The supply management sector and federal agriculture minister Lyle Vanclief have had, as Dairy Farmers of Canada president Baron Blois says delicately, some “ups and downs” in recent years.
Some supply management leaders have questioned whether Vanclief and the Liberal government really support the tariff protections needed to allow the system to continue.
Faced with competing free trade pressures, would the Liberal government sign on to a trade agreement that drastically cut tariffs, or would it stand firm in support of dairy, poultry and egg protections?
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Last week, Vanclief tried to dispel doubts.
He appeared before a roomful of supply management leaders March 24 to accept their common trade position for the next round of World Trade Organization talks.
He pledged to do his best to defend their interests.
“I pledge all the energy and effort I can give to ensure to the best of our abilities that we will get the best results for producers that we possibly can,” the minister said.
He said the federal government is “fully behind” supply management for the benefits it has provided to farmers and consumers.
Later, another delegate asked Vanclief to go one step further, to confirm that supply management will not be a WTO issue. There have been strong indications from Washington that the U.S. plans to use the WTO talks to challenge supply management by demanding more access to the Canadian market for American dairy, poultry and egg
exporters.
Vanclief said Canadian organization of its marketing system is a domestic issue.
“Of course, marketing systems have to fit into trade agreements.”
In a later interview, Vanclief indicated the supply management trade demands will not necessarily be adopted in their entirety in Canada’s WTO bargaining position.
Before November the government will have to reconcile supply management demands for continued tariff protection with the demands of an exporters’ alliance that the emphasis be on more opening markets for their products, even if it means opening Canada’s border more.
In April, the government is hosting an Ottawa conference to try to reconcile those views and to create a bargaining position that both exporters and import-sensitive sectors can support.
“We’ll have a better idea whether that is possible at the conference in April and after that,” he said. “It’s too early to tell.”
Not unreasonable
When Blois presented the supply management trade position to Vanclief before 270 industry leaders gathered at an Ottawa conference centre, he told the minister it was a position that is “credible and indeed is salable in the international community.”
He said the five supply management sectors will monitor trade negotiations and the trade position will evolve based on the positions of other negotiators.
But later, Blois said in an interview the sectors will be watching the government closely to make sure it defends the position.
“Mr. Vanclief and our industry have had some highs and lows and today was a high,” said the Nova Scotia farmer. “I’m sure there will be lows in the future. But I think we have put forward arguments here they can use.
“Will they deliver? I guess we’ll have to see how it unfolds. It is for them to go forth and deliver. If they do not deliver, we’ll have to re-assess.”
