Question Period Note: PESTICIDE REGULATION CONCERNS

Q1 – Will retaliatory tariffs be applied to pesticides and what would be the impact? Q2 – When will Maximum Residue Limits increases be considered for glyphosate? Q3 – What is Agriculture and Agri-Food Canada (AAFC) doing to reach the COP15 pesticide-related risk reduction target? Q4 – What does Canada think of the EU's approach to pesticides? Q5 – What is Canada’s reaction to the commitment by the U.S. to review glyphosate and will Canada commit to a similar review?

R.1 - Canada’s top priority remains to seek the removal of any tariffs imposed by the United States and return to working with the U.S. for the benefit of both of our countries.
We are taking a Team Canada approach to our response to U.S. tariffs to reflect the interests of the agriculture sector. Pesticides have not been considered and are not included on Canada’s list of potential U.S. imports subject to retaliatory tariffs. R.2 - MRL increases have been implemented in a staggered manner, beginning with less complicated proposals before addressing more complex ones such as glyphosate.
The federal government has developed an enhanced proactive communication plan around Maximum Residue Limits to maintain and strengthen public confidence. R.3 - AAFC supported the development of Canada’s National Nature Strategy which reflects Canada’s contributions to meeting the agreed global target, including the pesticide-related risk reduction target.
The Government has also allocated funding to support research of alternative pest management solutions and facilitating their adoption. R.4 - Canada has strongly pressed the EU to recognize there is no ‘one-size-fits-all’ model for sustainable production.
Canada has also strongly advocated for the EU to adopt a risk-based approach. This is especially important in the current geopolitical context. R.5 - The Government of Canada supports science-based decision making when it comes to evaluating pest control products. Decades of data have demonstrated the safety of Glyphosate. Science-based regulatory authorities around the world have all reached a consensus that it can be used safely.
The Pest Management Regulatory Agency (PMRA) evaluated glyphosate in 2015. This risk assessment determined that glyphosate was safe. Over 45 scientists were involved in this re-evaluation, and over 1300 studies and 89,000 pages of scientific information were reviewed

Canadian retaliatory tariffs do not include pesticides
The Government of Canada’s list of proposed American goods subject to counter tariffs on the initial $30 billion response and on the proposed $125 billion of additional goods from the U.S., does not include pesticides.

Canada is not a significant pesticide producer, having exported $154M in pesticides in 2023. Canada is highly dependent on imports for its pesticide needs, and the vast majority are from the United States (around 75%). In 2023, Canada imported $2.03B in pesticides, primarily from the United States ($1.56B) with China being a second distant at $180 Million.

Pesticide production is part of a complex global supply chain. For many pesticide products found in Canada, their different raw materials are produced in India or China, mixed in the United States and, finally, diluted in Canada. Due to this logistical complexity, it would be difficult for pesticide manufacturers to rapidly change established supply chains. Furthermore, as pesticides are highly regulated, changes in existing supply chains would require new regulatory approvals from the PMRA. Therefore, for the foreseeable future, growers may have no choice but to continue to obtain their pesticides from the U.S., despite the increased prices.

In 2021, Canadian growers spent an average of $45,000 per farm on pesticides, the sixth largest per farm operating expense category. The relative cost of pesticides as an input varies by crop. For example, it is quite a significant input cost for potato farmers, but less so for oilseeds.

Pesticides and the PMRA
Pesticides (insecticides, fungicides, and herbicides) are essential tools for producers to secure crop yield and quality each season. Health Canada’s Pest Management Regulatory Agency (PMRA) is responsible for registering pesticides for use in Canada. Registered pesticides are re-evaluated every 15 years. Their prevalence in agriculture and media linkages to environmental and human health have raised the profile of these products within the general public.
As part of the assessment process prior to the registration of a pesticide, Health Canada must determine that the consumption of the maximum amount of residues expected to remain on food products when a pesticide is used according to label directions will not be a concern to human health. This maximum amount is then legally established as a Maximum Residue Limit (MRL) under the Pest Control Products Act. Enforcement of these MRLs is conducted by the Canadian Food Inspection Agency under the Food and Drugs Act and associated regulations. MRLs are sometimes revised following the cyclical re-evaluation process for pesticides.

PMRA Transformation
On August 4, 2021, in response to public concerns regarding the increase or establishment of MRLs for several pesticides, including glyphosate, the previous ministers of Health, Environment and Climate Change, and Agriculture and Agri-Food, announced a pause on proposed increases to MRLs until spring 2022, as well as the transformation of the PMRA.

