Edge Dairy Farmer Cooperative, one of the largest dairy co-ops in the country, issued a statement today after an announcement by the Office of the U.S. Trade Representative (USTR) related to tariff-rate quotas in Canada.
USTR said it is officially pursuing consultations with Canada over that country’s announced allocation of the quotas for U.S. dairy products as a result of the United States-Mexico-Canada Agreement (USMCA). Requesting consultations is the first step in the USMCA’s dispute settlement process. Click here to read USTR’s announcement and more background on the issue.
Edge President Brody Stapel made the following comment:
About the quotas: Essentially, tariff-rate quotas allow countries to export specified quantities of a product at a relatively low tariff but subject all imports of the product above a pre-determined threshold to a higher tariff.