After more than a year of negotiations and battering trade war, the United States, Mexico and Canada reached a deal over the weekend that will replace the 24-year-old North American Free Trade Agreement, or NAFTA.
The United States-Mexico-Canada Agreement, or USMCA, is expected to help U.S. dairy, but many in the industry are cautious about calling it a victory just yet. The three countries’ legislatures must also still approve the deal.
The stipulations of the deal include opening Canada’s dairy market to U.S. imports, which was a sticking point in the negotiations.
Duane Martin, president of the Delaware County Farm Bureau, said the U.S. dairy industry has long been marginalized in trade deals such as NAFTA, where Canada was granted a provision to protect its industry through a quota system, controlling the amount of milk produced. He said he was “amazed” at the announcement of the deal.
The Daily Star