Couillard will defend Quebec dairy farmers against Trump's promises

Conservative leadership candidate Maxime Bernier has welcomed U.S. Donald Trump's swipe at the Canadian dairy industry, saying that it's not just American farmers who are losing out.

Canada's ambassador to the United States, David MacNaughton, fired back at Trump's criticism on Tuesday by writing to the governors of those two states telling them that the plight of their farmers was not Canada's fault.

Canada's dairy farmers and processors, including Saputo Inc (SAP.TO) and Parmalat Canada, struck an agreement in 2016 that industry groups elsewhere say would price domestic milk ingredients for cheese-making below cost, under-cutting their exports.

Trump took aim on Tuesday during a visit to cheese-producing Wisconsin, saying he would "stand up for our dairy farmers" against Canada's "unfair" practices.

In addition, MacNaughton writes the dairy industry of Canada is less protectionist than U.S. He said this because of the technical barriers kept by U.S to keep dairy industry of Canada out of the market.

In a joint letter sent recently to Trump, the International Dairy Foods Assn., the National Milk Producers Federation (NMPF), the U.S. Dairy Export Council and the National Association of State Departments of Agriculture urged the Administration to tell Canada's Prime Minister Justin Trudeau to halt the new pricing policy and restore imports of the blocked U.S. products, specifically ultra-filtered milk. American producers say Canada's policy violates trade agreements and exacerbates a glut of milk on the American side of the border. About 70 dairy producers of the ultra-filtered milk, which is used to make cheese, in both US states are affected.

The President called Canada's system "unfair" during a stop in Kenosha, Wisconsin, where he also signed his Buy American and Hire American executive order. Trump promised to work with Wisconsin's congressional delegation to get a solution after the governors of Wisconsin and NY urged him to take action. He said the agency's dairy outlook report "clearly indicates that poor results in the USA sector are due to US and global overproduction".

"Dairy trade between Canada and the U.S.is important and the sectoral trade balance massively favours the USA, at around 5 to 1", the letter said.

Canada denies that its dairy policies cause losses for US dairy farmers.

Plenty for Mercedes to consider at F1 Bahrain test
Under the safety vehicle , I just misjudged it myself the situation; that was my fault. "I didn't find any words", he said. In Bahrain , the Briton recognised he could have put himself in a much better position to win.

Kevin Ellis, CEO of Cayuga Milk Ingredients, said past year that the Cayuga County company could lose $30 million in sales if Canada follows through with the trade policies.

He adds Canada has done nothing to block United States imports and that an "over-saturated" United States market has led to lower prices.

Indeed, Canada's softwood industry makes no secret of its own search for opportunities in China. "Our relationship with the USA administration is extremely strong and I think it's going to pay dividends in the long run".

"We're not going to overreact", Trudeau said.

"We're going to have to get to the negotiating table with Canada very, very quickly", he added.

"The whole thing is ridiculous. Let's keep it that way by working together, as we have done so often in our history, to make it even better".

Francois Dumontier, a spokesman for Les Producteurs de lait du Quebec, said imports of USA milk products have increased since 1993 and now account for three-quarters of milk products in Canada.

"NAFTA has been very, very bad for our country", Trump said.

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