The Canadian Pork Council (CPC) has written to Foreign Affairs and International Trade Canada in support of Canada joining TPP negotiations. The TPP currently consists of Australia, Brunei Darussalam, Chile, Malaysia, New Zealand, Peru, Singapore, Vietnam and the US, with the US joining last year.
The letter pointed out that with Canada exporting almost two-thirds of its pork production, to a value of over C$3.2bn, “export access is of crucial importance to the Canadian pork industry”. It called on ministers to move quickly on TPP in order to ensure that Canada does not fall behind its key competitors.
“Canada’s pork producers are extremely concerned that Canada not fall behind the US and other competitors in terms of access acquired through regional trade agreements,” it said.
The letter stated that while Canada has existing free trade agreements in place with existing TPP participants Chile, Peru and the US, as well as with potential TPP participant Mexico, joining the TPP would secure further access to major pork markets such as Vietnam. Additionally, Japan, which is currently one of Canada’s top meat export destinations, recently announced its intention to join the partnership. “Japan is a key market for Canadian pork and we could see our sales there seriously eroded if Japan, and not Canada, joins the TPP,” stated the CPC.
However, the letter added that the CPC supported a Canadian negotiating approach that neither accepted pre-conditions nor made exclusions. “Canada should not accept any pre-conditions for its entry into TPP negotiations and it should not make any exclusions to what it is willing to negotiate in advance of such negotiations in order to achieve the best overall negotiating result,” explained CPC’s chair Jean-Guy Vincent.
“Accepting pre-conditions from other countries will reduce our negotiating leverage prior to achieving any concessions from TPP negotiating partners. Also, by excluding anything in advance of negotiations, Canada would be compromising what can be achieved for Canadians from participation in these important negotiations.”
Outside TPP negotiations, Canada has made significant progress towards access in other Asian markets, including China. The Canadian Prime Minister Stephen Harper and Chinese Premier Wen Jiabao recently reached an agreement to give Canadian producers access to the lucrative Chinese beef tallow market, which was closed to Canadian exporters in 2003, following Canda’s first case of bovine spongiform encephalopathy (BSE).
Canadian Cattlemen’s Association president Travis Toews said the new access would give Canadian farmers a better return on their cattle and help boost beef production in the country. “Canadian cattle producers appreciate the high priority that Prime Minister Harper has placed on opening markets for Canadian beef and beef products,” he said.
Agriculture and Agri-Food Minister Gerry Ritz has also reached an understanding with his Chinese counterpart to work towards the approval of additional Canadian beef export facilities and the inclusion of bone-in beef and offal from cattle under-30-months of age into trade agreements. Once full market access is achieved, it could increase the value of Canadian beef exports to China to C$110m per year.