Beef producers lucky to have multi-country trade pacts

North America is producing a record amount of protein and selling it says Ryder Lee, CEO of the Saskatchewan Cattlemen’s Association.

Canada is lucky to have two big trades deals in the last few years — the CETA deal with Europe and the (TPTP) Trans-Pacific Trade Partnership, he told a livestock producers’ workshop. “Trade agreements don’t come along very often, especially multi-country agreements.”

The TPTP agreement opens the market to Japan, one of the largest high value markets in the world that had a 38.5 per cent tariff on beef.

“And we have a preferred access into Japan versus the United States.

A little tariff advantage like Japan is well worth it.”

Being one of the first signers of the deal gives an advantage when other countries sign the pact and “it keeps us on an even playing field with Australia and New Zealand” beef.

Not having to lower prices for tariffs will affect value chains. He encouraged producers to get involved in programs like verified beef for value chains. “That takes a little work on your behalf on the paperwork on your farm but there’s some opportunity there to capture a very high value market. “Verified beef production plus can help your records, probably just recording what you are already doing” and might help market access to Europe and China. Avoiding risk from political events like the current China diplomacy issue is important, and he suggested using pro- grams in the Canada Agriculture Partnership “to avoid a wreck.” Expansion of irrigation in Saskatchewan would help grow the beef herd but convincing the federal and provincial governments to “invest north of a billon dollars is difficult.”

Farmers also need access to skilled farm labour from South Africa “to do the work Canadians won’t do, come to work on time and stick to it.”

Lee said the industry is trying to convince grain farmers to grow feed grain so beef feeders just don’t get lower grade leftovers.