Last week, the National Pork Producers Council (NPPC) sent a letter to Congress explaining its opposition to Canada’s inclusion in the Trans-Pacific Partnership (TPP) trade negotiations.
In the letter, NPPC President R.C. Hunt explains that U.S. pork exports have been adversely affected by the Canadian government’s current hog and pork subsidy programs for Canadian producers. The subsidies are in violation of World Trade Organization rules and a U.S. countervailing duty law.
According to an analysis by Iowa State University economist Dermot Hayes, within 10 years of the implementation of Canada’s new Ontario Risk Management Program (RMP), which offers income supplementation to Canadian pork producers, U.S. pork production value could decrease by $162 million, and 1,300 U.S. jobs may be eliminated.
The RMP is just one of the Canadian support programs that have a substantial negative impact on U.S. pork producers. Repeal of Canada’s provincial and federal hog and pork support programs must be part of the Obama administration’s assessment of Canada’s eligibility to join the TPP negotiations, NPPC says.
The organization says it will remain opposed to Canada’s inclusion in the TPP until the country eliminates its pork industry subsidies. Read the letter online at http://www.nppc.org/wp-content/uploads/2012.03.26-Canada-NPPC-TPP-Subsidy-Letter-Hill.pdf.