Canada's Trudeau defends dairy system after Trump blast

The rhetoric Donald Trump directed at Canada's dairy industry this week has its roots in a new Canadian agriculture policy that predates his time in office, one that was the subject of a pointed letter from the US dairy lobby.

About 70 dairy producers in both Wisconsin and NY are affected by the decision.

"We are also going to stand up for our dairy farmers", Trump said Tuesday while discussing his "America First" policies in a speech in Wisconsin.

However, unlike Tuesday's comments in Wisconsin, Trump broadened his focus to include other Canadian commodities.

But if Canada ends supply management, some warn Ontario's dairy farms couldn't compete.

Ultra-filtered milk exports to Canada represented about $150 million in annual business to American dairy processors. He told reporters gathered in the Oval Office that the unions had been working closely with the administration.

This one earns a rating of "a lot of baloney".

Canada's ambassador to the United States, David MacNaughton, fired back at Trump's criticism on Tuesday by writing to the governors of those two states telling them that the plight of their farmers was not Canada's fault.

Trudeau is anxious about Trump's protectionist talk and has repeatedly sent his ministers to the U.S.to talk about the importance of the trade relationship.

"Let's not pretend we are in a global free market when it comes to agriculture".

"It's good that Trump is now finally aware that they are very protectionist of the agricultural industry within Canada", Ellis said.

The new order would direct US agencies to propose rules to prevent immigration fraud and abuse in the program. The U.S. says it's raised concerns about the policy change.

"Dairy farmers globally, not just in the US, are facing many challenges", MacNaughton wrote in the letter Tuesday. The move left farms producing more than 1.3 million pounds of milk a day needing new buyers. Russian Federation is buying less milk from the Europe because of sanctions, and China is buying less milk, which affects everybody. Forward contracts with at least three dairy farms that received the letter meant Grassland had to continue accepting their milk, and Mullins Cheese in Mosinee began taking milk from eight of the affected dairy farms.

Parksville dairy farmer says Canadian industry is very healthy while President Donald Trump says regulations north of the border are unfair to American producers.

Dumontier says it's ironic Trump is calling Canada protectionist when it comes to dairy, noting the USA system of subsidizing farmers has created a market that's even more protectionist.

"We're not dumping products".

Jeff Stager, a Roseville-area farmer and past president of the Waterloo Federation of Agriculture, said viable dairy farms have always been a key part of Ontario's economy.

"I think this is probably the biggest trade negotiations test it (supply management) has yet faced". But Canadians lowered prices on this side of the border to remain competitive, in the process shutting out American sellers of the same dairy product.

"We're not going to overreact", Trudeau said.

Ultimately are Canadian dairy farmers afraid of what Donald Trump is saying?

More than 75% of Canada's exports go to the USA, and only 18% is imported from U.S.

"In this particular case, it's not contrary to the trade agreements. We will judge American policy when American policy is announced". While he doesn't see the policy being reversed, he's hopeful the USA government will use it as a bargaining chip when renegotiating NAFTA. He suggested it has stalled his attempt to renegotiate NAFTA.

In a story April 18 about a U.S.

"More broadly, tens of thousands of dairy farmers will be affected by the larger scope of what Canada is doing, which is using pricing policy to offload milk powder in global markets where it will be competing with USA exports", said Chris Galen, a federation spokesman.

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