The Sprout: Canada meat industry in China to beef up trade

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Happy Hump Day and welcome to The Sprout where, in preparation for American Thanksgiving, it’s National Indian Pudding Day.

Here’s today’s agriculture news.

The Lead

Representatives of the Canadian red meat industry are in China this week.

This mission comes as timely because of the reopening of the Chinese market to Canadian pork and beef, which happened only last week, following a four-month closure.

“During our visit a few weeks back, we heard clearly that we needed to strengthen our relationship with our Chinese customers,” said Rick Bergmann, Canadian Pork Council Chair. “Activities such as this mission will serve to do just that but will also allow us to thank Chinese officials for their trust and confidence in reopening the market for us.”

Ontario Farmer reports.

Around Town

The Government of Canada released a report on the state of Canada’s trade in 2019.

The report describes the events that took place in the global economy and trade in 2018, the main developments in Canada’s economy and those of its most important partner economies and regions. It reports the developments in Canada’s trade in goods and services, as well as flows and stocks of foreign direct investment and Canadian direct investment abroad.

Read the full report here.

In Canada

Canada is working to diversify its canola seed sales amid the ongoing closure of China’s market to its canola exports.

“As an industry we are doing what we can to diversify,” said Brian Innes, the Canola Council of Canada’s vice-president of public affairs. “But we are also keenly aware that we need to do more to diversify at home and abroad. What’s been made clear to us is that we can’t flick a switch at the World Trade Organization and get our export opportunities back tomorrow.”

He said Canada continues to export canola seed to other regions, including Europe, United Arab Emirates, Pakistan and Bangladesh, reported the Manitoba Co-operator.

Prairie farmers are dealing with a wet harvest that is leading to increased fossil fuel use, and the premier of Saskatchewan wants to see the “entire” federal pollution-pricing regime put on hold as a result.

But opinions differ whether his proposed fix is the right one for the people of Saskatchewan, and elsewhere in the Prairies, where heavy rains in September and October meant that grain harvested was moist and will need to be dried out by using natural gas or propane-fired drying machines, according to the National Observer.

On Tuesday, Scott Moe told reporters he had asked Prime Minister Justin Trudeau to “put that entire (carbon-tax) program on pause,” because “there’s some farmers that have some very large carbon-tax bills that are coming on their grain-drying costs.”

Grande Prairie-Mackenzie MP Chris Warkentin says he has met with his colleagues from Alberta to address the growing agricultural crisis.

Farmers across the province have had their harvest cut short due to adverse weather conditions.

In the Peace Country, wet weather and early snow have halted harvest with “significant crop” left in the field. The County of Grande Prairie, Saddle Hills County and Birch Hills County have all declared an agricultural disaster. Earlier this month, the County of Grande Prairie estimated between 40 and 60 per cent of crops remain in county fields with snowfall preventing this figure from improving this season, reported the Daily Herald Tribune.

Internationally

Unprecedented rainfall in October and November could turn India back to relying on imports after prioritizing producing their country’s own pulses self-sufficiently.

A statement from the chair of the Indian Pulses and Grains Association, Zaverchand Bheda, said as much as 50 per cent of the urad pulse crop was damaged due to significant rain in major growing regions, including Madhya Pradesh.

However, it’s unclear to what extent India will turn to other countries to fill their pulse demand, reported the Manitoba Co-operator.

Oil prices fell on Wednesday as prospects for a trade deal between the United States and China faded, weighing on the outlook for the global economy and energy demand. U.S. President Donald Trump said on Tuesday the two countries were close to finalizing a trade deal, but he fell short of providing a date or venue for the signing ceremony, disappointing investors.

The Secretary General of the Organization of the Petroleum Exporting Countries, Mohammad Barkindo, said he was still confident the United States and China would reach a trade deal.

“It will almost remove that dark cloud that had engulfed the global economy,” he said, according to The Guardian.