The June 20th, 2023, Announcement
On June 20, 2023, Health Canada, along with Environment and Climate Change Canada (ECCC) and AAFC, announced the next steps in the ongoing pesticide regulatory transformation agenda. This included the gradual lifting of the pause of increases to Maximum Residue Limits (MRLs) for pesticides in Canada and amendments to the Greening Government Strategy, which eliminated the cosmetic use of pesticides on federal lands. Although some MRLs have been increased, the pause has not yet been lifted for glyphosate. Glyphosate is the most used pesticide in the world and makes up for more than half of all agricultural pesticides sold in Canada every year. Due to its popularity, glyphosate is both the most produced and studied product, while being at the center of the very polarized debate on pesticides.
The agricultural sector has relayed its concerns with the non-scientific nature of the MRL pause and is eager to see MRL increases for glyphosate. The PMRA is currently evaluating how it will proceed to raise Maximum Residue Limits for glyphosate.

Budget 2024
As part of the Federal government’s 2024 Budget, $39 million over two years (2024-25 & 2025-26) was earmarked for “Sustainable Pesticide Management”. The majority of these funds will be allocated to Health Canada’s PMRA. The funding will support PMRA, to continue the implementation and maintenance of initiatives that began as part of the 2021-2024 Transformation Agenda, including integration of functions into day-to-day operations, and the remaining funds will be allocated to AAFC to develop novel pest control solutions.

Advocacy against the PMRA Transformation
Agricultural stakeholders, including CropLife Canada, have recently sent letters to the health and agriculture former ministers requesting that the PMRA cease all of its activities related to its transformation and proposed fee increase.
Stakeholders highlighted their concerns with the current political, economic and trade instability. The PMRA’s transformation initiatives will further limit growers’ access to innovative pest control products, thus affecting their competitiveness.

FPT Working Group
From July 19 to 21, 2023, Federal, Provincial and Territorial (FPT) ministers discussed the agriculture and agri-food sector’s key issues during their annual conference. The importance of lambda-cyhalothrin was raised during the conference. Ministers agreed to create an FPT working group to explore the challenges of pesticide management.
A summary of the working group’s discussions and recommendations to improve regulatory outcomes were summarized in a public report. The working group’s report was presented in February 2024 to FPT ministers, and its recommendations obtained unanimous support. The group was also asked to develop an action plan to implement its recommendations.

During the July 2024 Annual Conference, the working group presented its action plan. FPT ministers supported the plan and sought regular updates from the working group. An update from the FPT working group on the action plan deliverables is being planned for the next agricultural ministers meeting in July 2025.

UN Convention on Biological Diversity COP15
At its 15th meeting of the Conference of the Parties (COP15) in December 2022, Parties to the UN Convention on Biological Diversity (CBD) agreed on a historic global biodiversity framework to safeguard nature and halt and reverse biodiversity loss.

The agreement includes a commitment to reduce the risk from pesticides on the environment but does not represent a mandatory reduction in pesticide use (target 7). At a resumed session of the 16th Conference of the Parties (COP 16.2) in February 2025, parties agreed to allow a choice between two options for the global indicator for the pesticides risk reduction commitment, based on a country’s national circumstances and availability of a methodology. Industry has raised concerns over one of the proposed indicators, which they have said focuses on pesticide use, instead of risk.

The Government of Canada will be reviewing both indicator options for feasibility of reporting and suitability to reflect the environmental risks in Canada.

Canada’s National Nature Strategy reflects Canada’s contributions to meeting the agreed global target, outlines that AAFC will provide guidance on pathways to improve environmental outcomes of pesticide application through beneficial management practices and precision agriculture technologies.
 
The European Union’s approach to Pesticides uses
On February 6, 2024, the President of the European Commission, Ursula von der Leyen, announced plans to withdraw from the Sustainable Use Regulation, which had sought to cut pesticide use in half by 2030.

The EU had aimed to halve the use of the chemicals by 2030 as part of its Green Deal aimed at tackling climate change, which included a ban on the use of pesticides in many areas, including public parks, gardens, schools, and sports fields. The Green Deal ultimately became a “symbol of polarization.” The February 2024 shift in policy direction was announced in the context of mounting pressure from farmers’ protests across Europe, including France, Germany, Belgium, the Netherlands, Poland, Greece, and Spain.

• Farmers work diligently to ensure good stewardship practices around the use of pesticides.

• To support farmers’ need for crop protection, Budget 2024 earmarked 39 million over two years for “Sustainable Pesticide Management”.

• We recognize the importance of crop protection products, and we are actively working with provinces and territories to help farmers overcome the challenges associated with pest control.