Canada

Canada Approves PRRS-Resistant Pigs for Use in Food and Feed

Fri, 23 Jan 2026 18:07:12 GMT

PRRS-resistant pigs are now approved for sale as food and feed in Canada after rigorous and thorough review, announces Health Canada and the Canadian Food Inspection Agency (CFIA). Additionally, Environment & Climate Change Canada (ECCC) conducted its own review of the research and data and concluded that pigs resistant to porcine reproductive and respiratory syndrome (PRRS) may now be manufactured or imported in Canada.

“Health Canada has concluded that foods made from these pigs are as safe and nutritious for people to eat as pork currently available in Canada,” according to a Health Canada release . “The CFIA has confirmed that these pigs are also safe and effective for use in livestock feeds.”

In 2024, the Canadian swine industry generated over $6.3 billion in farm cash receipts, and Canada produced 2.34 million metric tons of pork and exported 1.45 million metric tons of pork. As of Jan. 1, 2025, there were 13.9 million hogs on 6,885 Canadian farms.

“Addressing PRRS can allow us to improve animal welfare, reduce the need for antibiotics and decrease the environmental impact of raising pigs,” says Todd Wilken, PIC director of North America sales. “In fact, recent research indicates that PRRS increases the need for antibiotics by more than two times compared to pigs without PRRS.”

Will Canadian Consumers Purchase Pork from Gene-Edited Pigs?

Research conducted by Circana and commissioned by PIC in late 2025 found there is an above-average likelihood Canadian consumers will purchase pork from gene-edited pigs, PIC reports. The research polled more than 5,000 pork consumers from eight key countries, representative across genders and ages 18 to 70.

Circana found 90% of Canadian consumers are open to purchasing pork from gene-edited pigs and responsibly reducing the need for antibiotics ranked as the top motivator.

“We have spent years conducting extensive research, validating our findings and working with the Canadian government to gain approval,” says Matt Culbertson, PIC’s chief operating officer. “Today marks a major milestone for consumers, farmers and the entire pork industry who have hoped for relief from PRRS for decades.”

Regulatory Approval In Other Countries

Genus PLC’s PRRS-resistant pigs are already permitted for food use in the U.S., Brazil, Colombia, Argentina and the Dominican Republic. This approval does not automatically trigger commercialization, PIC said on April 30, 2025 , when the U.S. FDA approved the gene edit.

“We are committed to the responsible and intentional introduction of the PRRS-resistant pig around the globe. Gaining approval in Canada is an important step in this process, and we are working with additional countries to gain regulatory approval and protect global trade prior to initiating sales and delivery,” Culbertson says.

Food Labeling in Canada

The Government of Canada recognizes information about genetic engineering is important, although genetically engineered foods are considered as safe and nutritious as conventional foods. Work is underway with the Canadian General Standards Board on a public review of the National Standard for labeling and advertising of foods that are, and are not, products of genetic engineering. The CFIA uses this standard to provide its guidance to companies on the labeling of foods, it says.

In Canada, food labeling is required when there are well-established health risks or significant changes to the nutritional qualities of the food. For example, an allergen in a food must be labeled to alert consumers of the risk. Because Health Canada found no health and safety concerns, it says no special labeling is required for foods from these PRRS-resistant pigs.

“In addition to the assessments noted above, in December 2025, the New Substances program — jointly administered by Environment and Climate Change Canada and Health Canada — determined environmental and human health risks from indirect exposure to these pigs is no different from pigs currently available in Canada,” Health Canada notes.

No Trade Agreement Can Boast the Success of USMCA, The Meat Institute Says

Mon, 03 Nov 2025 21:13:19 GMT

The Meat Institute is calling on the Trump administration to renew the U.S.-Mexico-Canada Agreement (USMCA) for its benefits to American meat and poultry companies and the entire U.S. animal protein value chain.

“USMCA has been a boon for the American meat, livestock and poultry sector, along with the broader American food and agriculture economy and ancillary industries,” said Julie Anna Potts, The Meat Institute president and CEO, in a news release. “It has provided steady income to American farmers, ranchers, and meat and poultry exporters; it has created jobs for American truck drivers, ports, and transportation companies; it has strengthened American food retail and food service establishments; and it has accomplished all of this through transparent rules that allow American businesses to proactively plan supply chains and develop durable customer relationships.”

USMCA entered into force on July 1, 2020, substituting the North America Free Trade Agreement (NAFTA) to create more balanced, reciprocal trade supporting high-paying jobs for Americans and grow the North American economy, according to the Office of the United States Trade Representative (USTR) .

“The domestic U.S. meat and poultry industry’s long-term economic viability, though, depends on robust international trade, particularly as domestic per capita consumption of meat and poultry remains stable, and 95% of consumers live outside the U.S,” The Meat Institute wrote in comments submitted to the USTR on Nov. 3. “International trade is, therefore, vital to the long-term strength of the U.S. meat and poultry industry, the American workers it supports, and the rural and farm communities it sustains.”

In 2024, U.S. meat and poultry exports exceeded $24.6 billion. Meat and poultry product exports to Canada and Mexico accounted for $7.5 billion of that total. Annually, approximately 14% of U.S. beef production, 15% of U.S. poultry production and 25% of U.S. pork production are exported, the organization noted. As well, exports add value to every animal produced, and in turn, increase demand for U.S. corn and soybeans.

“The Trump Administration’s America First Trade Policy Agenda has reinvigorated American trade policy and has reasserted American leadership to advance U.S. meat, poultry, food, and agriculture trade in a manner that revitalizes our farm communities and supports broad-based economic growth. President Trump’s negotiation of the USMCA during his first term resulted in the world’s gold-standard trade agreement,” the letter said. “Thanks to President Trump’s leadership, USMCA has bolstered U.S. meat, poultry, and livestock trade, has led to increased market integration in North America, and must be preserved without significant changes that would disrupt the U.S. meat and poultry industry’s substantial access to the Canadian and Mexican markets.”

The Meat Institute says it’s clear USMCA’s access terms – zero tariffs on most meat, poultry and livestock trade – have underpinned American economic and job growth, particularly in rural and farm communities across the U.S.

“No other trade agreement can boast the same success,” Potts said. “President Trump deserves enormous credit for this extraordinary achievement.”

See The Meat Institute’s full comments in response to the U.S. Trade Representative’s (USTR) “Request for Comments on the Operation of the Agreement Between the United States of America, the United Mexican States, and Canada.”

Canadian Meat Council Brings Protein PACT to Canada

Thu, 27 Mar 2025 20:45:42 GMT

The Canadian Meat Council (CMC) launched the Protein PACT sustainability framework for the Canadian meat processing sector on March 27. This significant initiative aims to enhance sustainability practices across the industry, aligning with global standards while addressing critical issues, CMC said in a release.

The Protein PACT, developed by the U.S. based Meat Institute, is a partnership uniting stakeholders across the animal protein industry to accelerate progress toward global sustainable development goals, focusing on people, animals, communities and the environment, the organization shared in a release.

Bringing the Protein PACT to Canada allows CMC members to collaboratively and pre-competitively advance the sustainability of the animal processing sector. By adapting this framework for Canada, CMC’s goal is to emplower Canadian meat processors to collaborate on shared sustainability goals and work together to improve North American-wide practices.

“Canada’s red meat processing sector have sophisticated science-based practices and outcomes across their establishments and systems in place,” CMC president and CEO Chris White said in a release. “This initiative will provide a vehicle to broadly communicate these initiatives and demonstrate our leadership to key stakeholders.”

Through initiatives like the Protein PACT, the North American meat processing industry is poised to make even greater strides in advancing sustainability and meeting the challenges of the future together, the release said.

“By uniting industry stakeholders under a common framework, the Protein PACT will ensure that Canada’s meat processors can continuously improve their operations to achieve the highest standards of sustainability, transparency, and accountability,” Meat Institute President and CEO Julie Anna Potts said in a release.

Your Next Read: Millennials and Protein Craze Boost Meat Sales to Record High

Take Our Poll: Do You Agree With President Trump's Use of Tariffs?

Wed, 19 Mar 2025 17:07:05 GMT

Tariff whiplash is consuming the commodity markets — and the possible impact is stirring up quite the debate. At present, President Donald Trump says he’s sticking to his plan to impose additional tariffs on the United States’ top three trading partners starting April 2.

In early February, President Trump announced a 25% additional tariff on imports from Canada and Mexico , a 10% additional tariff on imports from China and a 10% tariff on energy resources from Canada.

