Question Period Note: Border Controls For Supply Managed Goods

What is the government doing to maintain border controls for dairy, poultry and eggs?

RESPONSE:

1. Government departments and agencies are collaborating to ensure that border control measures in place remain effective.

2. The Government maintains robust compliance verifications of supply-managed goods in Canada.

RESPONSIVE ON CONCESSIONS IN FUTURE TRADE AGREEMENTS

1. The Prime Minister and I (the Minister of Agriculture and Agri-Food) have been clear, Canada will not provide any additional market access for supply-managed goods in future trade negotiations.

2. The Government will continue to preserve, protect and defend our supply management system.

RESPONSIVE ON ENSURING COMPLIANCE WITH CANADA’S TRADE AGREEMENTS

1. In its trade agreements, Canada agreed to establish quantity limited Tariff Rate Quotas for dairy, poultry and egg products that are administered by the Minister of International Trade, Export Promotion, Small Business and Economic Development

2. The Government of Canada monitors importations and permits issued for these goods to ensure compliance.

3. Officials across the Government of Canada work together to ensure the effective and efficient administration of Canada’s supply management system.

4. Canada expects its trading partners to respect their commitments under trade agreements and will use every means at its disposal, including dispute settlement, to ensure commitments are met.

RESPONSIVE TO IMPORTATION OF SUPPLY MANAGED GOODS ABOVE QUOTA VOLUMES

1. While imports of supply-managed goods at a zero or low rate of duty are limited to specific quota volumes, imports can occur over those quota volumes if the higher out of quota duty is paid.

2. Under specific circumstances, the Government of Canada allows for the duty-free importation of dairy, poultry and egg products under the Duties Relief Program (DRP) and Import to Re-export Program (IREP).

3. Supplemental import authorizations may also be authorized by the Minister of International Trade, Export Promotion, Small Business and Economic Development

4. These programs and authorizations are based on established, publically available criteria.

BACKGROUND:

Agriculture and Agri-Food Canada (AAFC) collaborates closely with other Federal departments and agencies to ensure that border measures are robust and effective, particularly for supply-managed goods. The Canada Border Services Agency (CBSA) administers and enforces policies on bringing food, plants, animals and related products, including supply-managed dairy, poultry and egg products, into Canada, to the extent that they apply at the border. The CBSA is responsible for monitoring and ensuring that entry for dairy, poultry and egg products are conducted in accordance with the Government of Canada legislation and regulations.
Duties Relief Program and Import for Re-Export Program:
The Duties Relief Program (DRP), administered by the Canada Border Services Agency, and the Import for Re-Export Program (IREP), administered by Global Affairs Canada, provide predictability and effective border controls for supply-managed commodities, while ensuring that Canadian processors who use supply-managed inputs can remain competitive in export markets.
The DRP relieves the payment of duties, at the time of importation, on imported goods that will eventually be exported either in the same condition or after being consumed, expended or used in the processing of other goods.
The IREP provides for Canadian companies to import supply-managed agricultural products for further processing and re-exportation. The IREP allows the Canadian food processing sector to be competitive in foreign markets.
Supplementary Imports:
Supplementary imports of supply-managed products, apart from the import access quantity issued to allocation holders under Canada’s tariff rate quotas (TRQ), may be authorized by the Minister of International Trade, Export Promotion, Small Business and Economic Development.

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