US Trade Pacts Threaten Canadian Pulse Exports

Chuck Zimmerman

Harry SiemensWith farmers in the United States and Canada producing more food than we can collectively eat, exports and trade agreements help feed the system. In fact, those trade agreements are necessary for the survival of farmers, particularly in Canada.

John DePutter of Ontario writes how bilateral free trade agreements the U.S. is negotiating with Central and South American countries will put the Canadian pulse industry at a disadvantage in those markets. When ratified, bilateral pacts between the U.S. and Peru, Columbia and Ecuador will allow the U.S. to take advantage of tariff reductions of 15% to 30% on pea or lentil exports to those countries, said Greg Cherewyk of Pulse Canada.

“We have enjoyed a majority market share in some of those markets historically, and now there is no question that those agreements will threaten that market share,” he said. According to Cherewyk, Pulse Canada has been fielding calls from both exporting and importing traders concerned about what the bilateral agreements will mean for the Canadian pulse trade. Given that bilateral trade agreements, excluding Canada will jeopardize more than just the pulse sector, Cherewyk said Pulse Canada has joined forces with other Canadian commodity groups, including the Canola Council and the Pork Council, to alert government agencies to the growing program.
The groups collectively recommend Canada be as aggressive as the U.S. when it comes to pursuing bilateral agreements.

“Not only to counteract the ones that are currently being negotiated or signed, but also to proactively go after markets where there would be an advantage for Canada,” he said. Cherewyk added that pursuit of Canadian-made bilateral agreements is even more important now that the World Trade Organization (WTO) talks on agriculture have fallen apart.

Siemens Says

International