Those tariffs were scheduled to go into effect in early March. However, President Trump made the decision to exempt goods from Canada and Mexico under the U.S.-Mexico-Canada Agreement (USCMA) from the 25% tariffs for another month.

What we know today is those exemptions for goods from Canada and Mexico covered under USMCA are scheduled to expire on April 2.

As agriculture waits to see what happens, the commodity markets continue to trade headlines and concerns are mounting about possible retaliatory tariffs. Tariff talk is already impacting input prices for farmers heading into spring.

Share Your Thoughts on Tariffs
In light of the ongoing tariff battle, we have two questions for you:

Do you support President Donald Trump’s use of tariffs as a negotiation strategy?
Do you believe USDA will compensate farmers for losses if agriculture is affected by a trade war, similar to the compensation provided through the Market Facilitation Program?

Click here to share your answers.

NOTE: We appreciate your input. The poll has been closed. Check back on Monday, March 24 for results and analysis.

Canada Resumes Imports From Biggest U.S. Pork Plant Run By Smithfield Foods

Fri, 14 Mar 2025 19:41:17 GMT

Canada has resumed imports from the biggest U.S. pork-processing plant, a Smithfield Foods SFD.O facility in Tar Heel, North Carolina, after suspending shipments for about a week, the company said on Friday.

The halt temporarily limited a market for American pork products at a time when U.S. farmers fear that agricultural exports will suffer from tit-for-tat tariff disputes with major buyers including Mexico, Canada and China.

Smithfield CEO Shane Smith said this week that the facility’s suspension centered around a problem with offal products at the border and was unrelated to tariffs. Shares rose slightly on Friday.

“Canada temporarily suspended imports from this facility following an issue with a limited number of certain offal shipments,” company spokesperson Jim Monroe said.

The suspension lasted from March 6 to March 12, and pork items produced by the facility after March 12 are eligible for export to Canada again, according to a U.S. Department of Agriculture website.

Canada was the fifth-largest export market for U.S. pork last year, with shipments valued at about $850 million, USDA data show.

U.S. pork producers continue to face uncertainty over the impact of trade disputes on demand.

U.S. pork export sales of 20,262 metric tons in the week ended on March 6 were the lowest for the year so far and down 52% from the previous week, USDA said on Thursday.

On Sunday, hundreds of U.S. meat plants granted access to China, the world’s biggest pork consumer, in a 2020 trade deal with President Donald Trump are set to lose export eligibility.

“The hog market has been getting blasted over tariff fears and disruption to U.S. pork exports,” said Dan Norcini, an independent livestock trader.

“Any sort of news that is friendly towards U.S. pork exports, even if it is offal, helps to take some of the negative sentiment off.”

Lean hog futures LHJ25 rose at the Chicago Mercantile Exchange.

(Reporting by Tom Polansek; Editing by Angus MacSwan and Aurora Ellis)

Mexico and Canada Take Additional Actions to Ward Off U.S. Tariffs

Fri, 28 Feb 2025 20:18:21 GMT

A global stock selloff extended from Asia into Europe as investors worried that President Donald Trump’s planned tariffs on Canada, Mexico, and China could hurt economic growth. Asian shares fell as much as 2.5%, while the dollar strengthened. Trump announced 25% tariffs on Canada and Mexico starting March 4, with Chinese imports facing an additional 10% levy.

Economists warn the move could slow U.S. growth, fuel inflation, and trigger recessions in Mexico and Canada. China vowed “all necessary measures” in response, while Hong Kong saw some of the biggest losses, particularly in Chinese tech stocks.

The euro is at risk of further falls as markets are not fully priced for the prospect of a global trade war, ING analyst Chris Turner says in a note.

The U.S. economy is also showing early signs of strain as President Trump’s aggressive tariffs and federal spending cuts disrupt businesses, weaken consumer confidence, and spark concerns over inflation.

Job cuts across government agencies and funding freezes are forcing local officials to explore tax hikes and bond issuances to stabilize budgets.

Economists warn that escalating trade tensions and regulatory uncertainty could further dampen growth, with projections of higher inflation and slower economic expansion. While the administration insists its policies will strengthen the private sector, financial markets and businesses remain uneasy about the near-term outlook.

Trump Confirms Tariffs on Canada and Mexico, Additional Hike on China

President Trump announced that tariffs on imports from Canada and Mexico will take effect on March 4 as planned, citing inadequate efforts to curb drug trafficking.

Additionally, he declared a new 10% tariff on Chinese goods, doubling the previous levy imposed earlier this month. The move has drawn criticism from businesses and trade groups, warning of economic strain and higher consumer costs.

While Canada and Mexico have taken measures to address U.S. concerns, China’s response remains muted, potentially setting the stage for further trade tensions.

Mexico Extradites Top Cartel Figures to U.S.
In a historic crackdown on cartel operations, Mexico has transferred 29 high-profile cartel operatives to U.S. custody, including Rafael Caro Quintero, the infamous Sinaloa cartel leader wanted for decades.

The move, seen as a major victory for the Trump administration, signals increased co-operation between Mexican President Claudia Sheinbaum and U.S. authorities. Among those extradited is Miguel Ángel Treviño Morales, the notorious ex-leader of the Zetas cartel.

The mass transfer underscores ongoing diplomatic efforts to combat cartel violence and the drug trade across the U.S./Mexico border.

Will this and perhaps other measures that may be announced in the coming days be enough to impact the Trump threatened 25% tariffs on Mexico currently slated to take place March 4? Mexico authorities have arrested more than 700 people since early February, when President Claudia Sheinbaum agreed to deploy 10,000 National Guard troops along the U.S.-Mexico border. Sheinbaum said she was planning to have a telephone conversation with Trump in the coming days to follow up on the agreements reached by both leaders early this month. “We hope that we can make this call to close the agreement,” she said this week.

Canada’s ‘Fentanyl Czar’
As for Canada, it sent the country’s new “fentanyl czar” and cabinet ministers to meet with Trump’s border czar, Tom Homan, this week. Canada named the czar as part of an agreement earlier this month with Trump to increase its efforts to curb the amount of fentanyl crossing over from Canada to the U.S. Canada has argued that the amount of fentanyl seized at the Canadian border is a fraction of what is found at the southern border.

Even More U.S. Tariff Hikes Ahead
There are several actions set for April 2, from the completion of trade policy reviews ordered on Inauguration Day to the unveiling of 25% tariffs on automobiles, pharmaceuticals and semiconductors.

That is also the planned date for the announcement of Trump’s levies on reciprocal trade, which will seek to equalize U.S. tariffs with the duties and nontariff barriers imposed by other nations.

A White House official said a report will be released on April 2 that will “outline the equivalent tariff rate” for other nations and the “mechanics for how they would be implemented.” Details for some countries might be released before others, the official added. The official also declined to comment on the timeline for reciprocal tariffs, but said any talk of a bottleneck in implementing the trade agenda is “premature.”

Trump Trade Strategy Unfolding
Trump administration officials believe that a trade policy combining reciprocal trade action with sector-specific tariffs would be legally stronger and cause less disruption than a broad tariff approach.

This strategy would still allow the U.S. to impose tariffs on significant parts of the economy while minimizing harm to consumers and markets. The sectoral tariffs, particularly on steel, aluminum, and copper, could be announced on April 2. However, their implementation would likely fall under Section 232 of the Trade Expansion Act, which permits tariffs on national security grounds.

This process generally requires a 30-day notice and comment period, except for steel and aluminum tariffs, which are based on an existing investigation and may be enacted more quickly.

Trump Sows Confusion on Tariffs for Canada and Mexico, Floats 25% Duty for EU Goods

Wed, 26 Feb 2025 21:25:22 GMT

U.S. President Donald Trump on Wednesday raised hopes for another month-long pause on steep new tariffs on imports from Mexico and Canada, saying they could take effect on April 2, and floated a 25% “reciprocal” tariff on European cars and other goods.

A White House official, however, said Trump’s previous March 4 deadline for the 25% tariffs on Mexican and Canadian goods remained in effect “as of this moment,” pending his review of Mexican and Canadian actions to secure their borders and halt the flow of migrants and the opioid fentanyl into the U.S. Trump sowed confusion during his first cabinet meeting on Wednesday, when he was asked about the timing for the start of the duties for Canada and Mexico and replied that it would be April 2.

“I have to tell you that, you know, on April 2, I was going to do it on April 1,” Trump said. “But I’m a little bit superstitious, I made it April 2, the tariffs go on. Not all ofthem but a lot of them.”

Trump’s comments prompted jumps in the value of the Canadian dollar and Mexican peso versus the greenback.

