Quote:
Originally Posted by kwoldtimer
I thought I heard yesterday that a draft text of the TPP should be available in the next week or so (that might not happen if the parties have agreed not to release the draft until it's available in all languages). Initial reports seem to indicate that the "unpalatable" bits relating to supply management and the automotive sector may not be as bad as some had feared.
|
From what I've heard, the agreement allows something like 3.25% foreign access to Canadian dairy markets. Dairy producers are effectively unable to export under the supply management system, which means the size of the Canadian dairy sector will have to shrink by the same amount. Most comments I've read from dairy producers suggest that the reduction is disappointing, but certainly nowhere near the death blow to the industry that people had been crying wolf about.
The whole thing is ridiculous really. Lobbying to keep supply management by the dairy industry is nothing more than rent-seeking at the expense of consumers. Supposedly, the average Canadian family pays $300 a year more than they would without supply management. The entire debate comes down to whether you believe subsidizing dairy farmers (who quite often have incomes in the 6 figure range) to the tune of $300 per year is worth it.
I don't believe in giving certain industries special treatment. Either all agriculture in Canada should fall under supply management (which is ridiculous as it sounds), or none of it should. Beef and pork producers do just fine in Canada (they are significant exporters) without supply management. The whole system is a relic, and the only reason it still exists is because Quebec has a rather large number of seats in parliament and a very vocal dairy industry.
If people want local dairy products they can choose to buy them. Consumers should be able to make that choice for themselves.
I could really care less about the auto sector concessions. Regardless of what the government does, that industry is on the decline in Canada. The idea that it's "better" to have cars made in Canada giving jobs to Canadians is nothing more than economic nationalism. What about Mexican jobs? American jobs? Japanese jobs? Canadian jobs aren't inherently any better than jobs in other countries.
I'd rather save a few grand by having a car made somewhere cheaper and spend the extra money on other things, rather than pay more just to have it made in Canada. Offshoring manufacturing just means people can buy more goods and services for the same price. Even the most left wing economists (Paul Krugman types) would tell you that producing goods where it is cheapest is beneficial.
Prev
Linear Mode
