I can tell you what I think, even though I may not be entirely right.
Canada is a net exporting country, which means that it does not operate like the United States or the European Union. Whenever Canada wants to deal with a sector that is protected, these countries go on a frenzy, because there are worried about how that might affect their other commodities, or about retaliation and that type of thing. These mechanisms are good to have, but when the issue is black and white, then we have to know how to take a stand.
It is not the international community that causes us to loose our markets for protein concentrates and butter oil; it is our own Canadian International Trade Tribunal. As is the case with many other similar bodies, the CITT is under review. We have to wake up and take a position on our WTO negotiations. It is undoubtly a tough job to defend supply management at the WTO since it is a unique system. However, the system does work. We are not getting buckets full of cash in subsidies, and the consumers are not paying anymore—in fact they pay less—than the people in Europe and the United States.
Are we going to abandon or allow this successful mechanism to be eroded? That is what Canada has to consider. We have to take a stand and say that it is not negotiable. How do we do that? Well, that is Canada's job.
We know that, unlike Europe and United States, Canada does not have the means to subsidize the dairy and poultry industries. If it were to begin to do so, it is obvious there will be less money for the other industries. The International Dairy Industry is subsidized on a regular basis, and what it produces is constant. It stays in Europe. The European countries are the largest dairy exporters in the world: they export about 15% of their yield so, they can put up with it a lot longer.
In our opinion, it is up to Canada's negotiators to find the tools that they need. We can help them to find these tools and explain what is needed to avoid eroding our markets. Those tools do exist, and the Canadian negotiators must simply be open minded enough to explore the possibilities. It can be done.