While milk producers are obviously an important part of the industry, the processing side of the equation is often overlooked – and will continue to be, Frigon said. The USMCA is fundamentally changing Canada`s trade-distorting policy, reforming Canada`s controversial milk pricing system, and providing U.S. farmers and producers with exclusive access to the Canadian market. Consumer research for additional health benefits in everyday products opens up opportunities for manufacturers, probiotic benefits for dairy and other products. Jeff Lyon, Managing Director of FarmFirst Dairy Cooperative, said: “In addition to reforming Canada`s controversial milk pricing system, the USMCA is also creating new safeguards for products based on common cheese names such as Parmesan and feta. Officials welcomed the removal of a 10-year-old provision in last year`s agreement that would have extended patent protection for the special class of drugs known as “biologists” to 10 years, which would have increased the cost to Canadian patients. The United States agreed to end the panel blockade, giving countries the opportunity to obstruct dispute resolution by refusing to appoint arbitrators. Today`s consumers are increasingly health conscious, many are thinking about fibre and sugar content before buying a product. And dairy products… Plett called the change in time, particularly in the pandemic, a betrayal of the Canadian dairy industry.
And he suggested that tensions between Ottawa and Donald Trump`s White House have forced the government to make concessions. Castaneda and his sales team have been working for months to affirm what the U.S. dairy industry needs within the USMCA, which will replace the North American Free Trade Agreement (NAFTA). The USTR stated that Canada has the right to apply the USMCA to maintain tariff quotas (TRQs), tariffs on imports of certain quantities, on 14 dairy products from ice to ice cream. But the USTR said that Canada`s October communications set aside a percentage of quotas for processors and “other processors,” which it says limits access to the U.S. and violates USMCA obligations. The U.S.-Mexico-Canada agreement, which replaced the North American Free Trade Agreement this year, provides governments with the opportunity to address trade disputes if they feel others are not complying with the rules. In accordance with the terms of the agreement, the United States and Canada will now begin consultations and, if the problem is not resolved, the United States can request the creation of a special body to examine the issue. Tom Vilsack, President and CEO of USDEC, said: “USMCA is taking important steps to remove trade barriers, open the door to new opportunities and support the flow of high-quality U.S. dairy products to two valuable export markets. The new USMCA opens up about 3.6 percent of a Canadian milk market that was previously exclusively available to domestic producers – a change that some manufacturers have predicted will deduct a portion of $240 million from the industry`s bottom line.
“The government`s recent decision to move forward with CUSMA on the backs of our milk processors in the midst of a global pandemic is totally inexcusable,” he said in a statement. Exports of cheese, powdered milk, whey protein and other dairy products and ingredients provide a financial boost not only to milk producers and producers, but also to millions of American workers whose jobs are supported by the U.S. dairy industry. “The strict enforcement measures contained in the final agreement provide public servants with the tools they need to hold our trading partners to account and ensure that the benefits guaranteed by the USMCA are fully realized.” John Rettler, President of farmFirst Dairy Cooperative, said: “Today`s vote in the Senate shows strong support from all parties for this modern trade agreement and, ultimately, a strong