The Latest on USMCA Dairy

The first ever USMCA agreement dispute settlement panel ruled earlier this year that Canada violated the agreement via its dairy tariff-free quota allocation process. As Agriculture Secretary Tom Vilsack observed at the time why the US pursued dispute settlement:

"The USMCA agreement, our view was not being enforced the way it was intended."

As well as limited U.S. dairy access into the Canadian marketplace. In late March, Canada offered a proposal to resolve the issue through changes in TRQ allocations. USDA  Foreign Agricultural Service Administrator Daniel Whitley told house lawmakers recently that the department shares the same view as members of the U.S. dairy industry and Congress.

"USDA agrees that Canada's proposal has fallen woefully short."

The administrator said USDA is in constant discussion with the US trade representatives office on both talks with Canada on the issue as well as potential enforcement tools within USMC.

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