Trans-Pacific Partnership opens up dairy market

The newly announced Trans-Pacific Partnership opens up Canada's supply-managed commodities to foreign imports, most significantly for P.E.I. dairy.

Last week Island dairy farmers rallied in Summerside to express their concerns about opening their market.

• Highlights: What's in the Trans-Pacific Partnership agreement?
• P.E.I. dairy farmer supporters rally over Trans-Pacific Partnership

There were reports the Americans were looking for as much as 10 per cent of the market. The deal allows for 3.25 per cent.

The government announced two programs, with a$4.3 billion investment,to ease the transition.

The Income Guarantee Program will provide 100 per cent income protection for dairy farmers for 10 years, and tapered support for a further five years.The budget for that 15-year program is $2.4 billion.

The Quota Value Guarantee Program will protect producers against a reduction in their quota value, after quota begins to be sold withthe implementation of TPP.That 10-year program has a promised investmentof $1.5 billion.

The government notes the TPP will provide new opportunities for dairy producers, including tariff-free access for some specialty cheeses.