Constantly under trade attack by Washington, most recently again this week, Canada’s supply management system is the envy of farmers around the world.  And here’s why.

Supply management is a policy-based system where farmers of supply managed commodities – eggs, hatching eggs, chicken, turkey, and milk  – produce to meet domestic demand and receive a price that covers their production costs.  The Canadian market is reliably supplied by healthy products provided by local Canadian farm families.  Yes, protective tariffs are in place to halt over-quota imports of US poultry and dairy products.  In the 1970’s, during the Tokyo Round of the GATT, nations committed to “tariffication“ – converting non-tariff barriers into tariffs.  The high (+400%) tariffs on over-quota imports of US poultry and dairy products are there to guarantee a stable domestic market for Canadian farmers.  Who produce only for the Canadian market. Receive a price that covers the cost of production of an efficient family farm. And are protected from predation by global players.  Giving family farmers the market power to stand tall and fend off large agri-food integrators.  Without government subsidy.  Supporting local community and the next generation of young farmers.  All the while keeping the land sustainable.  On a public policy level, supply management rocks and is the envy of farmers around the world…

So yes, if US exports of poultry or dairy products to Canada exceed agreed upon volumes, high tariffs apply.  For good reason.  To protect Supply Management.  It’s a Canadian thang…