U.S. House Speaker Paul Ryan of Wisconsin says the biggest problem with the North American Free Trade Agreement “comes from the North,” referring to Canada. Ryan points to Canadian dairy producers dumping low-cost products on the market to compete with Wisconsin farms, as the real issue with NAFTA. Late last week, the Republican said NAFTA needs updated, but said the U.S. should work within the framework of the deal that took effect in 1994, rather than withdrawing from the agreement. Bloomberg reports that dairy has long been one of the sticking points in Canada-U.S. trade, especially for Ryan’s native Wisconsin. Canada’s system of tariffs and quotas, known as supply management, restricts much of its market.
The U.S. is proposing changes to the program through NAFTA, but Canada has so-far refused, calling the system “fair.”
Source NAFB News Service