KandySolomons :
I’ve seen videos and read a lot of comments on the timeline following the newly imposed tariffs on Canada and I just came to the conclusion that these people just do not understand how tariffs work and what they really are. For the Americans, the common phrase you hear is ‘’Oh! Yh! Canada has tariffs imposed on our dairy farmers and production .. so this is justified’’.
Yes, you’re right. It's higher and over 200%... It looks pretty bad on paper, but not all you need to know about those tariffs. Under Canada’s long-standing Supply Management System, Canadian dairy is protected by a two-tiered Tariff-Rate Quota (TRQ) framework: The dairy products are under this framework, and Canada protects its dairy farmers using the in-access-and-out-quota system for tariffs. This means that once a quota of dairy imports from the US is reached, a percentage of tariffs is then slapped on additional imported US dairy. The percentage is over 200%.....I think and it ranges per product type...I think it's 241% on fluid milk, and 245% on cheese and some others...The reason for this is to protect Canadian domestic farmers in dairy production.
But, guess what, there hasn't been a single time that these tariffs have come into effect -- simply because the import quota has never gone above the ceiling so even though on paper there is a tariff of over 200%, no American dairy product has been tariffed by that percentage. Because the US has only, at the most, hit 50% of the allotted quota that Canada has allowed them to sell in the dairy market. One very important thing to note about these quotas is a very common practice in the US that’s not allowed in Canada. The US farmers for the mass production, pump hormones in cows so they can produce milk, and I mean in mass…
The Canadian government frowns upon this and has banned all hormone therapy in cows. As a matter of fact it’s not just Canada, other countries like Australia, New Zealand, and Japan and also the European Union, have banned hormone therapy entirely. Of course, Canada has to do what it has to do to protect its citizens and to safeguard its dairy market so that it is not absorbed by the powerhouse of an industry down south-
2026-07-22 18:37:17