SAINT JOHN, N.B. – For Canada’s dairy farmers, trade challenges are like a tiresome brother-in-law who never realizes he has worn out his welcome.
They never get out of your life.
“Trade is going to be all-consuming in the next year,” Can-adian Federation of Agriculture president Jack Wilkinson told the Dairy Farmers of Canada annual convention last week.
Following on the heels of last year’s dramatic victory over American efforts to have protective tariffs dismantled, the dairy lobby has had little time to enjoy the victory that was supposed to secure the industry’s future.
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The American dairy industry already has convinced the United States government to launch an investigation of Canada’s special class milk pricing system, created to encourage exports.
Won’t give up
The U.S. has said it will use the next round of world trade talks to renew its attack on Canadian supply management policies and the role of such “state trading entities” as the Canadian Dairy Commission in world markets. Those negotiations begin in 1999.
“We don’t expect the U.S. to give up,” DFC president Claude Rivard told the convention. “We can expect continued attacks on our system, both in the year that lies ahead and in the next round of the World Trade Organization talks. The U.S. has made no secret of its intention to go after our industry again, and we know from past experience that they will stop at nothing to get it.”
Later, agriculture minister Ralph Goodale told the dairy delegates Ottawa will defend the industry’s special class pricing if the American government decides to challenge it before a trade panel.
The American argument is that the lower export prices are a form of dumping or export subsidy.
“I believe our special class pricing system is completely consistent with our international trade obligations,” said the minister. “If the U.S. or any other country decides to challenge our system of special class pricing, we will once again work closely (with the industry) to defend the Canadian position.”
Goodale received praise from the dairy farmers’ lobby group for the government’s stout and successful defence of supply management during the American challenge before a North American Free Trade Agreement trade dispute panel.
Goodale used that to assure the industry the fight is not over, and the government will continue to defend the industry’s right to evolve under made-in-Canada rules.
“Canada can never afford to be complacent,” he said. “Pressures from the U.S. and elsewhere will continue. They will never cease. We must continue to be vigilant and proactive to defend ourselves … We must have the courage of our convictions to stand firm when we know we are right.”
Goodale promised to keep in close touch with farm groups as the government prepares its positions for the next round of world trade talks to renew its attack on Canadian supply management policies and the role of such “state trading entities” as the Canadian Dairy Commission in world markets. Those negotiations begin in 1999.
“We don’t expect the U.S. to give up,” DFC president Claude Rivard told the convention. “We can expect continued attacks on our system, both in the year that lies ahead and in the next round of the World Trade Organization talks. The U.S. has made no secret of its intention to go after our industry again, and we know from past experience that they will stop at nothing to get it.”
Later, agriculture minister Ralph Goodale told the dairy delegates Ottawa will defend the industry’s special class pricing if the American government decides to challenge it before a trade panel.
The American argument is that the lower export prices are a form of dumping or export subsidy.
“I believe our special class pricing system is completely consistent with our international trade obligations,” said the minister. “If the U.S. or any other country decides to challenge our system of special class pricing, we will once again work closely (with the industry) to defend the Canadian position.”
Goodale received praise from the dairy farmers’ lobby group for the government’s stout and successful defence of supply management during the American challenge before a North American Free Trade Agreement trade dispute panel.
Goodale used that to assure the industry the fight is not over, and the government will continue to defend the industry’s right to evolve under made-in-Canada rules.
“Canada can never afford to be complacent,” he said. “Pressures from the U.S. and elsewhere will continue. They will never cease. We must continue to be vigilant and proactive to defend ourselves … We must have the courage of our convictions to stand firm when we know we are right.”
Goodale promised to keep in close touch with farm groups as the government prepares its positions for the next round of world trade talks.
