Alberta and British Columbia oilseed producers have won a trade challenge against the Ontario government’s regulations that stopped the sale of some vegetable oil or vegetable oil-dairy products into their province.
The dispute resolution panel of the Agreement on Internal Trade found that Ontario’s legislation restricted interprovincial trade and harmed producers of dairy alternatives.
The ruling means that producers and manufacturers can sell products like cheese, cream cheese, cream substitutes and ice cream made out of vegetable oil or a blend of vegetable oils, said Trevor Coulombe, Alberta International and Intergovernmental Relations media spokesperson.
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Under Ontario’s Act, no product that looked like a dairy product, but was made from vegetable oil or a blend, could be manufactured or sold in the province.
Coulombe said consumers who are lactose intolerant or those who prefer to eat non-dairy products seek some of those products.
Margarine was never included in the ban.
The Agreement on Internal Trade is an agreement between the provincial and federal governments to remove interprovincial trade barriers and to encourage the free movement of goods and services across the country.
The panel also recommended that Ontario follow through with its scheduled repeal of the act on January 1. It also said any attempt to introduce replacement measures through other legislation, such as a Milk Act, would be barriers to trade and would violate the agreement.
