Dairy Groups Urge Halt of Canada’s New Pricing Policy

Jamie JohansenAg Group, Dairy, Dairy Group, Export, Government, idfa, National Milk, USDEC

The U.S. dairy sector and state agriculture officials urged President Trump to take immediate action against Canada’s repeated and escalating disregard for its trade obligations under NAFTA. As a result of Canada’s new national pricing policy, dozens of dairy farmers in the Midwest recently learned they must find new customers for their milk by May 1, which will cause considerable economic hardship and possibly force them to go out of business.

In a joint letter, the International Dairy Foods Association (IDFA), the National Milk Producers Federation (NMPF), the U.S. Dairy Export Council (USDEC) and the National Association of State Departments of Agriculture (NASDA) urged the administration to tell Canadian Prime Minister Justin Trudeau to halt the new pricing policy and restore imports of the blocked U.S. products, specifically ultra-filtered milk. They also asked President Trump to direct U.S. agencies to “examine a full range of tools that could be used immediately to impress upon Canada in a concrete way the importance of dependable two-way trade.”

“U.S. dairy exports support approximately 110,000 jobs across America, many of which are in farming and food manufacturing, as well as in supporting rural manufacturing and skilled farm service workers,” the organizations said in the letter. “However, for trade to yield its full potential and provide the maximum impact possible in supporting American jobs, our trading partners must hold up their end of the bargain as well.”

“We appreciate your administration’s work to date on this issue and ask you to send a very clear message that Canada should be one of America’s most reliable trading partners, but in the case of dairy it has consistently chosen to pursue a disturbing and harmful path,” they said. “We stand ready to support your efforts to address this urgent dairy issue.”