January 2012 - Vol 98 No. 1 

Better co-operation between U.S., Canada to benefit farmers


by TAMARA LEIGH
VANCOUVER – On December 7, Prime Minister Stephen Harper and President Barack Obama announced that Canada and the U.S. have agreed to two joint action plans to streamline border transactions and improve regulatory co-operation between Canada and the U.S. The Action Plan on Regulatory Co-operation, in particular, is being lauded by Canadian cattlemen and the horticulture sector.
In 2010, bilateral trade in agricultural products totaled $33 billion. Canada purchased approximately 13 per cent of U.S. exports, while nearly one fifth of U.S. agricultural imports came from Canada.
The Action Plan on Regulatory Co-operation will help reduce barriers to trade, lower costs for consumers and business, and create economic opportunities on both sides of the border. Ten of the 29 initiatives identified in the plan are specific to agriculture, addressing areas of concern in food safety, food production and marketing.
“The Joint Action Plan Initiatives relate to financial risk mitigation tools, crop protection product approvals, a perimeter approach to plant protection and common approaches to food safety are exactly what industry has been seeking for many years,” says Jack Bates, president of the Canadian Horticulture Council.
Initiatives that are expected to benefit the Canadian horticulture industry include:

Focusing Canadian and U.S. efforts on enhanced collaboration in food safety and activities to allow for assessment and possible recognition of system comparability.

Allowing greater access for producers to tools available to manage production problems by further aligning crop protection product (e.g., pesticides) approvals and establishment of maximum pesticide residue limits/tolerances.

Assisting with financial risk mitigation associated with the damage caused by the introduction and spread of harmful plant pests, diseases and invasive alien species.

Developing a perimeter approach to plant protection with a view to leverage each country’s efforts to mutual advantage and, where possible, streamline certification requirements for cross-border shipments.
The Canadian Cattlemen’s Association has been working hard in recent years to lobby for a more streamlined process that makes sense on both sides of the border.
“We have an immense interest in ensuring that the Canada-U.S. border operates as efficiently as possible,” says Canadian Cattlemen’s Association president Travis Toews.
The Canadian beef industry exports approximately 40 per cent of its production and 80 per cent of that goes to the United States. Canadian beef and cattle exports to the U.S. are projected to total $1.6 billion in 2011. Farm cash receipts for cattle and calves are projected to surpass $6.5 billion in 2011 and the beef industry’s contribution to the Canadian economy is projected to reach $26.2 billion.
The plan commits to a number of initiatives that will benefit the Canadian beef industry, including:

Implementing electronic border-related document transmission and receipt of clearance decisions for food and meat products no later than December 2013.

Reducing and eliminating duplicate meat inspections at the border through enhanced meat safety equivalence agreements.

Aligning Canadian and U.S. approaches to the naming of meat cuts.

Aligning application and review processes for veterinary drug approvals including efforts to establish identical maximum drug residue limits in both countries.
The implementation of these initiatives is going to be managed by bilateral working groups assigned to work out the details of the processes and regulatory changes required. It will be an ongoing effort – one to which Canada’s agriculture leaders will be paying close attention, and keeping involved on both sides of the border.

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