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(Bloomberg) — New Zealand is urging Canada’s next prime minister to respond to claims from rival dairy exporters that it is dumping low-price milk products on world markets.
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“The dairy industry has raised important issues and the government shares their concerns,” New Zealand Trade Minister Todd McClay said in an emailed response to questions Friday in Wellington. “With the impending change of prime minister in Canada their government now has the opportunity to address our concerns and stop these harmful dairy practices. I urge them to do so.”
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Industry groups from New Zealand, Australia and the US have written to their trade and agriculture ministers and officials expressing concern over the impact of Canada’s trade practices. They claim Canada under-prices surplus milk protein that it dumps on world markets, giving its exporters an unfair advantage.
McClay said he has previously raised objections with Canada on behalf of New Zealand farmers and has now instructed his officials to engage with their counterparts in Australia and the US on Canada’s practices.
“We will be exploring what action we might take jointly, in particular with the new administration in the US, against harmful Canadian dairy trade practices,” he said.
The dairy industry action comes as the world braces for potential trade tariffs when President-elect Donald Trump takes office on Monday. Canada is one of the countries singled out by Trump. Meanwhile Canadian Prime Minister Justin Trudeau will step down once his governing Liberal Party has selected a new leader in coming weeks.
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