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Cuomo calls on Canada to resolve barriers to New York milk suppliers

Staff Writer | October 31, 2016
Governor Andrew M. Cuomo announced his opposition to proposed regulations that would create a barrier for New York’s dairy farmers exporting a key New York dairy product to Canada.
New York milk
Empire State   A letter to Prime Minister of Canada Justin Trudeau
In a letter to Prime Minister of Canada Justin Trudeau, the Governor called on the Canadian Government to develop a national agreement that will mutually benefit trade across borders.

If proposed provincial standards are implemented across Canada, they could result in a $50 million market loss for New York's dairy industry.

The Governor's letter coincided with the 25th Tri-National Agricultural Accord, held last week in the City of Niagara Falls, Ontario, Canada.

The Tri-National Agricultural Accord provides a forum for the United States, Canada and Mexico to work together toward shared priorities and discuss important topics, including climate change, trade and the expansion of food processing sectors.

The Governor's actions are in direct response to the Province of Ontario and the Canadian Milk Supply Management Committee’s regulatory plans, which include the Ontario Class 6 regulation and the proposed establishment of a new National Ingredient Strategy that could effectively restrict New York exports of ultra-filtered milk.

Ultra-filtered milk is a protein-rich type of skim milk and is primarily used in the production of cheese and yogurt.

The letter calls on the Canadian government to confirm that Ontario’s Class 6 regulations and the Canadian National Ingredients Strategy are both consistent with existing World Trade Organization policies and the North American Free Trade Agreement.

Over the course of the last several months, New York State has made several attempts to find a solution agreeable to both parties.

During a recent visit to Canada, New York Lieutenant Governor Kathy Hochul raised the concerns of New York State with Canadian officials, and in August, New York Commissioner of Agriculture Richard Ball sent a letter to his counterpart in the Province of Ontario, outlining the critical nature of the proposal and its effects on New York State.

Commissioner Ball attended the Tri-National Agricultural Accord last week to raise New York State's concerns in person.

New York exports more to Canada than to any other country in the world. Last year, the bilateral trade relationship totaled $32.93 billion in goods and supported over 500,000 jobs regionally. New York’s dairy industry is the State’s largest agricultural sector.

With more than 5,000 farms, the majority of which are family-run operations, the dairy industry supports the framework of the agricultural economy.

The dairy community brought in $2.5 billion in sales, and the dairy industry hired almost 20,000 people in New York in 2015. New York’s dairy products also account for at least 50 percent of all New York State agricultural commodities exported internationally.


 

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