U.S. Senator Tammy Baldwin is applauding an announcement that a dispute settlement panel brought under the U.S.-Mexico-Canada Agreement (USMCA) has ruled in favor of the United States and found that Canada violated its commitment by reserving most of its dairy tariff-rate quota for the exclusive use of Canadian processors. The decision means Canada must change the way it grants special access to its shielded dairy market.
In 2020, Senator Baldwin called on Trump administration to enforce the USMCA dairy provision to ensure fair market access for American dairy products. Fairness in market access honors commitments made to Wisconsin farmers, whose milk makes Wisconsin cheeses and other products renowned—and in demand—around the world.
“I am proud to have fought to ensure that our trade deals are delivering on their commitments to our farmers and providing real, usable market access for Wisconsin’s high-quality dairy products,” said Senator Baldwin. “I appreciate the trade panel’s decision in holding our partners accountable to their commitments because our carefully negotiated trade deals must actually create the opportunities for new markets in order to make a difference for rural Wisconsin. This is a welcome win for our hardworking farmers and Wisconsin’s agriculture economy.”
“The USMCA Panel’s decision to enforce the allocation of additional market access is a major step forward for Canadian consumers to be able to enjoy world class cheese from United States cheesemakers. We have had many Canadian Retail outlets wanting more cheese, we will now have a more cost-effective way of expanding our exports to Canada,” said Jeff Schwager, Chief Executive Officer, Sartori Company, headquartered in Plymouth, Wisconsin.
“The equitable allocation of import quota is critical to ensuring that U.S. dairy processors have fair access to Canadian markets and consumers. This report confirmed the United States’ concern that Canada violated the USMCA when it limited access to import quotas almost exclusively to its own dairy and food processors,” said John Umhoefer, Executive Director, Wisconsin Cheese Makers Association.
