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P.E.I. dairy industry reacts to USMCA signing

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As the leaders of Canada, the U.S. and Mexico signed the so-called “new NAFTA” deal on Friday, farmers on P.E.I. are uncertain about the future of their industry.

“There’s not a lot of optimism out there in the farming fields out there in the country. People are really questioning what their future is,” said Harold MacNevin, a P.E.I. farmer and chairman of the board of directors for Dairy Farmers of P.E.I.

The United States-Mexico-Canada Agreement (USMCA) was introduced on Sept. 30. Even with Friday’s signing by U.S. President Donald Trump, Canadian Prime Minister Justin Trudeau and Mexican President Enrique Peña Nieto, each country still has to separately ratify the deal.

One of the proposals is increasing the U.S.’s access to Canadian markets by 3.59 per cent.

MacNevin said there isn’t a lot of optimism by farmers.

“Farmers are feeling very betrayed because this is the third trade deal in a row that we’ve been used as the bartering chip. So, a lot of betrayal there because, in one sense, the Canadian government is saying they’re supporting the Canadian dairy industry, that they expect us to have a very sustainable, vibrant dairy industry. But yet, they’re giving away our market at every trade deal that comes along.”

MacNevin said the dairy industry is still in the dark about many of the details in the new agreement.

“The only text that we’ve really been hearing anything about is the U.S.’s version,” he said. 

With questions about whether or not to invest in the farm as well as succession plans, MacNevin said a lot of farmers are saying that this industry isn’t the future anymore.

“That’s the sense that dairy farmers are experiencing over the last two months.”

And, even though the deal hasn’t been ratified by Canada, MacNevin isn’t optimistic that things are going to change. He referred to Lawrence MacAulay’s comments on Nov. 5 at a funding announcement (that turned into a demonstration) in Pooles Corner about the $2 billion a day in goods and services that crosses into the U.S. and how that wasn’t going to change.

“So, as far as changing the agreement, that’s not likely going to happen,” said MacNevin.

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