Canada’s Finance Ministry and Mexico’s Economy Ministry both declined to comment on Trump’s remarks.

U.S. Commerce Secretary Howard Lutnick said the fentanyl-related actions were paused for 30 days but referred to “overall” tariffs on April 2. He did not specify whether the March 4 deadline was still in effect.

“So the big transaction is April 2, but the fentanyl-related things, we’re working hard on the border,”
Lutnick said during the cabinet meeting. “At the end of that 30 days, they have to prove to the president that they’ve satisfied him in that regard. If they have, he’ll give them a pause, or he won’t.”

EU Tariff Rate

Trump has targeted early April for imposing reciprocal tariffs that would match the import duty rates of other countries and offset their other restrictions. His trade advisers consider European countries’ value added taxes to be akin to a tariff.

Trump, asked whether he has decided on a tariff rate for goods from the European Union, replied: “We have made a decision, and we’ll be announcing it very soon, and it’ll be 25%, generally speaking, and that’ll be on cars, and all of the things.”

He said the EU is a “different case” from Canada and takes advantage of the U.S. in different ways.

“They don’t accept our cars. They don’t accept, essentially our farm products,” Trump said, adding that the EU was formed “in order to screw the United States.”

Roberta Metsola, president of the European Parliament, is in Washington and will meet U.S. lawmakers on Wednesday, a spokesman said. She is not slated to meet with any Trump administration officials.

New U.S. Trade Representative Confirmed

Also on Wednesday, the U.S. Senate voted 56-43 to confirm Jamieson Greer as Trump’s new U.S. Trade Representative, putting a veteran of the Republican president’s first-term trade wars fully on the job.

Greer, who served as chief of staff to former USTR Robert Lighthizer, won the support of five Democrats, including both senators from Michigan, the center of the U.S. auto industry.

Trade groups welcomed Greer’s confirmation, lauding his commitment to consulting with industry and standing up for U.S. businesses, farmers and workers. “We share Ambassador Greer’s desire for an active and pragmatic trade policy that creates

U.S. jobs and more resilient supply chains,” said Jake Colvin, president of the National Foreign Trade Council.

Greer told senators during his Senate confirmation hearing that he wanted to quickly renegotiate the U.S.-Mexico-Canada Agreement on trade to ensure China does not use it as a back door to the U.S. market to avoid other tariffs.

“Right out of the gate, I expect that we’ll be taking a second look at the USMCA,” Greer said.

Asked what changes he would like to see in the pact, Greer zeroed in on further tightening automotive content rules.

“I think we should look at the rule of origin for automobiles and aerospace and other things to look and see if we need to have any kind of restriction on content or value added from foreign countries of concern, or non-market economies,” he said, using language that U.S. trade officials often use to describe China.

(Reporting by David Lawder and Andrea Shalal; additional reporting by Bo Erickson and Ryan Jones in Washington, Brendan O’Boyle in Mexico City and Ismail Shakil in Ottawa; Editing by Dan Burns, David Gregorio and Paul Simao)

What Does the 30-Day Hold on Tariffs Mean for the U.S. Pork Industry?

Fri, 07 Feb 2025 20:54:11 GMT

What does a pause for tariffs mean for the U.S. pork industry? After 25% tariffs were authorized by President Donald Trump in an executive order for Canada, Mexico and China on Feb. 1, discussions around retaliation ensued. Tariffs for Canada and Mexico are now on a 30-day hold after President Trump held conversations with his counterparts.

“President Trump has been very clear about what he’s going to do,” National Pork Producers Council (NPPC) CEO Bryan Humphreys said during the Ohio Pork Congress. “He has talked about tariffs on Canada, Mexico, and China for months now. He campaigned on tariffs. He has now shifted and started to talk about the European Union as well. None of this came as a surprise to the folks in NPPC or the folks in this industry. What remains a question is how those countries will push back or retaliate.”

A 25% tariffs on Canada impacts the U.S. because of the number of weaned pigs and live hogs that cross over from Canada into the U.S., Humphreys explains.

“There is an impact to our industry right out of the gate,” he says.

A new 10% tariff on products from China causes concern because amino acids, vitamins and a big chunk of minerals used in U.S. swine rations come from China, Humphreys says.

“For products that had not cleared customs by midnight Feb. 4, a 10% tariff was applied and that is incredibly problematic for us,” he says. “If you’re not aware and you are curious where most of the minerals and vitamins come from that you use on your farms, the Swine Health Information Center did a fascinating report that we use regularly from a public policy standpoint, talking about where those vitamins and minerals come from. As this discussion with China continues to move forward, we should be thinking about what that looks like long term and the potential impacts that can have on our industry.”

The pork industry has to be cognizant of potential retaliation by these three countries on U.S. pork products, Humphreys says. He hopes the 30-day hold from Canada and Mexico will allow everyone to take some time to navigate what their agreements have been and to put those in place and demonstrate progress.

With the U.S.-Mexico-Canada Agreement (USMCA) moving into its fifth year, it’s nearing time for a review. With between 25% to 30% of U.S. pork production being exported, over $8.6 billion in exports, with Mexico importing about a third of that, he says.

“Since 2018-19, the amount of product that we export to Mexico has grown substantially, and the cross-border traffic between the U.S. and Canada from a pork production standpoint has increased dramatically as well,” he says. “We need to make sure we continue to communicate with members of Congress and specifically the administration on the value of USMCA and what President Trump did for us. He negotiated this deal, and it has been incredibly valuable for us.”

NPPC urges all parties to come together to create stability in the marketplace.

Read More: What Are Ohio Pork Producers Doing to Defy the Winter Slump?

Canada, Mexico Hit Back with Retaliatory Tariffs on U.S. Imports

Sun, 02 Feb 2025 13:56:54 GMT

In response to President Donald Trump’s decision to impose 25% tariffs on Canadian and Mexican goods , Canada announced its own 25% tariffs on $155 billion worth of U.S. imports. Mexican President Claudia Sheinbaum also announced its own retaliatory measures to Trump’s 25% tariffs, but no specifics were unveiled.

Canada Strikes Back
Prime Minister Justin Trudeau stated that the tariffs will roll out in two phases, starting Feb. 4 on $30 bil. targeting American products such as alcohol, produce, household goods, and industrial materials, the same day the American tariffs are set to begin.

The tariffs on the other $125 billion worth of goods will come in 21 days, to allow impacted Canadian companies to adjust their supply chains. Trudeau emphasized that Canada’s response would be “strong but appropriate,” while also considering non-tariff measures like restrictions on critical minerals.

The move has drawn mixed reactions within Canada, with provincial leaders urging strategic countermeasures while ensuring minimal harm to the domestic economy. Meanwhile, the White House justifies the tariffs as a measure against drug trafficking and illegal border crossings, further straining trade relations between the two countries.

American items that Canadians tariffs will be applied to include:

Beer, wine, and bourbon
Fruits and fruit juices including orange juice, as well as vegetables
Perfume, clothing, and shoes
Major consumer products such as household appliances and furniture
Sports equipment
Other materials such as lumber and plastics

The government of Canada says a more detailed list of impacted products will be released soon.

More Tariffs Coming
Foreign Affairs Minister Mélanie Joly said on Jan. 31 that Canada’s retaliatory tariffs would be coming in rounds. “There would be a first round of measures, second round of measures, and a third round of measures,” Joly said at a press conference in Washington. “And we’ll keep ourselves also some leverage.”

When asked if Canada would be shutting off oil exports to the U.S., Trudeau said he will be ensuring Canada’s response will be “equitable” and won’t be damaging to one part of the country more than the others. Energy-rich Alberta has strongly opposed any export tariffs on oil, or for Canada to stop oil exports altogether. Trump said on Jan. 31 that the U.S. tariffs will be lower on Canada’s oil and gas exports, at 10%, while other goods will have a tariff of 25%.

Canada’s trade surplus in merchandise with the U.S. was around $100 billion (US$59 billion) last year, according to a report by TD Bank. If Canadian oil exports to the U.S. are removed from the figure, the “scales tip to America’s favor,” the report says, meaning the United States would have a $60 billion (US$41 billion) trade surplus.

Canada and U.S. Conduct Two-way Trade Worth $1.3T Every Year

According to the Canadian Chamber of Commerce, 2.3 million Canadian jobs are supported by exports to the U.S., and 1.4 million American jobs are supported by exports to Canada. A Bank of Canada analysis says that under a mutual 25% tariffs scenario, Canada’s GDP would take a 2.4% hit.

