Trump vows to solve dairy dispute with Canada

Bruno Cirelli
Aprile 21, 2017

A Canadian government minister said Thursday that Prime Minister Justin Trudeau's administration is looking forward to trade negotiations with Donald Trump despite the USA president's recent ramp up of criticism of Canadian policy.

Gov. Andrew Cuomo of NY and Wisconsin Gov. Scott Walker signed a joint letter urging President Donald Trump to address the policies implemented by Canada that impact producers in two of the country's top dairy producing states.

Trump says "unfair things" have happened in Canada to US dairy farmers.

President Donald Trump is promising to find a solution to a trade dispute with Canada that has left dairy farmers in Wisconsin and NY without a market for their product.

However, time is running out for other Wisconsin dairies.

Cuomo and Walker wrote that roughly 70 NY dairy farmers and millions of dollars in sales have been impacted by new Canadian regulations that target imports of ultra-filtered milk, which is used to make cheese and yogurt. "This is not free markets, this is protectionism", said Duffy.

"Canadian dairy pricing policies are upending long-standing trade relationships with American dairy companies and have resulted in the sudden loss of major contracts for companies in both of our states", the three wrote in a letter to U.S. Trade Representative Stephen Vaughn, Commerce Secretary Wilbur Ross and Acting Secretary of Agriculture Michael Young.

There have been some news media reports of Americans fleeing to Canada and Justin Trudeau has proclaimed that Canada's doors are wide open. Trump has said NAFTA puts US workers at a disadvantage. It had been duty free but Canada changed course after milk producers there complained.

The Trudeau government said in September it had hired Credit Suisse Group AG to look at the benefits of privatizing the country's eight largest airports, including in Toronto, Vancouver, Montreal, Ottawa and elsewhere.

"We know that dairy producers in the U.S are going through tough times; however, incorrectly laying the blame on an unrelated Canadian domestic policy will not improve their situation".

MacNaughton backed the organization's position that Canada has done nothing to block USA imports, and that the predicament is the result of an "over-saturated" market that has led to lower prices. He said it was caused by US and global overproduction of milk. He suggested it has stalled his attempt to renegotiate NAFTA. "It's corn and soy also that go down there so our huge trading partner and we need that market".

The National Milk Producers Federation and U.S. Dairy Export Council traveled to Mexico City in March to meet with Mexican dairy leaders to reinforce its commitment to continue working with that country.

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