Sask. canola, beef producers welcome TPP agreement

Several agricultural sectors in Saskatchewan are happy with the new Trans-Pacific Partnership agreement.

"To get it over the line is a big deal," Ryder Lee,CEO of the SaskatchewanCattlemen's Association said."It's a relief almost I'd say."

The deal involves 12 countries and would become thelargest-ever regional trading bloc.

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"The cornerstone of it is access to Japan," Lee said.

Right now he said Canada pays a 38.5 per cent tariff for beef exports to Japan, butAustralia already has a free trade agreement. He said the deal will mean an even playing field withAustralian, the U.S., New Zealand and Mexico.

"If we weren't in, we'd basically lose this market to them," Lee said.

Dale Leftwich, chair of SaskCanola, is also singing the praises of the deal.

"It's going to have a tremendous impact over time," Leftwich said.

Saskatchewan grows almost half of the canola grown in Canada, he noted.

Having more access to markets inJapan, Malaysia and Vietnam is what canola producers were hoping for.

"Canola has been at a disadvantage when compared to soya products," Leftwich said. "What happens is that those products go into the Japanese market in particular at a lower tariff rate than what canola does. So the elimination of those tariffs over five years will put us on an equal footing and will really help us out."

After five years, he expects Canada to be exporting an extra $780 million annually.

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Jeremy Harrison, Saskatchewan's trade minister,also said the province is going to see an increase in exports frommanufacturingand forestry.

"It's very, very good news for Saskatchewan," Harrison said.

However, supply managed industries are concerned about how the deal will affect their industries.

Along with eggs and dairy, poultry is a supply-managed industry.Ottawa is promising billions in compensation if the deal lowers profits.Chicken producers in Saskatchewan said no one has showed them the fine print at this point.