POLICY MANUAL Winter 2018 Issue 1

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1 POLICY MANUAL Winter 2018 Issue Laurier W. Suite 930 Ottawa Ontario K1P 5Z info@cmc-cvc.com

2 This document outlines policies adopted by the Board of Directors of the CMC and directives given to CMC staff members. It is provided as a reference to facilitate consistent communication by CMC members within and outside of the organization. The date after the title indicates when the policy or directive was approved. The far-right column indicates when a review of the item would normally occur. This document is also available on-line at in the members-only portion of the CMC website. Updated printed versions are mailed to member of the Board of Directors and made available to CMC members and Associate Members upon request.

3 TABLE OF CONTENTS Page Animal Welfare 1 Committees Beef and Veal 2 Pork 4 Technical 5 Prepared Meats 7 Domestic Ag Policy 7 Environment/Sustainability 8 Food Safety 8 Special Initiatives Meat Communications Campaign 8 Access to Labour 8 Trade Agreements NAFTA Modernization 9 TPP-11/Japan 10 China 11 Pacific Alliance 12 Mercosur 12 ASEAN 13 CETA 13

4 ANIMAL WELFARE NFACC Dec Annual CFIA Gazette Part I consultations on proposed amendments to the Health of Animals Regulations regarding humane transportation closed on February 15, The National Farm Animal Car Council (NFACC) is the national lead for codes of practice development and farm animal care in Canada and is working on updating the transport Code of Practice. That animal welfare is a CMC priority and is not a subject of competitiveness. That the CMC continue to proactively support implementation of codes of practice and monitoring and audit processes for transport and slaughter. NFACC Dec Staff Directive That the VP, Market Access and Technical Affairs actively engage to advance packer interests on the NFACC Board. 1

5 BEEF AND VEAL COMMITTEE Canadian Beta Dec Staff Directive Agonist-Free Program That the Canada Beta-Agonist-Free Program be reviewed annually. Value Chain Forums Dec Staff Directive That the Director of Beef and Veal actively engage in the following to advance packer interests: Canadian Roundtable for Sustainable Beef, Beef Value Chain Roundtable, Canadian Beef Advisor s Forum (includes National Beef Strategy and Canadian Beef Industry Conference), the Canadian Cattle Identification Agency and the Canadian Beef Grading Agency. That BVC members participate as Directors in the following forums to advance packer interests: Canadian Cattle Identification Agency, Canadian Beef Grading Agency and the Canada Beef Checkoff Agency. 2

6 Market Access Dec Staff Directive Funding That Government of Canada funding be obtained for industry activities to gain and maintain commercially-viable access to the EU and other markets of interest. Traceability Dec Quarterly That the new Traceability regulations promulgated distribute costs fairly throughout the supply chain. BSE Feed Ban Review That an Industry-Government review take place in preparation for OIE recognition of Canada as a BSE negligible risk country, with a view to harmonizing the listing of SRMs that must be destroyed to increase Canadian competitiveness viz a viz U.S. competitors in our integrated market. Market Access China: That access be negotiated for the same product coverage the U.S. achieved (bone-in, chilled, offal) including full systems approval for eligibility of establishments export. 3

7 U.S.: That meat exports for cooking and other uses destined for lethal treatment should not be subject to microbial testing at the border. GCC: That a commercially-viable approach to the proposed new halal-fed animal attestation be negotiated with halal-certifiers. Indonesia: That Canada negotiate restored access for SRM-removed MBM. Canadian Ractopamine Free Pork Program PORK COMMITTEE Dec Staff Directive That CMC work closely with the CFIA to ensure smooth implementation of changes by January 31, Trichinella Dec Staff Directive That Government of Canada funding be secured to establish a negligible risk compartment to increase our competiveness in the EU and other markets. 4

8 Value Chain Forums Dec Staff Directive That the VP, Market Access and Technical Affairs actively engage in the Pork Value Chain Roundtable to advance packer interests. Container Seals Dec Staff Directive That the CFIA modernize container seals as part of e-certification. Slaughter Modernization Dec Staff Directive That the CMC work with the CFIA to finalize a pilot project as a first step to inform slaughter modernization in all pork plants. TECHNICAL COMMITTEE CFIA Modernization Dec Quarterly That key pillars of modernization under the Safe Food for Canadians Regulations be implemented concurrently to ensure coherence and cost effectiveness. That a more hands-off approach be taken to labelling modernization. That clear guidance for validation studies and results be developed collaboratively with industry. 5

9 Listeria Policy Dec Semi-annually That Canada s listeria policy continue to take its current approach to retaining equivalence recognition by the United States. Codex Alimentarius Dec Staff Directive That revisions to the General Principles of Food Hygiene (HACCP) be sought that advance Canadian packer interests. That Codex standards be formalized for management of E. Coli STEC (non O157: H7). Heathy Eating Dec Quarterly Strategy That any changes to front of package labelling be supported by evidence that demonstrates they will contribute to the desired objectives. That proposed marketing to children be modelled after Quebec s current approach. That revisions to the Canada Food Guide continue to include meat and meat products as a nutritious choice (i.e. as part of a healthy diet). 6

10 Cost Recovery Dec Quarterly That competiveness viz a viz the U.S. be a primary consideration in any changes to CFIA fee schedules. That a Government-Industry Advisory Committee that is co-chaired by the CMC be struck to inform all elements of this initiative. PREPARED MEATS COMMITTEE Alignment Dec Quarterly That CMC continue to advocate for alignment of regulatory requirements with major trading partners (i.e., for cost effectiveness). DOMESTIC AG POLICY AAFC Canadian Ag Dec Quarterly Partnership (CAP) That programming continue to support the food industry, food safety and animal health. That the CMC access CAP funding to leverage spending on market access 7

