The recent decision by the US administration to impose tariffs on Canadian and Mexican agri-food imports has raised concerns across North America.
Michael Harvey, Executive Director of the Canadian Agri-Food Trade Alliance (CAFTA), says the tariffs will negatively affect consumers and businesses in all three countries.
“The biggest consequence for consumers is that they’ll pay more for food,” Harvey explained. “You’ll get less high-quality food for the same amount of money. That’s a big step back, and it will hurt people in all three countries.”
According to CAFTA President Greg Northey, the tariffs disrupt supply chains and will ultimately lead to higher costs for consumers, farmers, and businesses alike.
“The tariffs announced today leave consumers and businesses in all three countries worse off,” Northey said. “They increase costs, disrupt supply chains, and harm American, Canadian, and Mexican consumers and producers.”
Harvey says the decision has raised concerns not only within Canada, but also with agri-food producers and businesses in the US. While tariffs between the two countries might not dominate the headlines in the US, CAFTA is working hard to raise awareness of the issue.
“We’re going to Washington at the beginning of April with a group of CAFTA members to speak to people in the US administration and on Capitol Hill. We’ll be talking about the negative effects of this decision for American consumers and businesses. We’re also constantly speaking with the Canadian government about the position we need to take on this issue.”
In Canada, CAFTA is focused on ensuring that Canadian agri-food producers are well represented, regardless of whether the US or Mexico continues to be a major market for Canadian products.
“We want to make sure the Canadian government understands the needs and concerns of our producers, and that they aren’t forgotten,” Harvey said. “It’s a time of a lot of uncertainty, and we want to make sure our food producers have their voices heard.”
While the US political landscape is currently filled with other pressing issues, Harvey notes that many American businesses and producers are aware of the negative impact tariffs can have.
“In the US, tariffs with Canada aren’t the top issue right now,” he said. “But American producers and businesses understand that tariffs are a bad idea. We’re starting to see more articles in US media saying tariffs would raise inflation, which is something Americans definitely don’t want.”
The relationship between CAFTA and US counterparts, as well as the broader agri-business community, continues to be an important focus for Harvey and his team.
“Most American producers, especially in the business community, understand that tariffs will hurt them too,” he added. “We’re working hard to raise awareness and encourage a return to free and open trade between our countries.”
CAFTA remains dedicated to advocating for the removal of tariffs and the restoration of a rules-based, free trading system that benefits producers and consumers on both sides of the border.