Mexico Announces Plans for Retaliation
Mexican President Claudia Sheinbaum announced its own retaliatory measures to Trump’s 25% tariffs, but no specifics were unveiled. Sheinbaum said she had told her economy minister “to implement Plan B” which she said “includes tariff and non-tariff measures” though it was not clear what those measures were exactly.

China Reacts
China’s Ministry of Commerce denounced Trump’s tariffs, saying they undermine “the normal economic and trade cooperation” between the U.S. and China.

The ministry said it would challenge the U.S. action at the World Trade Organization (WTO) and take countermeasures “to firmly safeguard its own rights and interests.” The WTO dispute settlement mechanism has been dysfunctional for years amid U.S. opposition to the appointment of new judges.

Your Next Read:
Trump Officially Signs Three Executive Orders Imposing 25% Tariffs on Canada and Mexico, 10% Tariffs on China

Trump Moves Forward With Plans to Impose 25% Tariffs on Canada and Mexico Starting Saturday

Thu, 30 Jan 2025 22:59:42 GMT

President Donald Trump announced that his administration will impose 25% tariffs on imports from Canada and Mexico starting Feb. 1, citing concerns over trade deficits, illegal immigration, and the fentanyl crisis.

Speaking from the Oval Office, Trump justified the tariffs as a response to what he described as excessive migration, drug trafficking, and unfair trade practices. While he suggested the tariff rate could rise further, he indicated that a decision on whether oil imports would be exempted would come soon.

“Mexico and Canada have never been good to us on trade. They’ve treated us very unfairly on trade,” Trump said, pointing to the huge trade deficits between those countries and the United States. Trump also complained about fentanyl entering the country, especially from Mexico.

Trump also reiterated plans to impose tariffs on China over its alleged role in fentanyl trafficking and suggested additional sectoral tariffs on industries such as pharmaceuticals, semiconductor chips, and steel. The policy shift signals a potentially disruptive turn in North American trade relations, threatening key industries like automotive and energy.

Market Reacts
Market reactions were immediate, with oil prices rising above $73 a barrel, the U.S. dollar strengthening, and the Canadian dollar and Mexican peso dropping. The move has triggered warnings of economic fallout, with both Canada and Mexico vowing to respond with retaliatory measures.

Five Key Questions to Ask

There are five key questions regarding tariff situation:

Will they be announced Sat., Feb. 1?
Will there be a last-minute agreement with Canada and/or Mexico?
What authority will be used to implement any tariffs?
Will there be any exemptions? Ongoing negotiations suggest a possible shift toward targeted measures, particularly affecting steel and aluminum, while oil may receive exemptions.
Will there be an implementation grace period to enable more negotiations?

Tariffs as a Tool to Pressure Canada and Mexico
The proposed tariffs are intended to pressure the two countries into negotiating on migration, drug smuggling, and reforms to the USMCA. The strategy reflects Trump’s preference for using tariffs as a tool to secure compliance with U.S. demands, as seen in a recent, albeit reversed, threat against Colombia.

While both Canada and Mexico have made overtures to address U.S. concerns, Trump’s administration remains unsatisfied. Canadian officials have prepared a list of retaliatory measures and expressed frustration over unclear demands and limited communication. Mexico, meanwhile, has stepped up efforts to curb migration and drug trafficking but faces similar obstacles in negotiating directly with Trump’s yet-to-be-confirmed economic team.

If enacted, the tariffs could disrupt key industries, particularly the ag sector and automotive manufacturing, where supply chains depend on cross-border collaboration. Critics warn of potential economic fallout, including higher consumer prices and a possible recession in Canada.

Despite these risks, Trump’s advisers, including Commerce Secretary nominee Howard Lutnick, advocate for a “tariffs-first” approach to bring trade partners to the table.

If tariffs going into effect on Feb. 1 and the tariff threats materialize, it potentially triggers a new trade war on the continent.

Too Soon?
Some feel Feb. 1 will be too early for any serious tariffs action. Reasons: Trump wants his top trade officials (Commerce Secretary, U.S. Trade Representative, Treasury Secretary, etc.) at their desks. That may take beyond Feb. 1, depending on Senate confirmations.

Also, Trump’s 23 trade executive orders assigned a review of prior trade agreements, trade deficits, practices, etc., with an April 1 deadline. One task involves the White House Office of Management and Budget assessing how foreign government subsidies impact U.S. procurement, with that report due by April 30.

Trump’s Pick for Commerce Secretary Back Tariffs, Slams Canada on Dairy
Howard Lutnick, President Trump’s nominee for Commerce Secretary, strongly defended tariffs and criticized Canada over dairy trade during his Senate confirmation hearing.

Lutnick accused Canada of treating U.S. dairy farmers “horribly” and vowed to secure better trade conditions under the USMCA, which President Trump wants a renegotiation on an accelerated timeline.

Of note: Canadian Pacific Kansas City says it expects shipments in North America to grow this year despite the looming threat of tariffs from the Trump administration.

Lutnick dismissed concerns that tariffs drive inflation, citing China and India’s policies, and expressed support for broad-based tariffs over a selective approach.

Lutnick also linked Trump’s proposed 25% tariffs on Canada and Mexico to border security and fentanyl concerns.

Lutnick said he prefers an “across-the-board” approach to imposing tariffs on foreign goods to put pressure on other countries to lower their own barriers to U.S. exports.

“Our farmers, our ranchers and our fishermen are treated with disrespect” by countries around the world, Lutnick said. “We need the disrespect to end.”

To accomplish that, Lutnick said he favors using across-the-board tariffs on all imports from a particular country, rather than a much more targeted approach.

“I think when you pick one product in Mexico, they’ll pick one product,” Lutnick said. “You know, we pick avocados, they pick white corn, we pick tomatoes, they pick yellow corn. All you’re doing is picking on farmers, which is just not going to happen.”

Canada Gears Up for Potential Trade Tensions with Trump

Tue, 07 Jan 2025 17:41:24 GMT

As expected, Prime Minister Justin Trudeau announced his resignation after more than nine years in office, citing declining approval ratings and internal party discord.

Trudeau, currently the longest-serving leader among G7 nations, plans to step down as head of the Liberal Party within months but will remain prime minister until a successor is chosen. Parliament is suspended until March 24 as the leadership transition unfolds.

“Canadians deserve a real choice in the next election, and it has become obvious to me, with the internal battles, that I cannot be the one to carry the Liberal standard,” Trudeau said.

The incoming Liberal leader will become Canada’s 24th prime minister but faces an uphill battle, with the Conservative Party currently favored to win the next election.

Meanwhile, Mark Carney, the former governor of the Bank of Canada and Bank of England, said he’s considering entering the race to replace Justin Trudeau as Canada’s prime minister. Canada’s currency strengthened after Trudeau said he plans to resign.

Bottom line:

Trudeau’s resignation reflects a culmination of long-standing issues, including declining popularity, internal party dissent, and external political pressures. Conservative leader Pierre Poilievre amplified demands for Trudeau’s resignation and early elections.

Gearing Up for Trade Tensions

As President-elect Donald Trump’s inauguration nears, Canada is preparing for potential trade challenges following Trump’s threat of a 25% tariff on Canadian imports. The Canadian government is considering a proactive approach, including the possible early release of a retaliatory tariff list.

A report from The Globe and Mail reveals that Canada might unveil a list of American goods subject to retaliatory tariffs ahead of time. This strategy was deliberated during a Canada/U.S. cabinet committee meeting on Jan. 6, 2025, though no final decision has been made.

Outgoing Prime Minister Justin Trudeau and his cabinet have been holding strategic meetings, emphasizing the importance of the issue. Canadian officials, including Trudeau, have engaged with Trump’s team to mitigate tensions. Ontario Premier Doug Ford proposed restricting energy supplies to certain U.S. states as a retaliatory option.

Says a Canadian contact: “This retaliatory list idea is very similar to past Canadian strategies and will likely strategically target certain states to influence reaction.”

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Trump Vows New Canada, Mexico, China Tariffs That Threaten Global Trade

Tue, 26 Nov 2024 17:00:14 GMT

By Costas Pitas

President-elect Donald Trump on Monday pledged big tariffs on the United States’ three largest trading partners - Canada, Mexico and China - detailing how he will implement campaign promises that could trigger trade wars.

Trump, who takes office on Jan. 20, said he would impose a 25% tariff on imports from Canada and Mexico until they clamped down on drugs, particularly fentanyl, and migrants crossing the border, in a move that would appear to violate a free-trade deal.