11 National Food Policy Dec Quarterly That development of a national food policy includes close consultations and active engagement with the CMC and other food industry stakeholders. ENVIRONMENT/SUSTAINABILITY CRSB Dec Quarterly That the CMC actively engage in the Canadian Roundtable for Sustainable Beef. FOOD SAFETY Food Safety Dec Annual That meat and meat product food safety is a CMC priority and is not a subject to competitiveness. SPECIAL INITIATIVES Meat Communications Campaign Dec Annual That CMC actively promote the nutritious/nutrient dense value of meat as part of a healthy diet 8

12 Access to Labour Dec Staff Directive That the CMC actively engage federally and provincially and with other sectors to create and preserve viable pathways to permanency. Trade Agreements NAFTA Dec Quarterly modernization That CMC support the Government of Canada s efforts to modernize the NAFTA. That a termination clause and ineffective formal dispute settlement mechanisms would stifle further investment. That the following be sought in the negotiations: Modern SPS rights and obligations, full U.S./Canada food safety system equivalence recognition + joint food safety risk assessments + increased science / technical / regulatory cooperation. That the CMC supports in principle the creation of a North America Food Safety Authority to increase competitiveness in safeguarding consumers. 9

13 That U.S. re-inspection is redundant and needs to be eliminated. That USDA and CBGA grades be formally recognized as equivalent, allowing beef to be sold in both countries with either label. That access to the U.S. for SRM-removed MBM needs to be restored as it presents even lower risks that imports of Cattle. That the Berry Amendment and the National School Lunch Act s Buy American provisions should be eliminated, allowing Canada to supply U.S. government contracts. TPP-11 / Japan FTA Dec Quarterly Formally known as: Comprehensive and Progressive Trans- Pacific Partnership CPTTP. Japan, Canada, Malaysia, Vietnam, Singapore, Brunei, Australia, New Zealand, Mexico, Chile and Peru. Agreement on core elements reached in Dec in Vietnam on margins of APEC Leaders meeting. Market access provisions remained intact. However, no clear next steps have been outlined. That Canada needs to lead the earliest-possible completion, ratification and implementation of the agreement. 10

14 That our $1.2 billion of sales to Japan (representing 20% of all meat export values (i.e., $6 billion) is jeopardized by Japan s FTAs with other trading partners (Australia, Mexico, Chile and soon the EU). That not preserving the market access provisions further jeopardizes $500 million of additional annual meat exports to Japan ($300 million pork - $200 million beef). China FTA Dec Quarterly Exploratory discussions have concluded. Meat trade opportunities are significant but are tempered by the nature of China s state-run economy; the interplay between trade and China s human rights, environmental and labour rights records; and the inconsistent rule of law in China, especially in relation to the enforcement of intellectual property rights. China is Canada s third -largest export destination for pork (average $300 million) and a promising market for beef (average $77 million). That CMC support initiation of FTA negotiations with China and that preferential, predictable and transparent access to China are our priorities. That in addition to preferential tariff access for fresh and chilled meat and offal that technical 11

15 requirements be agreed to that are commerciallyviable and competitive with other suppliers. Pacific Alliance FTA Dec Quarterly Includes Canada, Chile, Colombia and Mexico. First round of negotiations took place in Oct in Colombia. This could provide preferential access to Mexico if challenges arise in the modernization of NAFTA. That the Pacific Alliance offers an opportunity to modernize and streamline our existing bilateral agreements. That TPP-11, NAFTA and China are higher priorities. MERCOSUR Dec Quarterly Canadian meat trade with Mercosur is already largely unidirectional. From Canada annually exported an average of $1.2 billion of pork to MERCOSUR markets (Argentina, Brazil, Paraguay and Uruguay) and Canada imported an average of $84.2 million of processing beef. That Canada focus on other markets that offer greater export opportunities. That if negotiations are launched, they should be predicated upon tariff-free, quota-free, technicalbarrier free Canadian access for all meat products. 12

16 ASEAN Dec Quarterly The Association of Southeast Asian Nations is a regional intergovernmental organization comprising ten Southeast Asian states that overlaps with TPP-11 (Thailand, Vietnam, Indonesia, Malaysia, Philippines, Singapore, Myanmar (Burma), Cambodia, Laos, Brunei. That Canada focus on other markets that offer greater export opportunities. That if negotiations are launched, they should be predicated upon tariff-free, quota-free, technicalbarrier free Canadian access for all meat products. CETA Dec Quarterly Provisional implementation began in Sept TRQs negotiated include beef and veal 50,000T, bison 3,000T and pork 80,000T pork. These are of value only if agreement is achieved on the technical requirements. That EU approval of the full suite of processing aids is required to make beef access commerciallyviable. That government funding is required to position industry to take full advantage of the quota amounts negotiated. 13

17 NOTES

18 Mission: The Canadian Meat Council advocates for the needs of its members to secure and improve Canada s global meat competitiveness. Vision: Canada is trusted as a world leader in the provision of safe and wholesome meat. Member Services: A growing and sustainable member base fueled by value added activities. Regulatory Context: Internationally competitive regulatory framework enabling and encouraging the Canadian meat industry to continue to achieve the highest levels of food safety. International Trade: Competitive access for Canadian meat within Canada and to every market of export interest in the world. Public Engagement: CMC recognized as a trusted authority on all meat-related issues.