Congressional Research Service Says Dairy, Poultry Exports to Canada Growing

Although members of Congress have complained that Canada's tariff rate quota changes do not comply with USMCA commitments (see 2008280003), a Nov. 20 Congressional Research Service update on USMCA's agricultural provisions says that dairy exports to Canada in the third quarter of 2020 were 10% higher than in the third quarter of 2019 and 9% above the same period in 2018. It also noted that after four years of decline of U.S. exports of poultry and eggs to Canada, poultry meat exports grew 8% in the third quarter this year compared with the same quarter in 2019, but were only 3% higher than in the third quarter of 2018. Egg exports were flat.

The report said exports to Mexico declined for the first three quarters in 2020 but it attributed that to COVID-19 pandemic-related problems in the transportation and logistics sector in Mexico (shortage of refrigerated containers needed in the cold chain), not to problems with geographical indicators or sanitary and phytosanitary concerns.

The entry into force of USMCA on July 1 coincided with the start of the third quarter.