Canada remains firm on its position with dairy TRQs

A Canadian trade representative says his country is disappointed that the U.S. is challenging Canada’s dairy trade practices again.

Acting Consul General Aaron Annable tells Brownfield Canada has fulfilled its dairy tariff-rate quota responsibilities under the United States-Mexico-Canada Agreement. “We believe that our response, which was to end processor specific pools for dairy TRQs, addressed the findings of the panel and put us into compliance with our USMCA obligations.”

The U.S. alleges that the quotas deny access to Canadian markets and favor their processors. The Biden administration has requested a second review by the dispute settlement panel.

The first panel found that Canada violated the trade accord by reserving most of its preferential dairy TRQs for Canadian processors and the country revised its policies.

Trade rate quotas are a set amount of dairy imports allowed to cross into Canada without being subjected to high tariffs.

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