Alberta government ‘deeply concerned’ with Bloc Québécois supply management bill

Though Bill C-282 has received cross-party federal support in Ottawa, Alberta’s provincial government says it’s not a backer of the Bloc Québécois legislation that aims to prevent Canada’s supply-managed sectors — dairy, poultry and eggs — from being included in future international trade negotiations.

In a statement to CBC News on Thursday, Matt Jones, Alberta’s minister of jobs, economy and trade, wrote that, if passed, Bill C-282 would “hamper Canada’s ability to negotiate trade agreements that expand market access to benefit the broader agriculture industry.”

“Canada is a trusted and principled trade partner and negotiator around the world. This bill would undermine Canada’s reputation as a reliable trading partner,” Jones wrote.

He added: “Alberta’s government will continue to call on the federal government to re-evaluate their approach to keep trade markets open and supply chains moving across Canada.”

Last week, federal Agriculture Minister Lawrence MacAulay joined Bloc Québécois Leader Yves-François Blanchet, as well as cross-party MPs, for a rally on Parliament Hill in support of the Bloc private member’s bill.

As the name implies, supply management is a system that manages production of certain goods, like eggs, while setting prices and limiting imports.

The Bloc Québécois have been threatening to push for an early election unless the Liberals pass Bill C-282, as well as a bill that would hike Old Age Security, by the end of October. Bill C-282 passed the House of Commons in June 2023, receiving support from every party. It has since been before the Senate, and last Thursday’s rally was held in an effort to expedite its passage.

Beef and cattle sector ‘surprised and disappointed’

While members of Canada’s supply managed industries were pleased to see the public show of support on Parliament Hill, it left members of the beef and cattle sector “disheartened.”

The day after the Ottawa rally, provincial cattle organizations in Alberta, British Columbia, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia and Prince Edward Island released a joint statement and said the cross-party display of support left them “surprised and disappointed.”

“[The] public gathering [was] in support of a bill that seeks to undermine and threaten the interests of the majority of Canada’s agri-food industry, as well as all export-dependent sectors that fuel the Canadian economy,” the statement read.

“Yesterday’s actions were unprecedented and should be alarming to every business and sector of the Canadian economy.”  

But other groups, like the Dairy Processors Association of Canada (DPAC), say concessions made in recent trade agreements — like the Canada-European Union Comprehensive Economic and Trade Agreement (CETA), Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the Canada-United States-Mexico Agreement (CUSMA) — have had a negative impact.

“We look forward to working with all parties to protect the Canadian dairy sector and ensure that producers and processors alike can grow and thrive in a stable and predictable environment, which are core principles of the supply management system,” reads a statement from Mathieu Frigon, president and CEO of DPAC.  

“To ensure those principles are upheld, the Government of Canada must ensure that no other concessions, such as more access, are made in future trade agreements that would negatively impact the Canadian dairy sector.”

David Wiens, president of the Dairy Farmers of Canada, wrote in a statement that “supply management was designed to put the needs of Canadians first.”

“Canadian families get secure and stable access to high-quality food raised on Canadian family farms without the need for government-provided domestic support programs funded by taxpayers,” Wiens said. 

“C-282 supports a thriving local food industry and ensures that supply management remains off the table in future trade negotiations.”

Alberta groups write to minister about bill

On Oct. 8, Alberta Beef Producers, Alberta Pork, the Alberta Cattle Feeders’ Association and Team Alberta Crops wrote a letter to Jones, Alberta’s minister of jobs, economy and trade, about their “deep concern” with the bill.

“This bill not only prioritizes the economic interests of one specific sector but has the potential to severely harm all other export-driven industries across Canada, especially here in Alberta,” the letter reads.

The letter goes on to note that Alberta exported $17.9 billion in agriculture and agrifood products last year, with more than 50 per cent of Alberta’s beef and a significant portion of its pork, grain, pulse, honey and oilseed production destined for international markets.

“Restricting negotiators from leveraging the entire agriculture sector during trade talks weakens their ability to secure beneficial trade deals for all of Canada,” the letter states. 

“C-282 is disastrous trade policy for a diversified province like Alberta, and for the country as a whole, which depends heavily on export markets.”

Doug Roxburgh, vice-chair of Alberta Beef Producers, said in an interview that he recognized supply management was important in Canada and for Alberta’s dairy and poultry producers.

“But it has to be done in a way that allows the beef producers to still have access to markets, and not create limitations prior to our trade negotiation negotiators even going into those meetings,” he said.

In a statement to CBC News, Jones wrote that Alberta is reliant on trade with the United States.

“In 2023, Alberta’s exports to the U.S. totalled $162.2 billion, accounting for 89.6 per cent of total provincial exports,” Jones wrote.

“Just like our agricultural partners, Alberta’s government is deeply concerned about the impacts of C-282.”

Export-oriented industries concerned with plan

In recent trade agreements such as CUSMA, the government has made concessions in allowing limited imports of dairy, poultry and eggs in exchange for access to foreign markets for other goods, said Mike von Massow, an associate professor at the University of Guelph’s food, agricultural and resource economics department.

“What the Bloc is saying is, we want to have no concessions on supply management ever, regardless of who the government of the day is,” said von Massow.

Industries not protected by supply management — beef, pork and canola among them — are always keen to grow their access to other markets, he said. 

“The industries that are export-oriented want nothing that limits their access to those markets,” von Massow said.

Minister’s office says goal is to expand beef industry

In a statement, a spokesperson for MacAulay, the federal agriculture minister, said the minister is looking to preserve the supply management system. At the same time, MacAulay is intent on seeing markets for Canadian beef grow, the spokesperson said.

“He was in Calgary just a few months ago to announce a federal investment of over $6 million to drive the growth of Canada’s beef industry through promotional activities that increase awareness and demand for Canadian beef in new and existing markets,” wrote Annie Cullinan, director of communications in MacAulay’s office.

“The value of Canadian beef exports has increased in recent years [and] the value of Canadian beef exports exceeded $5 billion last year.”

Cullinan wrote that MacAulay would seek to work to ensure that Canadian farmers are treated fairly and benefit from any future trade agreements.

“When he was first named minister of agriculture and agri-food in 2015, Canada’s agricultural exports were at $56 billion. Today, we’ve increased that number to almost $100 billion, and Minister MacAulay wants to see that number continue to rise, while protecting and defending our supply-managed farmers,” Cullinan wrote.

Governments in the past have given up small concessions around supply management, and the degree to which that has affected the policy is up for debate, said von Massow, the associate professor at the University of Guelph.

“The supply management industries hate that we’ve given concessions. The beef and others say, ‘Well, if we’d have given a little more, we’d have better access,'” he said. 

“It’s this tightrope walk.”