Food exports ran ahead of 2019 figures for the first months of 2020

  • National Newswatch

Pandemic reinforces importance of the WTO.   Ottawa—Exports of Canadian food and seafood products were off to a strong start in 2020 reaching $29 billion by the end May, up 6.1 per cent compared to the same period of 2019, Agriculture Canada says. Exports of pork products rose by more than 25 per cent in the first five months compared to last year, reaching $2.2 billion. Grains and oilseeds sales were also strong. The United States remains the best customer taking in nearly 52.7 per cent of Canadian food exports, followed by China at 12.1 per cent, Japan at 7.4 per cent and the European Union at 5.7 per cent. The department said the total agrifood and seafood exports to the E.U. were more than 40 per cent higher in the first five months of 2020 compared with the same period in 2019. If the exports continue at this pace, Canada could move a lot closer to its goal of achieving $75 billion in food exports by 2025. Agriculture Minister Marie-Claude Bibeau said, “Canada's dynamic farmers and food businesses continue to demonstrate their resiliency during COVID-19, even as many are still dealing with significant challenges with their businesses. Our goal throughout the pandemic has been to keep the supply chain strong and our workers safe, while helping vulnerable Canadians in need. Our agriculture sector is playing a key role in the nation's economic recovery with strong export performance in the first five months of this year.” Keeping agrifood exports strong during the pandemic is more important than ever, says the Canadian Agri-Foot Trade Alliance (CAFTA)in a presentation to the Commons agriculture committee. “With most of the world on lockdown, it has become crystal clear just how foundational agrifood trade is for our economy and way of life. Calling the food sector an essential service “doesn't even begin to describe how vital farmers, food manufacturers and others are to a world in crisis. Canada's export-oriented agri-food sector feeds our families and families around the world. “Grain farmers continue to operate as normal which means facing headwinds of rising non-tariff barriers with market access issues in key markets. Demand is strong for some grains, although the impact of massive U.S. subsidies for corn, soybean add to the anguish over a long list of issues.” They include the on-going refusal of China to accept Canadian canola and “pulses and durum wheat continue to face trade barriers key markets such as Italy, Peru, Vietnam. It's a hard time for hog farmers, cattle producers with backlogs of livestock growing.” It all adds to the fear the pandemic “will bring about new trade barriers and other forms of protectionism, and that rules and trade commitments that have been made will be undermined and not followed.” Canada is working hard to keep agrifood trade open, CAFTA said. “First, we're very grateful that the Canada-U.S. border has remained open for trade. Agrifood is especially reliant on inputs, ingredients and labor from the U.S. Our integrated supply chains remaining functional is one of the reasons grocery stores stay full. In these dire times, more trade is needed, not less.” CAFTA is pleased the federal government has been at the forefront of efforts to safeguard the WTO and the rules-based trading system. Trade will be vital, but only if we limit protectionism and bolster international cooperation. Alex Binkley is a freelance journalist and writes for domestic and international publications about agriculture, food and transportation issues. He's also the author of two science fiction novels with more in the works.