Good morning, Mr. Chairman, and good morning, members of the committee.
My name is Gilles Gauthier, and I am Canada's chief agriculture negotiator and director general for negotiations and multilateral trade policy at Agriculture and Agri-Food Canada.
I'd like to thank the committee for this opportunity to brief you on the discussion in the World Trade Organization, the WTO agriculture negotiations, and Canada's defence of issues important to supply management in those negotiations.
Let me begin by noting the importance of the WTO to Canada's agriculture as a whole. Canada is a major participant in global agricultural trade. In 2008, as the fourth largest exporter, Canada exported $38.7 billion of agriculture and agrifood products, for grains, oilseeds, and red meat exports account for more than 50% of domestic production. Roughly half of our exports go to the U.S. and half to the rest of the world.
Therefore, there is no doubt that Canada has a major stake in a well-functioning WTO system. The Doha negotiations provide a unique opportunity to foster Canada's agricultural trade interests via the elimination of all forms of export subsidies; the substantial reduction and strengthening of disciplines on trade-distorting domestic support measures; and significant improvements to market access for our exporters.
At the same time, Canada is determined to defend the interests that are important to our supply managed industries. Today, you have asked to hear specifically about the efforts Canada is making in this area of the negotiations.
The issues that are of greatest interest to Canada's supply-managed industries—our egg, poultry and dairy producers—relate to the agriculture negotiations on market access. In this regard, Canada has taken a very strong position in the negotiations, by opposing any tariff reductions or tariff quota expansion for our supply-managed products.
This position is stronger than that of any other WTO members. For that reason, we can expect to continue to face pressure in this area, both from developed countries because they have accepted to make a concession here, and from developing countries because they view these types of exceptions as inconsistent with the development objectives of the Round.
However, we remain firm in maintaining our negotiating position, both in bilateral meetings with other WTO members and in the multilateral context.
Since I have been in this job, that is for the past few months, I have also made Canada's position on the proposals in the December 2008 text clear to the new chair of the WTO agriculture negotiations, Ambassador David Walker from New Zealand, who was appointed last spring.
Here at home, we are also continuing to consult very closely with our supply-managed industries to ensure that they are well informed about development and that they have every opportunity to advise and to assist the government with respect to advancing Canada's negotiating position, and defending their interests, in Geneva.
I would now be pleased to take your questions.
Thank you, Mr. Chairman.