Agropur reacts to Trans-Pacific Partnership
Longueuil, Quebec, October 8, 2015
Agropur took note of the Trans-Pacific Partnership (TPP) agreement.
“We are disappointed by the concessions that have been made with respect to dairy,” said Serge Riendeau, President of Agropur. “For our members in five Canadian provinces, this constitutes another breach in the supply management system, which has stood the test of time with consumers, government and the industry for more than 40 years. Giving up 3.25% of our market, in addition to the 2% conceded under the Canada-Europe agreement, means an increase in dairy imports that will replace more than 5% of our domestic production in the first five years that the agreements are in effect.
“We are proud of Agropur’s efforts of the past several months to explain to our governments and other stakeholders the benefits of supply management and the importance of safeguarding the system, for the benefit of our members and all Canadian dairy producers,” Mr. Riendeau added. The Boston Consulting Group study, commissioned by Agropur and released in late July, and our meetings with our members and stakeholders, have highlighted the potential repercussions of ending supply management and the need to preserve it.
“It is important for our industry that the government implement measures to ensure the sustainability of supply management. We offer the government our expertise and our full cooperation in seeking the best solutions to resolve the issues relating to products designed to circumvent the rules and to the terms and conditions of the agreement as a whole.”
As the final text of the agreement is not yet available, Agropur cannot assess its full impact on the dairy industry. Agropur also awaits details of the compensatory measures announced by the government.
Agropur intends to continue seizing all opportunities for development in order to remain a major player in the North American market and pursue its growth, for the benefit of its dairy producer members.
Founded in 1938, Agropur is a major player in the North American dairy industry with sales of more than $4.7 billion in 2014, 3,473 dairy producer owners and 8,000 employees. Agropur processes more than 5.4 billion litres of milk per year at its 40 plants across North America and boasts an impressive roster of well-known brands and products, including Natrel, Québon, OKA, Farmers, Agropur Signature, Agropur Grand Cheddar, Sealtest, Island Farms, biPro and the Ultima Foods joint venture’s iögo and Olympic brands.
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