Mr. Speaker, I would like to thank the hon. member for Cypress Hills—Grasslands for raising this important question. I understand the decision to withdraw WTO benefits for Russia and Belarus was taken in the context of pre-existing challenges for the agricultural sector in Canada this spring season. However, I would like to remind the hon. member that the government adopted this trade measure as part of a broad and comprehensive set of sanctions in concert with like-minded global partners to ensure that countries that seriously threaten and breach the rules-based international order cannot benefit from it.
Russia's actions, facilitated by Belarus, blatantly violate international law and pose a dire threat to international peace and security. Canada will continue to hold the Russian regime accountable for its attack on the democracy and independence of Ukraine as we stand together with its people.
As members know, we announced on March 3 that Russia and Belarus's entitlement to WTO tariff treatment had been removed under the Customs Tariff, resulting in a 35% tariff right applicable to virtually all imports from these countries. However, the order also ensured that goods that were already in transit to Canada on or before March 2 could still benefit from WTO tariff treatment.
I would also like to remind the hon. member that customs duties and taxes are paid by importers based on the time of importation of goods and not the date when they are purchased, so it is also important to understand that the 35% tariff for Russian fertilizer is not imposed on farmers, but is paid by importers. In this instance, some importers maintained their purchases from Russia, even after the measure was implemented, while others decided to make other sourcing arrangements. As a result, providing relief from the tariff to importers who maintained their purchases from Russia would be inequitable to those importers who changed their sourcing away from Russia, often incurring greater costs. It would also not translate into reduced costs for many farmers.
I can also confirm that in order to preserve the integrity of Canada's Ukraine response measures, the government will not be granting tariff relief for any Russian goods affected by the withdrawal of WTO tariff preferences, including fertilizers. Government officials have already communicated this information to industry stakeholders so that Canadian businesses can take steps to diversify their supply chains away from Russia in the near term.
Also, I would like to note that in recognition of the challenges facing the sector, Agriculture and Agri-Food Canada has amended its advance payments program with a federal loan program guarantee that provides agricultural producers with easy access to low-interest cash advances. Instead of receiving advances in two instalments, producers are now eligible to receive their full 2022 advance immediately when they apply.