Canadian dairy farmers should not worry about a deregulated open market that could come with a new Trans-Pacific Partnership because of an increasing demand for higher end products, according to the dairy head in New Zealand.
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Details of the TPP released Monday gave "limited market access in each sector" including 3.25 per cent of annual production going to foreign dairy products entering Canada.
Andrew Hoggard, the National Dairy Chair for Federated Farmers of New Zealand, told CBC Radio's Ottawa Morning on Monday dairy farmers in New Zealand have dealt with that type of competition by being innovative and efficient.
"If you were good at the job, you got to move ahead, and the industry prospered," he said about the last three decades of deregulated trade of dairy products.
Canadian dairy farmers are worried the TPP deal will open the market to American dairy, which will close family farms across the country as more U.S. products arrive.
"Some family-run farms will probably go out of business, but some family-run farms will seize that opportunity and become bigger and better." - Andrew Hoggard, NZ dairy head
Hoggard argued there's a high demand for quality.
"The Americans should worry more about Canada, to be honest. The world has an increasing demand for dairy products," he said.
"Some family-run farms will probably go out of business, but some family-run farms will seize that opportunity and become bigger and better."
The New Zealand farmer believes genetic modification and hormones will bring U.S. farms down and boost Canadian dairy products.
"I don't think there's too much to be afraid of. I think if you're a good farmer, you will survive," Hoggard said.
You can listen to the entire interview with Robyn Bresnahan, host of Ottawa Morning, in the link below.