International Trade committee  The point we are trying to make is that the impact will be felt by both primary producers and cheese producers. Imported cheeses will directly compete with the cheeses produced by Canadian cheese makers. We expect fine cheeses to be competing directly with Canada’s fine products,

International Trade committee  We are responsible for generic promotion in Canada, meaning not only the promotion of milk, but also the promotion of dairy products, such as cheese, yogurt and butter. So the investments made by producers also benefit Canadian cheese makers.

International Trade committee  Yes.

International Trade committee  We are dealing with technical obstacles in exporting the products, as I tried to demonstrate. Right now, under the constraints of the existing system, Canadian cheeses produced with milk at a lower price than the price on the domestic market will be considered subsidized under th

International Trade committee  Yes, it is minimal. We are talking about less than 1,000 tonnes a year right now.

International Trade committee  One of the tables in our presentation clearly showed that the price paid at the farm is significantly higher in Canada than it is in the European Union. In addition, the price is free from all subsidies.

International Trade committee  Among other things, it is because of the price paid at the farm, but also because of the processing margins that are twice as high as they are in Europe, based on the information I have. It is not only at the primary production stage, but also at the processing stage.

International Trade committee  I don't have the exact numbers.

International Trade committee  I'll defer on that one to Mr. Versteeg.

International Trade committee  That's exactly how we are perceiving it. We are one of the very few losers in this agreement.

International Trade committee  That is exactly what we've tried to point out in this presentation. We are losing. We are losing future growth in which we have heavily invested over the past 15, 20, 30 years. That growth did not occur just like that; it's the result of the investment that farmers have put into

International Trade committee  This is what we are losing.

International Trade committee  No. That's an interesting point. When the negotiations started, it was done on the basis that there would be no exceptions a priori. However, one important element that was not added to the negotiating agenda was domestic support to the common agricultural policy that's in use in

International Trade committee  That is correct.

International Trade committee  Thank you, Ron. Mr. Chairman, members of the committee, Dairy Farmers of Canada is in fact pleased to appear before this committee to present our views with respect to the CETA deal. As you may be aware, Dairy Farmers of Canada is the national lobby, policy, and promotion organ