TPP Participation is Critical for Maintaining Canadian Pork Exports

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The Canadian Pork Council has published a study outlining not only what Canadian hog producers stand to gain from the Trans-Pacific Partnership, but more significantly, what the Canadian hog sector would lose if Canada isn’t part of the multi-lateral trade deal.

While the TPP negotiations currently include 12 countries, for Canadian hog producers, the deal mainly revolves around one: Japan.

If Canada is left on the sidelines of a deal involving the U.S. and Japan, the Canadian pork sector could lose at least $330 million in annual export sales, says the author of the report — Guelph-based livestock and meat market analyst Kevin Grier. That’s the equivalent of around 4,500 jobs and an estimated $5 per head for Canadian hog producers.

“The last thing we want is to not be a part of a TPP where the Americans then gain increased access and we are shut out. We’ve seen that story play out with the U.S.-Korea trade deal. We lost a lot of ground there and if this happened with Japan it would be far worse for our pork industry,” says Grier in the interview below. (story continues)

On the positive side, if Canada is part of the TPP, the report conservatively projects $87 million in new pork exports to Japan, with over 1,000 new jobs. Plausible scenarios “could include gains of $300 million in sales and another 4,000 jobs.”

The Canadian Pork Council is just one of many export-oriented producer and industry organizations pushing the Canadian government to ensure Canada is part of the TPP. U.S. trade officials have indicated Canada won’t be allowed into the deal without opening up its supply managed industries. The five dairy and poultry organizations issued a joint statement on Tuesday commending the Canadian government’s “efforts to promote and defend the Canadian dairy, poultry and egg farmers’ interests in these intense international trade negotiations.”

Read Grier’s report for the Canadian Pork Council here.

Click here if you can’t see the embedded interview.

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