Generic Messages

As an export-dependent industry and the largest manufacturing sector, the meat sector plays a crucial role in Canada’s economy and trade.

Competitive access to the world’s largest markets is a requirement.

    • 50% of Canada’s beef production and 70% of its pork is exported (to over 90 countries).
    • In 2023, Canadian meat exports reached $6.7 billion, a record high, doubling in just five years.
    • The U.S. remains our largest trading partner. CMC is focused on expanding access to fast growing, high value markets like Japan, South Korea, Vietnam, Indonesia, Saudi Arabia, Vietnam and Europe among others.
    • 60% of the value generated by the sector derives from trade activity.

In a highly regulated sector like agri-food, misaligned regulations can significantly impede trade. It’s crucial to ensure that regulations and policies are harmonized with those of our trading partners, not only to facilitate smooth trade operations but also to maintain our competitive edge in the global market.

The Specified Risk Material (SRM) policy is an example of a significant challenge for Canadian processors. Despite both Canada and the U.S. having ‘negligible risk status’ for BSE, Canada’s stricter SRM policy disadvantages its abattoirs. Canadian facilities must remove more SRM per animal than U.S. counterparts, costing the industry about $31 million annually in higher disposal costs.

 

Trade Priorities

  1. Resolve / Strengthen China Access:
    • Lift the ban on Canadian beef due to BSE and COVID restrictions.
    • Strengthen diplomatic and industry relations with China.
    • Establish a Red Meat Advocacy Office in Beijing to enhance market presence.

2. Address U.S. Trade Concerns:

    • Work on outstanding issues like SRM and voluntary Country of Origin Labeling (vCOOL).
    • Prepare for the 2026 USMCA review to ensure continuity and address key irritants such as border re-inspections and testing procedure issues.

3. Expand Access in Key Asian Markets:

    • Address South Korea’s 100-day residency requirement.
    • Follow up on Japan’s audit of the Canadian beef inspection system.
    • Seek tariff reductions and remove trade barriers in Indonesia and Thailand.

4. Enhance Trade with the European Union:

    • Navigate the EU’s Green Deal policy, especially regarding deforestation.
    • Simplify/clarify export certificates for beef and pork, address challenges related to systems approval recognition.
    • Increase awareness of niche opportunities.

5. Pursue New Market Opportunities:

    • Seek full beef access in Saudi Arabia.
    • Expand market access in Malaysia, Vietnam, Panama and the Dominican Republic.
    • Explore potential under the Ecuador FTA, considering growing demand and prepare for potential market disruptions (ASF, geopolitics etc.).

6. Maintain and Enhance Existing Trade Agreements:

    • Leverage CPTPP for growth in Japan, Vietnam and Malaysia.
    • Support CPTPP expansion while ensuring new members meet original standards.
    • Ensure CFIA/AAFC have proper resources to prevent issues from becoming problems.

7. Address Global Trade Issues:

    • Resolve WTO Dispute Settlement System to protect market access rights.
    • Advocate for science-based decision making, risk-based assessments and adherence to international standards.
    • Actively monitor and engage in global policy discussions on issues that can significantly impact trade dynamics, such as sustainability, carbon measures, and animal welfare.

8. Enhance Industry Competitiveness:

    • Reduce labor shortages in the meat sector.
    • Address cost disadvantages compared to main competitors, particularly regarding SRM policies with the U.S.