we have to deal with right now, and from Canada’s and Mexico’s perspective, and the World Trade Organization’s, the United States is off side on this one.”
Added federal agriculture minister Gerry Ritz, who addressed the meeting Sept. 23: “Along with industry across the continent, we will continue to fight against this unfair treatment until it is rectified.”
Ritz said delegates attending the accord have an opportunity to discuss outstanding trade irritants, identify mutual interests and work toward common goals.
“There’s a lot we agree on and we’ll continue to work together in the best interests of our producers and our processors,” Ritz said.
“We must continue to keep the lines of trade free and flowing.”
The Tri-National Agricultural Accord is a long-standing event that includes federal, provincial and state delegates from jurisdictions in Canada, the United States and Mexico.
Together, the three countries exported $225 billion worth of agri-food exports in 2012.
COOL is probably the most controversial issue on the accord’s agenda.
Concerns date back to 2008 when the U.S. passed a law requiring that all items originating outside the U.S. but processed in America should be clearly state the product’s country of origin.
Canadian groups, including the Canadian Cattlemen’s Association and the Canadian Pork Council, say the legislation has cost their industries billion of dollars.
The WTO ordered the U.S. to change the law earlier this year but so far, Washington’s response has failed to satisfy Canadian and Mexican complaints.
Canada has since threatened retaliatory action and earlier this year released a list of commodities imported from the U.S. that could be subject to retaliatory tariffs or punitive taxes.
Ritz and Stewart said talks at the accord were unlikely to have an immediate impact on resolving the COOL issue, but constructive discussions will gradually help bridge differences related to COOL and other trade irritants.
Low level presence (LLP) is likely to be another key issue discussed at the accord, they said.
“Our countries must send a message to our competitors that when they trade with NAFTA (North America Free Trade Agreement) nations, they play by the rules and those rules must be rooted in sound science,” Ritz said.
“A pragmatic and workable (LLP) policy is critical to prevent any serious trade impediments that can arise when different countries approve different products at different times.”
Other issues on the accord’s agenda include foreign animal diseases and their impact on trade, veterinary drug use and approvals, pesticide harmonization and food safety issues.
