Canadian beef and pork farmers are expressing frustration over an ongoing dispute with Britain regarding meat exports. They are now urging members of Parliament to vote against the U.K.’s membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a major trade group in the Asia-Pacific region. In an interview, Canadian Cattle Association president Nathan Phinney stated, “It’s unacceptable. We’re not standing behind it, and we will oppose it with everything we have.”
The CPTPP, established in 2018, consists of Canada, Japan, New Zealand, Australia, Brunei, Chile, Malaysia, Mexico, Peru, Singapore, and Vietnam. This trade agreement encompasses a population of over 500 million people and 15% of the global economy. Canadian exports to new markets through the CPTPP have increased by more than 35% since 2018, amounting to over $24 billion in 2022, according to the federal government.
The U.K., Canada’s third-largest single-country trading partner, recently concluded negotiations to join the CPTPP. However, Canadian agricultural associations and meat processors argue that the U.K. does not deserve a place in a trade bloc dedicated to open trade. They claim that the British government has refused to recognize Canada’s food safety and animal health systems, severely limiting Canadian beef and pork exports to the U.K. One of the major points of contention is the U.K.’s refusal to accept beef treated with growth hormones, which is a common practice in Canada. Additionally, the U.K. rejects Canada’s use of antimicrobial livestock carcass washes in slaughterhouses.
While these are regulatory issues and not tariffs, Canadian representatives assert that they have had a similar effect. They point out that under the post-Brexit agreement, which replicates the Comprehensive Economic and Trade Agreement (CETA) between Canada and the European Union, the U.K. has exported over 7,000 tonnes of beef valued at nearly $40 million to Canada. In contrast, Canada only exported 657 tonnes of beef worth $7.6 million to the U.K. in 2021 and no beef in 2022. The situation is similarly imbalanced for pork, with the U.K. exporting 1,300 tonnes worth $10 million to Canada last year, while Canada exported zero pork to the U.K.
Chris White, president and CEO of the Canadian Meat Council, expressed concern about the inequity between the U.K. and Canada. He emphasized that while other markets in the CPTPP are more valuable to Canadian beef and pork producers, allowing the U.K. into the trade bloc could set a problematic precedent. White explained, “Whatever the standards or thresholds are for the U.K. to join the CPTPP, then that is the bar that is set for other countries to join the CPTPP.” He emphasized the need for consistency in recognizing Canada’s food safety system.
International Trade Minister Mary Ng extended congratulations to the U.K. on its accession to the CPTPP, acknowledging that the benefits of the trading bloc will grow with the U.K. as a member. However, the membership still requires ratification through a vote in each CPTPP member’s national legislature.
Furthermore, Canada and Britain are currently negotiating a bilateral trade deal. Ng’s press secretary, Shanti Cosentino, stated that they are committed to advocating for Canadian agricultural interests, including access to the U.K. market for pork and beef. However, the British High Commissioner to Canada, Susannah Goshko, has stated that the U.K. will not compromise on issues such as the use of growth hormones. She suggested that Canadian ranchers should modify their farming practices if they want access to the U.K. market. Phinney strongly rejected this proposal, asserting that Canada has a world-class food safety system and product.
Phinney urged the Canadian government to reject the U.K.’s membership unless it wants to financially compensate farmers and processors for the resulting losses.
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