Canadian meat industry urges government to join CPTPP
According to the Canadian Meat Council (CMC), which is part of the coalition of Canada's agricultural industry leaders, the CPTPP would lower Japan's tariffs on Canadian beef imports to the Australian level of 27%, "which is an 11% advantage over the United States and other
competitors." CMC says that this is only one example of the multiple advantages that Canada could obtain after the signing of the CPTPP.
Furthermore, the council explained that the deal could increase Canadian beef and pork sales by at least $500 million, this leading to the employment of an additional 5,800 workers.
Canada risks of being “tariffed-out” of Japan, a $1.2 billion market for Canadian meat exports, if the deal would not be closed. Without the CPTPP, the Canadian meat industry would be affected. Regional economic impacts associated with the red meat products supply chain are largest in central Canada with real GDP impacts of $4.3 billion in Ontario, and nearly $3.0 billion in Quebec.
"For signatory exporters, Japan’s beef tariffs would immediately drop to match the level for Australian beef 27% while Canada would remain at 38.5%. Each year, tariff rates for signatories would drop further until they reach 9%, while Canada would be stuck at a towering 38.5%. For pork, the focal point is to remain competitive with other suppliers, specifically, Mexico that already has a deal with Japan as well as the European Union that just finalized negotiations for a trade agreement with Japan. Additionally, signing CPTPP provides preferential access to emerging markets in Asia," CMC's statement read.
The loss of Japan, one of Canada’s most valuable markets, would jeopardize 20% of Canada's current global export value for meats, 14,000 jobs and, forfeit our sector’s ability to contribute to the government of the country’s agri-food export goal of $75 billion by 2025.
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