Congressman Tom Reed wants to ensure dairy farmers in Western New York and the U.S. get a “fair shake” following a ruling on a trade dispute between the U.S and Canada.
Reed, in his weekly media call, discussed the Ways and Means Committee hearing with U.S. Trade Representative Katherine Tai and their discussion on holding Canada accountable under the United States–Mexico–Canada Agreement (USMCA)
United States-Mexico-Canada Agreement went into effect in July 2020. It replaced the North America Free Trade Agreement, or NAFTA.
In January, A USMCA panel agreed with the United States that Canada is breaching its USMCA commitments by reserving most of the in-quota quantity in its dairy tariff-rate quotas (TRQs) for the exclusive use of Canadian processors.
Earlier this month, Canada announced changes to the Dairy Tariff Rate Quota that have been regarded by many as inadequate and a continued lack of adherence to the intent and spirit of the USMCA Dairy Provisions.
Reed said this first case of the USMCA sets a precedent for trade agreements, “They’re not just a piece of paper that don’t carry consequences and enforcement mechanisms. What we are looking for is fair, free, open, level playing fields upon which our U.S. interests, such as dairy farmers, such as manufacturers, have an opportunity to access those markets and have a fair shake at growing and developing their resources.”
Reed said the trade agreement is representative of millions of dollars to farmers in regards to new market access.
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