Trump separately outlined “an additional 10% tariff, above any additional tariffs” on imports from China. It was not entirely clear what this would mean for China as he has previously pledged to end China’s most-favored-nation trading status and slap tariffs on Chinese imports in excess of 60% - much higher than those imposed during his first term.

The two posts on Truth Social represent some of Trump’s most specific comments on how he will implement his economic agenda since winning the Nov. 5 election on promises to “put America first”.

“On January 20th, as one of my many first Executive Orders, I will sign all necessary documents to charge Mexico and Canada a 25% Tariff on ALL products coming into the United States, and its ridiculous Open Borders,” Trump said.

The U.S. accounted for more than 83% of exports from Mexico in 2023 and 75% of Canadian exports.

The tariffs may also spell trouble for overseas companies like the many Asian auto and electronics manufacturers that use Mexico as a low-cost production gateway for the U.S. market.

Trump’s threatened new tariffs would appear to violate the terms of the U.S.-Mexico-Canada Agreement (USMCA) on trade. The deal which Trump signed into law took effect in 2020 and continued the largely duty-free trade between the three countries.

Canada and the United States at one point imposed sanctions on each others’ products during the rancorous talks that eventually led to USMCA. Trump will have the opportunity to renegotiate the agreement in 2026, when a “sunset” provision will force either a withdrawal or talks on changes to the pact.

After issuing his tariff threat, Trump held a conversation with Canada’s Prime Minister Justin Trudeau in which they discussed trade and border security, a Canadian source familiar with the situation said.

“It was a good discussion and they will stay in touch,” the source said.

Trump could be counting on the threat of tariffs to prompt an early renegotiation of USMCA, said William Reinsch, a former president of the National Foreign Trade Council.

“This strikes me more as a threat than anything else,” Reinsch said. “I guess the idea is if you keep hitting them in the face, eventually they’ll surrender.”

Mexico’s lower house leader Ricardo Monreal, a member of the ruling Morena party, urged “the use of bilateral, institutional mechanisms to combat human, drug and arms trafficking.”

“Escalating trade retaliation would only hurt the people’s pocketbooks and is far from solving underlying problems,” he said in a post on social media platform X.

Trump’s announcement sparked a dollar rally. It rose 1% against the Canadian dollar and 1.6% against the Mexican peso, while share markets in Asia fell, as did European bourses in early trade. S&P 500 futures were little changed.[FRX/][MKTS/GLOB]

China: No One Wins Trade Wars

On China, Trump accused Beijing of not taking strong enough action to stop the flow of illicit drugs into the U.S. from Mexico.

“Until such time as they stop, we will be charging China an additional 10% Tariff, above any additional Tariffs, on all of their many products coming into the United States of America,” Trump said.

A Chinese embassy spokesperson in Washington said China believed that China-U.S. economic and trade cooperation was mutually beneficial. “No one will win a trade war or a tariff war,” Liu Pengyu said.

The embassy also cited steps it said China had taken since a 2023 U.S.-China meeting after which Beijing agreed it would stem the export of items related to the production of the opioid fentanyl, a leading cause of drug overdoses in the United States.

“All these prove that the idea of China knowingly allowing fentanyl precursors to flow into the United States runs completely counter to facts and reality,” the spokesperson said.

Chinese foreign ministry said in a statement that China was willing to continue anti-drug cooperation with the U.S. on the basis of “equality, mutual benefit and mutual respect.”

“The U.S. side should cherish China’s goodwill and safeguard the hard-won sound situation of Sino-US drug control cooperation,” the ministry said.

Chinese Vice President Han Zheng, speaking at a supply chain expo in Beijing on Tuesday, said China was ready to work with other countries to build an open world economic system and maintain the stability of global industrial and supply chains.

China’s economy is in a vulnerable position amid a prolonged property downturn, debt risks and weak domestic demand.

In the run-up to the Nov. 5 election, Trump floated plans for blanket tariffs of 10% to 20% on virtually all imports. He also said he would put tariffs as high as 200% on cars coming across the U.S.-Mexico border.

Mexico’s finance ministry said of Trump’s tariff pledge: “Mexico is the United States’ top trade partner, and the USMCA provides a framework of certainty for national and international investors.”

Economists say Trump’s overall tariff plans, likely his most consequential economic policy, would push U.S. import duties back up to 1930s levels, stoke inflation, collapse U.S.-China trade, draw retaliation and drastically reorder supply chains.

(Additional reporting by Kylie Madry, Jasper Ward, David Lawder, Andrea Shalal, David Ljunggren, Brendan O’Boyle, Joe Cash, Ethan Wang and Liz Lee; Editing by Stephen Coates, Edwina Gibbs and Mark Potter)

Canadian Organizations Amplify Pork Sector Priorities

Wed, 06 Nov 2024 22:58:57 GMT

Canadian Pork Council (CPC) and the Canadian Meat Council (CMC) representatives gathered with Parliamentarians, government officials and partners to discuss industry issues, including African swine fever (ASF), improved trade access, and ongoing access to labor and immigration programs during the industry’s fall meetings in Ottawa.

CPC and the CMC highlighted the need for an ASF trade recovery program to ensure Canada’s pork producers can swiftly regain market access and stabilize the industry in the event of an outbreak, the organizations said in a release. Both groups stressed the importance of a reliable agricultural workforce, urging the government to prioritize solutions that support the sector’s year-round labor needs that are essential to maintaining production.

“This were important days for our industry,” René Roy, chair of the CPC, said in a release. “By joining forces with CMC, we presented a united front to advocate for the priorities of the Canadian pork sector. Our conversations emphasized the urgent need to address challenges like ASF, expand trade opportunities, and agriculture’s unique labor needs, priorities which are crucial for sustaining and growing our industry. We look forward to continuing to work with policymakers to advance these priorities.”

This year’s joint effort underscored the need to build strong relationships with policymakers and amplify the voice of Canada’s pork industry.

“Our joint lobby day showcased the power of collaboration,” Chris White, president and CEO, CMC, Canada Pork. “Together, we were able to effectively spotlight issues affecting both producers and processors in a way that demonstrates our industry’s cohesive vision for the future. We are grateful to all the parliamentarians and officials who joined us and look forward to building on these discussions.”

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Impending National Rail Strike Could Cause Major Damage to Canada’s Meat Industry

Tue, 20 Aug 2024 21:45:30 GMT

In anticipation of a national rail strike, the Canadian Meat Council (CMC) and the Canadian Pork Council (CPC) are calling on the federal government to employ section 107 of the Canada Labour Code to avoid the unprecedented damage to industry this disruption to service could cause.

“Canada’s red meat processors need stable, reliable supply chains to run their businesses. Another interruption in service will result in millions of dollars in losses, irreversible reputational damage, environmental disposal challenges, and enormous waste,” Chris White, CEO of the Canadian Meat Council said in a release.

Employing section 107 would direct the Canada Industrial Relations Board (CIRB) to help parties reach an agreement under binding arbitration and suspend the ability for either lockouts or strikes pending an agreement, the release noted. This would provide needed certainty to Canadian farmers and processors, and their customers around the globe.

The Port of Vancouver strike last summer disrupted $10.7 billion dollars’ worth of trade during the 35 days of strike action. The impacts of two Class 1 railways striking at once will have even worse, unprecedented ramifications, CPC said in a release.

Some processing plants anticipate weekly losses of up to $3 million dollars. The initial impact will be a delay in customer deliveries, followed by a plant shutdown within 7 to 10 days of strike action. Once the rails resume it will take 2-5 weeks for plants to ramp back up to normal capacity.

“The Canadian pork industry relies on the seamless operation of our transportation networks to feed our animals and deliver high-quality products to global markets. The ongoing rail and port disruptions threaten the livelihood of our producers, the welfare of our animals, and Canada’s reputation as a reliable trading partner,” René Roy, Chair, Canadian Pork Council, said in a release.

Roy added that it’s crucial the government takes action to ensure the movement of perishable goods like pork and essential supplies like animal feed.

“The feed our pigs rely on to survive is shipped by rail, and without a reliable and steady supply, their welfare is at risk,” Roy said. “The stakes are simply too high to allow these disruptions to go unaddressed.”

Mexico, Canada Say They Are "Committed to NAFTA"

Thu, 13 Jun 2024 00:12:08 GMT

Mexico’s chief NAFTA negotiator and Canada’s top agricultural official say their countries remain committed to completing the North American Free Trade Agreement renegotiations, no matter how long that effort may take. listen

Kenneth Smith, who heads NAFTA negotiations on behalf of the Mexican Ministry of Economy, along with Lawrence MacAulay, Canada’s Minister of Agriculture and Agri-Food, addressed the 22^nd World Meat Congress in Dallas on Thursday. The event is hosted by the U.S. Meat Export Federation (USMEF) and the International Meat Secretariat.

