To-and-Fro of Canada-EU Free Trade Deal

To: Germany, as a leading member of the EU is also leading the charge on the Comprehensive Economic and Trade Agreement (CETA) between the benevolent super-state and Europe Canada. German Foreign Minister Westerwelle of the Free Democratic Party (the junior coalition government partner and the most economically liberal – by European standards – in the Bundestag) went to far as to call Canada a “natural partner” for Germany.

Germany – as one of the few net contributors to the EU (now who conquered who?) – is on the hunt for markets beyond dilapidated Europe and its continued march into Asia (Volkswagen now sells more cars in China than in Deutschland), seeing Canada as not only a market in-and-of itself, but an obvious hub into the United States.

Canada’s gain in a comprehensive agreement is obvious, being a commodity-based econony dependent on exports, but also in severe need of more competition for goods at home.

Fro: Supply-management. Like its cousins – farm subsidies and marketing boards – it played a decisive role in killing the Doha trade talks. It has the potential to scrape plenty of meat off the bones of any comprehensive trade agreement with the EU, and to no-body’s advantage. Canadian consumers pay far above market prices for goods artificially produced in quantities below demand, as mandated by government. That’s an obvious loss for consumers, and a loss for farmers that with artificial distortions removed – would move into other agricultural sectors that produce genuine profits with no glass celling (other than taxes of course). But that doesn’t seem to ring a bell with Agriculture Minister of State Jean-Pierre Blackburn; who on behalf of the government passionately defends the system, going so far as to brag about limiting the import of milk.

Europe doesn’t like this – although many-a Eurostans defend the same practice at home – and promises to be a major impediment to a deal. Maintaining these bizarre command-economy measures would be senseless even if they didn’t stand in the way of a free-trade deal with Micronesia, let-alone the EU. If maintaining forms of farm collectivisation is raised as an issue by the Canadian delegation, than it should be only as a stick with which to beat down Europa’s own market distortions.

Cheaper carrots for all. Hurah.

April 8, 2010 Tags: Agriculture, CETA, Comprehensive Economic and Trade Agreement, EU, European Union, Free Trade, Germany, Jean-Pierre Blackburn, Supply Management Posted in: Blog Content

One Response

Sunshine - April 8, 2010

Ridiculous. Don’t harp on securing food production. South Korea is currently in such potentially disastrous position that it is purchasing vast tracks of land in Madagascar in which it will populate with its own farmers to secure a source of food, as next to air and water it defines our existence. South Korea is not alone in this and countries (Such as China) are playing the same game in areas where land is cheap. Conquest via the almighty dollar.

http://news.mongabay.com/2008/1119-madagascar.html

Farmers of MOST countries envy the Canadian system of supply-management as it limits waste and maintains a supply of milk at Canadian standards (which are incredibly high and expensive to maintain) at a fair price. It was not long ago that children were dying in China because of melamine additives in milk because well, it saved money. You can keep your Chinese milk and all the dollars it saves you.

http://www.phac-aspc.gc.ca/tmp-pmv/2008/mel_china_chine1021-eng.php

In Australia, where a significant quantity of milk is sold for less than the cost of production, they are making the switch to “other agricultural sectors” but its hard to compete with lesser countries in anything except wine. Yet back to “where does the milk come from?” keep in mind that the shelf life isn’t long…

In the beef industry where supply management is non-existent, beef producers are floundering. As Canadians we expect our food to be safe. We enact legislation maintaining the highest standards for growth, slaughter and marketing of our beef at the outcry of farmers, and yes it is expensive. Yet go into most grocery stores and buy a AAA grade Canadian steak and you will be surprised to learn that it not Canadian beef but most likely from other countries like Argentina or Brazil. These countries make it cheap as management and health practices are not comparable to those in Canada using chemicals and hormones we do not deem safe for use in our country (DDT). But hey, when it comes to delivering the cheapest(in every way) goods to consumers, nothing is more important than cost. Not labeling country of origin, maintaining health standards, food security and especially not supporting our hard working farmers.

But at least it was graded AAA in Canada…

http://www.foodsafetynews.com/2010/03/according-to-the-windsor-star/

Mr. Fildebrandt there are things worth paying for and that includes pride in myself, my health (diet) and my fellow Canadians.