By Alice McFarlane

Agriculture Roundup for Thursday, April 20, 2023

Apr 20, 2023 | 9:42 AM

MP’s are defending Canada’s supply management system and said it could be a good option for lower-income countries to be less reliant on imports.

A House of Commons committee is meeting today to talk about a Bloc Quebecois bill that would make it harder for new trade deals to chip away at the system.

Since 1972, the federal and provincial governments have regulated the supply and cost of dairy, eggs, and poultry by placing steep tariffs on imports.

But the rules have been tweaked several times over the past decade as Canada negotiated trade deals and agriculture groups have not been happy.

Last fall, the UN special commentator on the right to food told a committee the system could be shared with poorer countries to help them stabilize food prices.

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The Liberals have said they support the proposed Bloc bill to strengthen supply management.

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The federal strike will be devastating to the grain sector.

The Wheat Growers Association called on the federal government to ensure the Canadian Grain Commission (CGC) employees within the PSAC union return to work immediately.

In a letter to Agriculture and Agri-Food Minister Marie-Claude Bibeau, the group requested the government prepare a contingency plan.

Wheat Growers President Gunter Jochum said a slowing or stoppage of grain movement from Canadian ports will have a massive impact on the entire grain industry.

“Farmers need to continue to deliver last years’ crop before spring seeding to run their businesses and purchase inputs for the 2023 crop. A stoppage would be devastating to the industry, and ultimately to consumers,” Jochum said.

Disruption in the supply chain will also cause a backlog of vessels that are currently enroute to Canadian ports, adding additional penalties to the industry which will be incurred even after a strike is settled.

Jochum said roughly 70 per cent of Canadian grain is currently inspected by both CGC and third parties, calling into question the double inspection costs alone of over $60 million annually to farmers.

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The closure of Quebec pork processing plant will have a significant impact on Canadian production.

Canadian Pork Council (CPC) chair Rene Roy said Olymel’s announcement of the closure of its Vallée-Jonction plant was due to the pandemic, an ongoing labour shortage, inflationary pressures and challenges with accessing foreign markets.

“This is tough news to hear, but we will work with governments and with our partners to find long-term solutions. This closure will impact Quebec, Atlantic Canada and other parts of the country, so a national solution is required,” Roy said in a news release.

Roy said the focus right now is on the almost 1,000 Olymel employees who will be laid-off in a rural region of Canada, and on the producers who need to find a new home to sell their products.

The pork sector is a $7 billion industry in Canada, with almost $5 billion in exports.

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alice.mcfarlane@pattisonmedia.com

On Twitter: @farmnewsNOW