Smith says the negotiations that started in August have made progress in many areas, with proposals for the tougher issues currently on the negotiating table.

Mexico will first elect a new president in July, a date negotiators were hoping to avoid. Smith explains listen how Mexico’s elections could impact the NAFTA negotiations and the ratification process.

Mexico and Canada consider the recent steel and aluminum tariffs a separate trade issue that will be addressed outside of NAFTA. listen Canada’s MacAulay says NAFTA has been very beneficial for the agricultural sectors of all three countries. (See impacts on the U.S. pork industry here .)

Smith reiterated that complex trade negotiations take time, and will finish when all three sides reach a favorable agreement listen.

Smith and MacAulay were featured speakers at the 2018 World Meat Congress, a gathering of more than 700 international meat industry representatives. Look for more updates from the 2018 World Meat Congress at www.usmef.org . If you have questions, please don’t hesitate to contact me.

Canada Meat Sector Calls on Government to Reverse Course

Thu, 30 May 2024 15:03:40 GMT

Recent changes to foreign worker rules from the Government of Canada are having a disproportionate impact on the rural Canadian economy, and the national organizations representing the Canadian meat industry are calling on the government to reconsider these changes.

The Canadian Meat Council, the Canadian Cattle Association, National Cattle Feeders’ Association and the Canadian Pork Council are asking government to restore the Temporary Foreign Worker Program’s Workforce Solution Roadmap, a roadmap introduced, in 2022, to address the industry’s critical labor shortage.

“While we understand the federal government is seized with a housing shortage, temporary foreign workers are not the problem, representing only 9% of the temporary resident population. Meanwhile, the decision to reduce temporary foreign worker numbers is having the precise opposite impact the government says it wants on food affordability in Canada,” the Canadian Pork Council said in a release.

On May 1, producers and processors faced not only the reduction of the 30% cap but a reduction in the time limit for a labor market impact assessment (LMIA)s, the release said. These changes were made without industry consultation, which has resulted in an impact on productivity, competitiveness and levels of food production possible in Canada, the Canadian Pork Council claims.

“Every job unfilled in our barns, in our processing facilities, and in our supply chain has an outsized impact on rural areas because Canada does not have additional people living in these areas who can fill these jobs,” Rene Roy, chair of the Canadian Pork Council, said in a release. “If there’s a shortage of workers in the processing sector, it runs the risk that producers can’t ship their product to market, causing uncertainty for producers and consumers alike. We need to help recruit more new Canadians to rural areas, and creating uncertainty defeats our efforts to convince people to come join our industry.”

Agriculture accounts for almost 10% of Canada’s gross domestic product, and the sector provides one in nine jobs in the Canadian economy.

“Beef producers are integral to Canada’s rural economy and changes to the temporary foreign worker program will increase pressures on our labor challenges,” said Nathan Phinney, president of the Canadian Cattle Association. “It is essential that we have a reliable supply chain for our economic sustainability and ability to produce for Canadians and global consumers. Our trade partners need steady, consistent supply—any disruption can impact our ability to compete on a global scale, while keeping costs down at home.”

The Canadian meat industry urges the government to work on these important issues through advanced consultation and dialogue.

“Industry has proven its case time and again to government, the government decision to reduce the cap did not consider the impact to food security data but was instead a knee-jerk reaction to a housing challenge that our industry is not responsible for,” Chris White, president and CEO of the Canadian Meat Council, said in a release.“ Our industry is mostly located in rural communities, and those communities still depend on these workers to keep our operations going so we can feed Canadians at an affordable price and bring quality Canadian products to the world.”

How Canada Plans to Enhance Efforts to Keep African Swine Fever Out

Fri, 17 May 2024 16:10:24 GMT

The Canadian Pork Council (CPC) has been selected to receive funding under Agriculture and Agri-Food Canada’s (AAFC) African Swine Fever Industry Preparedness Program (ASFIPP).

The CPC’s ASFIPP initiative, “Development of a low-cost pen-side assay for rapid detection of African Swine Fever Virus,” is a crucial step in enhancing the swine industry’s readiness against the threat of African swine fever (ASF), CPC said in a release on Friday.

“The support from Agriculture and Agri-Food Canada is instrumental in advancing our efforts to combat African Swine Fever,” Canadian Pork Council chair René Roy, said in a release. “Our focus on developing a low-cost pen-side assay aligns with our commitment to proactive and innovative solutions for the swine industry.”

The goal is to develop an ASFMeter, a portable and low-cost tool, for rapidly diagnosing ASF in the field, CPC explained. This innovative program in collaboration with McMaster University hopes to revolutionize ASF detection by providing a convenient and effective solution for on-site testing.

“This program represents a significant step forward in safeguarding Canadian swine herds and strengthening our industry’s resilience against ASF,” Roy added. “The collaboration with AAFC and McMaster University brings together expertise in research and technology, ensuring that the ASFMeter meets the rigorous standards required for rapid and accurate ASF detection.”

The ASFIPP funding is a testament to the importance of research and development in enhancing biosecurity measures within the swine industry, CPC wrote. The program itself shows the joint industry/government proactive approach to preparing for potential challenges and ensuring the sustainability of Canadian pork production.

“Animal diseases, including ASF, are a serious threat to Canada’s pork sector, and it’s vitally important that all orders of government and industry take steps to prevent and prepare,” the Honourable Lawrence MacAulay, Minister of Agriculture and Agri-Food, said in the release. “These projects are a key part of Canada’s efforts to prevent an ASF outbreak while ensuring our pork sector is ready to respond.”

CPC said it remains dedicated to protecting the Canadian pork industry through industry-wide cooperation, innovation and resilience in the face of emerging challenges.

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Canadian Pork Council Encouraged by Canada’s Fall Economic Statement

Which Foreign Country Owns the Most Farmland in the U.S.? Hint: It's Not China

Thu, 11 Jan 2024 17:24:37 GMT

Controversy continues to grow across the U.S., and China is the primary target of the new rules. However, China doesn’t own the most farmland in the U.S., according to a new USDA report. It’s actually Canada, which accounts for 32%, or 14.2 million acres.

Rounding out the top five are the Netherlands at 12%, Italy at 6%, the United Kingdom at 6% and Germany at 5%. Together, citizens in those countries hold 13 million acres, or 29%, of the foreign-held acres in the U.S. China owns less than 1%, or 349,442 acres.

(Farm Journal)

All told, 43.4 million acres of forest and farmland in the U.S., or 3.4% of all ag land, is foreign owned as of Dec. 31, 2022. Roughly 30 million of those acres are reported as foreign-owned, with the remainder primarily under a 10-year-or-longer lease. Of the 30 million, 66% is owner-operated, 14% has a tenant or sharecropper as the producer and 12% report a manager other than the owner or a tenant/sharecropper as producer. The remaining 7% are “NA.”

USDA says the two biggest Chinese-owned companies with land holdings in the U.S. are Brazos Highland and Murphy Brown LLC, which owns Smithfield Foods. Brazos Highland reported owning 102,345 acres, and Smithfield owns 97,975 acres.

(Farm Journal)

The top five states with the largest Chinese holdings are:

Texas at 162,167 acres
North Carolina at 44,776 acres
Missouri at 43,071 acres
Utah at 32,447 acres
Virginia at 14,382 acres

USDA reports those five states combined account for 85% of China’s farmland ownership. In Texas, USDA reports China has long-term leases associated with wind energy, and in North Carolina and Missouri, ownership is tied to Smithfield and producers who contract for pork production.

More States to Take Up Possible Bans in 2024

Foreign-held farmland has become a hot button topic on Capitol Hill. Farm Journal Washington correspondent Jim Wiesemeyer thinks it will continue to gain momentum in 2024 as a political ploy used by candidates.

“It’s an emotional issue, and it’s not a simple issue either,” Wiesemeyer says. “I was recently in Missouri, and some commodity leaders worry about the negative consequences of going too far. No one’s saying China should not be watched relative to buying farmland near airports, national security is involved in that case, but more than a few farmers are looking at the potential downsides for pork producers who contract with Smithfield and the number of acres they own.”

One of those unintended consequences is playing out in Arkansas.

“I’m announcing Syngenta, a Chinese state-owned agrichemical company, must give up its landing holdings in Arkansas,” says Gov. Sarah Huckabee Sanders, referencing a 160-acre research site owned by Northrup King Seed, a Syngenta subsidiary.

