The Carney Liberals must make “policy changes” to dairy quotas under terms of a costly trade settlement with New Zealand.According to Blacklock’s Reporter, Agriculture Minister Heath MacDonald in a statement released Thursday conceded Canada is compelled to adjust the system — exactly one month after Parliament passed a bill prohibiting any changes to dairy quotas. US President Donald Trump has repeatedly criticized Canada’s dairy cartel and the up to 300% tariffs that come with it. Both Prime Minister Mark Carney and Conservative leader Pierre Poilievre have said changes to the policy are strictly off the table.“This requirement negotiated in close consultation with Canadian dairy stakeholders will result in certain minor policy changes to Canada’s trade quota administration,” wrote MacDonald. He did not discuss terms..WATCH: Blanchet considers dairy cartel critics ‘militants’.The impact on dairy quotas was merely “technical,” said MacDonald.“These technical policy changes are limited to quotas administered under the terms of the Trans-Pacific Partnership and will not negatively impact Canada’s dairy industry.”However, the New Zealand Department of Foreign Affairs said Canada had agreed to pay the equivalent of $129 million and grant its farmers more access to the closed Canadian market.“This is the first dispute New Zealand has taken under a free trade agreement,” it said.“Canada has committed to change the way it administers its dairy quotas under the Trans-Pacific Partnership,” said the New Zealand ministry.“These changes will improve New Zealand exporters’ access to Canada’s dairy market. Importers will be able to access quota faster and more efficiently, making it easier to trade more dairy under Canada’s Trans-Pacific Partnership quotas.”.‘OFF THE TABLE’: Carney ‘will never discuss’ supply management, Digital Services Tax.Parliament in 2018 passed Bill C-79, An Act To Implement The Comprehensive And Progressive Agreement For Trans-Pacific Partnership. Cabinet at the time pledged a total $4.3 billion to compensate dairy, egg and poultry quota holders impacted by market losses under the Trans-Pacific pact and a separate Comprehensive Economic And Trade Agreement Between Canada And The European Union.Critics at the time warned of a backlash over continued protection for quota holders.“There are many opponents to supply management in Canada,” then-Sen. Terry Mercer (NS) told a 2019 hearing of the Senate Agriculture Committee.“More importantly there are many opponents to supply management in the city who are members of Parliament and members of the Senate. We’ve given them some ammunition.”“We’re going to have a line in future budgets that will show direct payments to farmers or to farm groups in supply management, thus removing a primary defence of supply management against opponents.”“We’ve given them some ammunition.”.UPDATED: Alberta at odds with Quebec in willingness to kill dairy cartel .The dispute with New Zealand dated from 2022. Intervenors in the case included Australia, Japan, Mexico, Peru and Singapore. The United States was not a signatory to the Trans-Pacific Partnership.Cabinet on Thursday did not explain how its settlement with New Zealand complied with Bill C-202, An Act To Amend The Department of Foreign Affairs Act, passed into law by Parliament on June 17.The Bloc Québécois bill stated cabinet “must not make any commitment on behalf of the Government of Canada by international trade treaty or agreement” that would alter quotas for dairy, eggs or poultry..WATCH: ‘DAIRY CARTEL’ — Bernier issues message to Trump on resolving trade war
