Pointing to Canada's attempt to manipulate cross-border dairy trade, Trump had threatened on Tuesday to "make some very big changes or we are going to get rid of NAFTA for once and for all", and Micklethwait noted that every Canadian family pays several hundred dollars more for their milk bill per year to protect Canada's dairy industry. The agri-food sector is a fundamental driver of the shared economic prosperity of Ontarians, New Yorkers and Wisconsinites, with more than $28.8 billion exchanged in Ontario-U.S. agri-food trade in 2016 alone. But the letter also pledges to "eliminate all export subsidies on agricultural products", which could be interpreted as a challenge to the pricing regime that underpins Canada's dairy industry.
During his "Buy American, Hire American" speech in Wisconsin last week, President Trump vowed to help the dairy farmers in any way he could - even if it's drastic.
Here's a fun fact: there are more dairy cows in Wisconsin than there are in all of Canada and they're producing far more dairy products than the American market needs.More news: Entire US Senate to go to White House for North Korea briefing
For the past month farm owners have been frantically searching for a solution to stay in business, working alongside the state's Department of Agriculture, trade and Consumer Protection. "We are asking our leaders to continue to push Canada to stick to its commitments under current trade agreements". "Our government supports Canada's supply management system, dairy farmers and the entire dairy industry". We support Mr. Trump and our elected officials in fixing this glaring trade imbalance.
A Dairy Farmers of America spokeswoman did not immediately respond to multiple messages confirming the number of offers made or accepted, or the terms of the offers. The tough talk on dairy is also a sop to key Congressional Democrats such as Senate leader Charles Schumer of NY, who has led the charge against Canadian dairy policies. In some cases, assistance has come from other farmers who know they could face a similar dilemma. Quebec alone is home to almost half of Canada's dairy farms - 5,894 - and pockets almost 40 per cent of dairy revenues. Mr. Schumer said the National Ingredients Strategy in Canada is putting US dairy farmers at a disadvantage.
Another milk plant dropped 14 farmers for reasons unrelated to the Canada trade issue. Our government continues to strongly support the integrity of Canada's supply-management system, both nationally and in Ontario, which has served producers, processors and consumers well for nearly half a century.More news: Trump should stop playing his game of budget brinkmanship
"Processors have told us for quite a while that they want more milk", he said.
Some of the Sauer family's milk had been used for that objective by the processor. USA farmers, meanwhile, are suffering from overproduction and falling global milk prices.More news: Blake Griffin leaves Game 3 with bruised right big toe