Eric Boeck, president of Syngenta Seeds North America, told Farm Journal editor Clinton Griffiths: “EPA and USDA many times require us to do work and permitting right in the same state as we’re going to sell products. One of the first things we have to make sure we figure out is how we work with the local community to make sure we’re still getting products tested in their backyard, so we have the ability to sell those products.”

(Farm Journal)

Syngenta argues if they sell that particular farm, Arkansas farmers will be at a disadvantage because research can’t be done in the same weather and soil conditions.

“We’re heavy in the soybean market in Arkansas, some of those maturity zones, we have a very significant market share and savings,” Boeck says. “We want to make sure we’re protecting those farmers’ abilities to be able to use our products.”

Wiesemeyer says the bigger issue for U.S. farmland might be solar panels, with farmers in states like Missouri reporting companies have offered to pay more than $1,000 per acre cash rent to put solar panels on their farm. At such a high price, he says it’s eating up acres of farmland, with the potential to grow even more in 2024.

Canadian Pork Council Urges Parliamentary Support for Food Security Improvements

Tue, 05 Dec 2023 19:53:30 GMT

The Canadian Pork Council (CPC) adds its voice to other groups supporting Bill C-359, An Act to amend the Feeds Act, the Seeds Act and the Pest Control Products Act.

This private member’s bill, introduced by Nova Scotia MP Kody Blois, will improve access to new seed, feed, antimicrobials, and crop protection products for Canadian farmers, CPC shared in a release. This initiative has been supported by the agriculture sector across the country to achieve more competitiveness.

“On behalf of more than 8,000 pork producers, we support MP Blois’s efforts to leverage the science of other trusted jurisdictions as part of the regulatory process,” CPC Chair René Roy said in a release.

Bill C-359 would allow farmers to have timely access to crop inputs such as feed, seed, antimicrobials and products for use in pest management, while maintaining Canada’s regulatory requirements, to help producers remain competitive in the global market.

To continue to be a leader in the food production chain, CPC points out that pork producers must have the safest and best access to the products they need, when they need them, to remain competitive.

“By trusting the science and regulatory processes of trusted partners, Canadian pork farmers can remain competitive by gaining access to cutting edge technology and access to diverse markets,” Roy added. “Canada must recognize our market size is not the same as other jurisdictions, so our regulatory process cannot impose unneeded burdens to approvals of products available in other trusted markets.”

The 90-day provisional registration or approval of feeds, seeds, antimicrobials and pest control products that are already approved by two or more trusted jurisdictions echoes the Canadian Federation of Agriculture’s recommendations regarding the process for approval of products, CPC wrote.

Canadian Pork Council Encouraged by Canada's Fall Economic Statement

Wed, 22 Nov 2023 19:00:23 GMT

The Government of Canada’s fall economic statement for 2024 is encouraging, the Canadian Pork Council (CPC) said in a statement on Wednesday.

“The government’s engagement to reduce the risk of African Swine Fever (ASF) entering the country has always been strong, and we appreciate the ongoing commitment,” CPC chair Rene Roy said in a statement, “but in other areas of agriculture, this government continues to take farmers, and pork producers, for granted.”

The government’s recent announcement related to feed assistance in western Canada, for example, did not extend to pork producers, Roy pointed out.

“We applaud the government’s recognition that drought conditions increase feed costs for producers, but it obviously increases feed costs for both cattle and pork producers, so we’d welcome an extension of those programs to ensure all animal production is included,” Roy said.

Still, Roy said the ASF funding introduced in 2022 has been crucial for the industry to maintain its food security and global competitiveness. Project support for biosecurity assessments and improvements, wild pig management, the retrofit of existing abattoirs, sector analysis and ASF-related research projects has been important to advance the industry, Roy said. CPC is excited to continue this work in collaboration with government.

Pork producers are urging government to ensure bill C-234 passes the Senate.

“Given the government’s recognition that carbon taxes have made home heating more expensive, passing C-234 will have an even broader impact on grocery prices – every dollar more a farmer has to pay for heating their barns is an extra dollar Canadians have to pay for their milk, their eggs, or their bacon at the grocery store,” Roy said. “Passing C-234 is an easy well to tell Canadians they have been heard on the question of food inflation.”

Pass Bill C-234 Quickly, Canadian Pork Producers Urge

Thu, 09 Nov 2023 19:18:33 GMT

The Canadian Pork Council (CPC) says it’s critical that the government makes Bill C-234 law quickly as producers “need a solution that matches reality” to continue adopting best management practices and investing in essential, but costly, on-farm innovations.

C-234 in its original form – which seeks to amend the Greenhouse Gas Pollution Pricing Act to extend the exemption for qualifying farming fuel to marketable natural gas and propane – is a critical piece of legislation that will have a major positive impact on the agriculture sector, and consequently on grocery prices for Canadians, CPC says in a release. The organization is pleased the bill is proceeding to third reading in its original form.

“On behalf of CPC, we would like to thank the senators who voted against the previously proposed amendments to the bill -- which would have would unfairly excluded the 7,000 pork producers from much needed financial relief,” Rene Roy, chair of CPC, says in a release. “For pork producers, this support is vital. Rising costs are already impacting their livelihood, their ability to invest in the future of their business, and, consequently, food security.”

The current carbon price rebate, introduced last year through Bill C-8, does not fully account for the individual carbon surcharges applied to farms, the organization noted. Bill C-234 ensures eligible farming machinery is inclusive of all farming practices that require natural gas or propane, such as drying grain, irrigation, feed preparation, heating and cooling barns, greenhouses and other agricultural growing structures.

“Our Canadian pig producers are raising the bar for global standards, prioritizing preserving the planet alongside producing high-quality pork,” Roy adds. “There is a tremendous potential future for Canada’s pork sector, both domestically and globally. We urge the government to pass this bill and make it law to ensure that we continue to prioritize the quality of our products, while keeping Canada accountable to ensure that we can continue on the proper path to sustainability.”

USTR Comments on USMCA Meetings

Fri, 07 Jul 2023 19:00:00 GMT

During a bilateral meeting on Thursday, U.S. Trade Representative (USTR) Katherine Tai discussed with Mexico’s Secretary of Economy Tatiana Clouthier various issues concerning energy and biotech corn.

According to the Office of the USTR, Tai highlighted concerns about the recent upsurge of steel and aluminum imports from Mexico into the U.S. Further, the regulatory uncertainties confronted by American electronic payment service providers operating in Mexico, and Mexico’s telecommunications spectrum fee method were also issues that were discussed.

Tai said that trade dispute settlement consultations over GMO corn that the U.S. requested in June began with Mexico last week.

Mexico’s Health Ministry on Monday published a draft proposal to modify the Official Mexican Standard (NOM) that governs products made from masa, or corn dough. The proposal is part of an overall federal government effort to stop Mexicans from eating white GMO corn imports, most of which comes from the U.S.

“The use of genetically modified corn as a raw material must be avoided in the making of the products covered by this Mexican Official Standard,” states the document.

Interested parties have 30 days to comment on the proposal, after which the government could publish a modified NOM in its official gazette that bans the use of GM corn in tortillas. The modified NOM would take effect 60 days after publication. The National Chamber of Industrialized Corn (Canami) said that the proposed measure “creates restrictions on international trade and members of the International Trade Organization must be notified.”

Canami also said that the costs of laboratory tests to determine whether corn is GMO or not aren’t being considered. The chamber said that those costs could cause their members to record net losses.

The Health Ministry’s publication came just over a week after the federal government imposed a 50% tariff on white corn imports to limit human consumption of GMO corn. The tariff, which ends access to white corn imports, is scheduled to remain in force until Dec. 31, 2023, after which Mexico intends to ban the importation of GMO corn for human consumption. A ban on GMO corn for animal feed is slated to come in at an unspecified later date, depending on supply.

What’s Next with Mexico and the U.S. in GMO Corn

Despite the contentious nature of these topics, Tai remains hopeful of solutions. She affirmed to reporters that the U.S. has noted some progress in negotiations about energy with Mexico, expressing optimism that the dispute would eventually be resolved.

In a second readout, USTR said Tai discussed the disputes over Mexico’s energy and biotech corn policies with Canadian Trade Minister Mary Ng. Tai also underscored the need for Canada to fully meet its USMCA commitments, including dairy and home shopping, and urged Canada to refrain from imposing a digital services tax.

Of note: The latest Commerce Department report shows the U.S. trade deficit with Mexico rose to a record $14.1 billion in May.

