In this file:


·         CPTPP Enters into Force; Report Highlights Changes to Japanese Beef Market

·         China is benefiting from CPTPP moving on without the U.S.

·         CCA Report: Trade focus bears fruit for Canadian beef producers



CPTPP Enters into Force; Report Highlights Changes to Japanese Beef Market


North American Meat Institute (NAMI)

January 4, 2019


The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) entered into force December 30, 2018. The CPTPP’s 11 member countries are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam. President Donald Trump withdrew the U.S. from the CPTPP’s predecessor, the Trans-Pacific Partnership agreement, in January 2017.


Under the CPTPP, Japan’s tariffs on chilled and frozen beef will gradually decrease to nine percent over 15 years. Effective December 30, Japan lowered the tariff on chilled and frozen beef imported from CPTPP countries from the most-favored nation rate of 38.5 percent to 27.5 percent. Japan also revised the special safeguard (SSG) mechanism for countries with which it does not have a free trade agreement, making the U.S. the only major beef supplier to Japan subject to the SSG. In addition, Japan moved to increase support for domestic beef producers under the country’s Beef Livestock Stabilization Program, also known as Marukin. A report detailing changes implemented to the Japanese beef market following CPTPP entry into force is available here .


document, plus link



China is benefiting from CPTPP moving on without the U.S.


By Amie Simpson, Brownfield 

January 7, 2019


Ohio State University Trade Economist Ian Sheldon says China is benefiting from the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) moving forward without the U.S.


“The U.S. has given up the ability to influence trading arrangements in the Asia-Pacific region,” he says. “And it probably means China will now be pushing the Regional Comprehensive Economic Partnership (RCEP), which involves 16 countries, many of which are in the CPTPP.”


In a study he helped co-write, Sheldon said the CPTPP would have provided a template for containing China and addressing intellectual property concerns.


“The key issue has been the way China behaves over intellectual property,” he says. “I guess the U.S. thinks that they can do a better job negotiating bilaterally with China, but why did we give up the gains that we made in the Trans Pacific Partnership in that area. “


He tells Brownfield although it would be great if the U.S. and China could come to an agreement during the 90-day trade truce, collective action on trade rules is stronger than bilateral action...


more, including audio [11:31 min.]



CCA Report: Trade focus bears fruit for Canadian beef producers

From the January 2019 issue of Canadian Cattlemen


By David Haywood-Farmer, Canadian Cattlemen

January 8, 2019


The Canadian Cattlemen’s Association (CCA) focus on trade and market access priorities continued to bear fruit in 2018 and set the stage for a sustainable future for Canadian beef production. The events of 2018 created unprecedented opportunity for producers as we head into the new year. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) came into effect on December 30, 2018, and Canada signed the Canada, United States and Mexico Agreement (CUSMA) on November 30. Once ratified, the CUSMA will update, modernize and replace the North American Free Trade Agreement (NAFTA). Originally agreed to September 30, the timing of the “NAFTA 2” trade pact was meaningful for cattle producers as they entered the fall run. The CUSMA preserves and will secure the duty-free access upon which the Canadian beef cattle sector has been built over the past 25 years, certainty that helped cattle buyers feel confident about the long-term stability of the market.


Underpinning this optimism, November’s 2018 Fall Economic Statement announced a new $1.1 billion Export Diversification Strategy to maximize opportunities for exporters in new markets, and a commitment of $25 million over the next five years to enhancing federal capacity to address non-tariff and other trade barriers specific to agri-food. This is excellent news as such barriers often prevent exporters from taking advantage of new export opportunities. These export-related provisions dovetail nicely with the intended outcomes of the National Beef Strategy, namely, to position the Canadian beef industry for greater profitability, growth and continued production of a high-quality beef product of choice in the world.


An updated National Strategy covering the period 2020-2024 will be released in 2019. As chair of the Beef Advisors, which provides oversight to the strategy, I’m confident both the progress captured in the recent status update and direction of the strategy will provide producers with reason for ongoing optimism in the industry.


The beef industry is in a perpetual state of forward motion and the CCA is working hard to ensure sustainably raised Canadian beef is top of mind in key areas. The CCA was in Poland for the 24th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP24). Our industry continually strives to be a global leader in sustainable beef production and a partner in dually achieving Canada’s economic and environmental targets. Attending, observing and sharing the Canadian perspective on sustainable agriculture for the future at COP24 is a big piece of that.


CCA returned to Japan in early December to promote Canadian beef. We know importers want a consistent supply of Canadian beef and expect that under the CPTPP, Canadian beef exports to Japan could double in 2019, up from the $160 million of beef exported to Japan in 2017 under the old tariffs.


In Japan, on December 30, 2018, the tariff of 38.5 per cent dropped to 27.5 per cent on Canadian fresh beef and to 26.9 per cent on frozen beef. On April 1, 2019, Canada will enjoy a second tariff cut in Japan on both fresh and frozen product, with more cuts to come. With CPTPP, Canadian beef will also be exempt from the Japanese safeguard tariff of 50 per cent on beef.


CCA and Canadian Pork Council (CPC) undertook a mission to Germany, Poland and Spain in November, as part of an ongoing series of missions to EU countries to continue to build co-operation and collaboration for commercially viable two-way trade of meat products between Canada and the EU as envisaged by the Canada-European Union Comprehensive Economic and Trade Agreement (CETA).


As an example of this budding reciprocal two-way trade relationship under CETA, in 2018, from January to September, 241 tonnes of veal from the EU were imported into Canada, with the majority coming from the Netherlands, along with 2,255 tonnes of beef valued at $13.2 million. Exports of Canadian beef alone to the EU for the same period reached 520 tonnes valued at $8.2 million, representing a 45 per cent increase in volume and a 45 per cent increase in value compared to a year earlier.


Interest in Canadian beef in EU countries continues to grow...