QUESTION PERIOD — Agriculture and Agri-Food
Dairy Industry
December 10, 2020
Honourable senators, my question is for the Government Representative in the Senate. In 1993, the Canadian International Development Agency and the Ministry of Foreign Trade and Economic Cooperation asked SEMEX, a leading global livestock genetics company, to execute a bilateral venture with China to develop the Chinese dairy industry in support of expanding the Canadian dairy industry’s footprint.
In 12 years, Canada helped grow China’s dairy population from 2.7 million to over 12 million animals today. Canada made an impact on China’s dairy industry in an extremely significant way. However, in the past two years, SEMEX has faced ongoing challenges for Canadian exports of bovine genetics. Specifically, the export of Canadian dairy and beef bovine semen and embryos has halted as a result of the decision by China in January 2019 not to extend the expired import permissions that were previously issued.
As such, SEMEX and its 22,000 Canadian dairy and beef farmers remain at a distinct disadvantage to competitors, namely Americans whose trade remains unaffected despite the fact that their only import licence expired in 2018.
It is absolutely unacceptable that the Canadian dairy genetics industry be put through additional hardships as they struggle to maintain their genetic exports supply pipeline and lose profitability. SEMEX estimates the financial impact in the coming months will approach $40 million without some resolution and resumption of China’s exports.
Will the government work towards a successful resolution with China to implement an import permit to ensure that SEMEX and their Canadian farmers can resume their exportation of bovine genetics without continued interruption?
Thank you for the question. Canadian cattle genetics are very well respected and are exported to 99 markets internationally. China is an important market for high-quality Canadian genetics.
I’ve been advised by the government that China is currently reviewing the information that our government provided in December 2019 as part of its required review, which takes place every three years, of Canada’s germplasm facilities in order to re-approve them for export to China. I’ve also been advised that the government is seeking opportunities to engage with Chinese officials to continue these important discussions.
Here at home, the Canadian Food Inspection Agency remains in contact with the industry to find the best methods to reopen this market. Your question and my answer to a previous question illustrates the multiplex complexity of how Canada engages in its foreign relations, and perhaps no more needs to be said.