USMCA Up for Debate in Mexico This Week

Thu, 06 Jul 2023 17:16:27 GMT

This week’s talks in Cancun, Mexico between U.S. Trade Representative (USTR) Katherine Tai, Canadian Trade Minister Mary Ng, and Mexican Economy Minister Raquel Buenrostro will allow them to assess the state of the agreement and discuss a series of disputes. Issues include:

• U.S. and Canadian concerns about Mexican energy and biotech policies

• U.S. concerns on Canadian dairy barriers

• Canadian objections to U.S. softwood lumber duties

Another issue is auto rules of origin regulations. Canada and Mexico previously contested the Trump administration’s approach to implementing these rules, arguing the U.S. interpretation was more burdensome than originally negotiated. Even though they won the case in December 2022, the Biden administration has yet to modify the approach, inviting possible retaliation from Canada and Mexico.

Stakeholders plead for answers

U.S. business groups want the Biden administration to formally request a dispute settlement panel to challenge Mexican energy policies that they believe are a violation of the USMCA that went into force three years ago.

The American Petroleum Institute and more than a dozen other business groups raised the energy concern in an 11-page letter to Tai ahead of her attendance today and tomorrow at a meeting of the USMCA Free Trade Commission in Cancún, Mexico.

“We commend the Biden administration’s decision last year to request consultations under the USMCA regarding Mexico’s energy policies,” the groups said in the letter. “However, we are concerned by the Mexican Government’s failure to fix the issues raised by the United States. Mexico continues to hinder the operations of private companies in its energy sector, contrary to its own laws.”

Tai requested consultations with Mexico on the energy issues nearly one year ago on July 20, 2022, and was joined by Canada in the dispute. However, neither country has taken the next step of asking for a panel of trade experts to hear their complaint and decide whether Mexico has violated the three-year-old pact.

Regarding U.S. disputes against Mexico’s biotech corn policies and Canada’s dairy market access barriers, the U.S. has formally requested a dispute settlement panel to issue a decision.

USMCA dispute bottom line

USTR officials said that while the issues on biotechnology, dairy and energy may come up during the discussions, the dispute settlement process was the “primary” venue for such discussions.

“While there are areas of disagreement, of course, some of which may come up in these bilateral meetings, they do not outweigh the productive nature of our trade relationship,” an official said.

The official said those items are not “walled off” from being discussed, the primary format on those topics is the consultations that are ongoing.

Expiration date stamped on the USMCA

The USMCA has an expiration timeline of 16 years, with the opportunity for extension depending on the consensus of Canada, Mexico, and the U.S. The review process starts in year six (2026), where each country can express desire to extend or can raise issues to be addressed. In the latter case, annual reviews will continue until the issues are resolved or the agreement ends in year 16.

Canada Warns on 'Product of USA' Regulation

Thu, 27 Apr 2023 15:41:48 GMT

In early March, the USDA proposed the label be restricted to meat, poultry and eggs that are born, raised, slaughtered and processed in the United States. Currently, foreign meat that is processed in U.S. plants can be labeled “Product of USA.” Arun Alexander, Canada’s deputy ambassador, isn’t convinced this is a good practice.

Canada’s “Product of USA” Outlook

Alexander in Washington, said Tuesday, “We are concerned about the real-world consequences” of changing the rules on the voluntary “Product of USA” label. He went on to say the integrated livestock market “is a real reflection of the value and importance of local and regional food systems.”

With animals from both nations available to processors, plants can operate at full capacity, he said. “Small and medium-sized processors are the ones that can least afford to segregate products.”

Related story: USDA Seeks to Limit Use of ‘Product of USA’ Label By Packers

Of the voluntary “Product of USA” label, Alexander said, “I think we have to look at the specific products to make sure we don’t disrupt those effective supply chains. And so we are willing to work together with the United States to implement measures that achieve the objective but also not disrupting those supply chains.”

The Upshot

According to Alexander, Canada “will participate in USDA’s consultation process” on the regulation. The public comment period on the proposal runs through June 11.

Olymel Plant Closure is Tough News for Canadian Pork Industry

Tue, 18 Apr 2023 19:06:09 GMT

Olymel’s announcement of the closure of its Vallée-Jonction, QC plant is tough news for the industry, the Canadian Pork Council (CPC) said in a release on Tuesday.

“The reasons the company stated - the pandemic, an ongoing labor shortage, inflationary pressures and challenges with accessing foreign markets – have impacted the entire industry,” Rene Roy, chair of the council, said in a release. “We know food security is an ongoing question for governments across Canada, and food security starts with producers being able to compete and have buyers for their products.”

Roy added this is tough news to hear, but CPC will work with governments and partners to find long-term solutions.

The closure will impact Quebec, Atlantic Canada and other parts of the country. CPC said a national solution is required. The pork industry is a $7-billion industry in Canada, with almost $5 billion in exports.

“There are international markets for our products, and Canadian pork producers are cost-competitive globally,” Roy said in a release. “We need our trade agreements to work for us, we need our agricultural policies to work for us, and we need to work together as an industry to find long-term solutions.”

Roy thanked the Government of Canada and the Province of Quebec for their efforts to this point, and said producers need to be part of the ongoing dialogue.

“For now, we need to focus 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,” Roy explained. “The Canadian Pork Council will work with all those who can bring solutions to this challenge.”

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Olymel Closes Pork Plant, Lays Off 994 People

Olymel Closes Pork Plant, Lays Off 994 People

Mon, 17 Apr 2023 13:32:19 GMT

Olymel, one of Canada’s biggest pork processors, announced Friday that it will close a hog plant in Vallee-Jonction, Quebec, late this year, laying off 994 people.

North American pork processing plants are facing high costs from inflation and elevated grain prices, Reuters reported. Olymel said in a statement that losses in the fresh pork sector are jeopardizing the entire company’s profitability. Olymel also processes poultry.

Throughout the past year, the company has announced plans to cut its slaughter capacity by 1.5 million hogs annually. Because of this, plant closure has been inevitable.

“The pandemic, labor shortages, increased costs due to inflation, not to mention closure of the Chinese market, all this has had a major impact on the fresh pork market,” Gervais told Reuters.

In 2020, China ceased imports from some slaughter plants due to COVID-19 outbreaks and has not lifted those restrictions for some facilities. In addition, a labor shortage in the region and the plant’s need for upgrades were also factors in closing the plant, the company said.

Quebec is Canada’s biggest hog-producing province. The Vallee-Jonction plant is one of four owned by Olymel that slaughters, cuts and debones hogs in Quebec, Reuters reports.

Final closure is set for Dec. 22, but closure will occur in stages to allow for processing of its remaining hogs and those in the region, the company said.

Earlier this year, Olymel announced the closure of Quebec pork-processing plants in Blainville and Laval, resulting in 170 lost jobs there. Meanwhile, Olymel’s rival, Canadian packer HyLife Foods, said its poised to shut down a Minnesota hog plant if it can’t find a new owner, local media reported.

Canadian Pork Producers Upset by UK's Misleading Positioning on Trade

Mon, 03 Apr 2023 22:00:00 GMT

The Canadian Pork Council is disappointed with the United Kingdom’s (UK) misleading positioning on trade issues, the organization said in a release on Monday.

The Government of Canada’s acceptance of UK restrictions on access to products in the Trans-Pacific Partnership Agreements “is a further indication our negotiators tie one hand behind their backs as they pursue rules-based trade,” the group shared.

“Rules-based free trade requires both sides agree to follow the rules, and in this case, the United Kingdom is not, and has no intention of doing so,” CPC chair Rene Roy said in a release. “We need to have a more realistic view of our trading partners and stop expecting other countries to have our best interests at heart.”

The UK needed this deal more than Canada did, Roy explained.

“Yet, we gave more than we needed to allow them access to a global market,” he said. “We would be happy to work with the Government of Canada to help our negotiators get better at developing non-tariff trade barriers as we need to retaliate against unfair partners.”

Even worse, Roy pointed out that the UK has made deliberate misleading statements about Canadian pork.

“We do not use added growth hormones in Canadian pork,” Roy clarified. “Our food inspection and safety system is second to none, and in fact, is superior to the United Kingdom’s. The Government of Canada must defend its system more aggressively to keep falsehoods from being repeated by our trading partners.”

Roy emphasized that this trade agreement does not improve trade in the agriculture sector between Canada and the UK. He urges government leaders to do more work before its ratified.

“There’s still time – it has not passed Parliamentary approval, so we can figure this out before we’ve signed a bad deal,” he said in a release.

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Canadian Pork Council Applauds Vaccine Bank in 2023 Budget