New Trade Agreement Aimed at Moving Trucks Through the Border Faster

Premier Promises To Protect Province's Economy Under USMCA

Alberta dairy farmers worried about USMCA

Meanwhile, the CEO of the Dairy Farmers of Ontario says concessions made by Canada in the trilateral trade deal are a gift to powerful dairy lobby groups in key US farming states such as Wisconsin.

The U.S. has large annual surpluses in they're dairy production, and gaining more entrance into our market will give them a place to move and store their products. "The USMCA is very good news as it builds upon our already-established trade relationships with Canada and Mexico in several key areas". He said Canada produces milk to supply the domestic market and uses the supply management system to balance it and to make sure there is the proper amount of milk that is produced for Canadian consumption.

The new agreements leave in effect Canadian and Mexican retaliatory tariffs on farm goods imposed after the USA placed tariffs on steel and aluminum imports. And fixing the US dairy market was a priority in that agreement.

Stan Ryan, Dairgold president and CEO says, "Dairy trade with Canada was one of the most hard and contentious negotiating issues to solve in the entire USMCA deal". Canada will provide new access for United States products including fluid milk, cream, butter, skim milk powder, cheese, and other dairy products. "We have been a leader in encouraging and engaging with other jurisdictions on free trade issue".

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In Quebec, meanwhile, politicians lamented that its key dairy sector was paying the biggest price in order to get a deal.

MADDOX: Now, Steve has 3,000 heads just south of Fresno, California, you're third-generation, your son is fourth-generation, there's about 40,000 dairy farms still in operation, how big of a deal, how much of an impact have on the future of dairy in the United States? What they're going to ship into Canada is either some finished dairy products or they're going to ship in refined milk mostly. For example, a water company could sue Canada if they felt we were unfairly limiting water exports for environmental reasons (and this has indeed happened). Experts say the trilateral agreement between Canada, the USA and Mexico is unlikely to bring prices down, but could leave shoppers with more choices in the dairy aisle.

The general sentiment among manufacturers is one of relief, said Dennis Darby, president and CEO of Canadian Manufacturers & Exporters.

Since talks began more than a year ago, it was clear that Canada and Mexico would have to make concessions in the face of Trump's threats to tear up NAFTA, and relief was palpable in both countries on Sunday that the deal was largely intact and had not fractured supply chains of weaker bilateral agreements.

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Trudeau said he knows there is anxiety for dairy producers but also implied things could have been a lot worse.

He said Canada is also aiming to remove interprovincial trade for "frustrated" Canadians as it works with all provinces including two new governments - in Quebec and New Brunswick.

In the meantime, the executive branches of all three countries have 60 days to review and sign the agreement, and then the U.S. Congress must ratify it.

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