The Grower April 2017

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APRIL 2017

CELEBRATING 138 YEARS AS CANADA’S PREMIER HORTICULTURAL PUBLICATION

THEGROWER.ORG

TRUMP TIMES

Taking stock of the Canadian-American relationship

British Columbia’s blueberry industry is export-dependent, with 60 to 70 per cent of the crop going to the United States. That’s just one example of the highly integrated economies in produce. Based on day-to-day relationships with American customers, Canadian growers are bullish about upcoming NAFTA talks. That’s because the record shows American businesses need Canada’s raw and intermediate products for their processing plants. Canadians are a lot like this Jack Russell terrier, standing on guard, a fearless personality in the face of challenge. Photo courtesy of BC Blueberry Council.

KAREN DAVIDSON It’s time to put aside visceral feelings about the Trump administration and put some stock in facts, where they can be found. If Robert Lighthizier is confirmed as the U.S. trade representative, it would seem that between him and U.S. commerce secretary Wilbur Ross, the U.S. Congress will be notified soon of intentions to renegotiate NAFTA. These announcements could come as soon as April. These newly significant players are not well-known in Canada, however Lighthizier’s approach provides insight: “I try to be friendly in negotiations. I’m not the theatrical type. The art of persuasion is knowing where the leverage is.” In these early months of the Trump government, Canadian growers are bullish about the future of the trading relationship with the United States. The

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balance of produce trade is in favour of the U.S. with $4.5 billion coming north and $2.5 billion going south (Statistics Canada 2015). Here are a few examples that illustrate how integrated the economies are. Trade Starting in British Columbia, the blueberry industry is very export-oriented with 60 to 70 per cent of the fresh crop going to the U.S. “There’s been a lot of media about the new president but I hope it will be business as usual this year,” says Jason Smith, former chair of the BC Blueberry Council. He explains that U.S.-based companies such as Driscoll’s and Naturipe are active in sourcing B.C. berries. Working under the umbrella of the U.S. Highbush Blueberry Council, growers are levied $18 per ton on all blueberries going to the U.S. for marketing campaigns. On the prairies, Manitoba ships 30 per cent of its fresh potato crop to the U.S. says Larry McIntosh,

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president and CEO, Peak of the Market. “Any negative change in NAFTA would be potentially devastating to us. It would be a shame because NAFTA works so well for vegetables.” Canada is a net importer of fresh vegetables which need to move quickly and freely across the border to have value. “If the U.S. tightens up the border, we don’t want trucks sitting at the border for hours,” says McIntosh. “We’re based on just-in-time deliveries.” Ontario is a good example of how produce flows both ways. John Hambly, president of Gwillimdale Farms, is a muck crop grower based in Bradford. He ships two trucks of jumbo carrots per week to Salinas, California in the winter season and the back haul brings salad ingredients to Canada. His American buyers value the consistent quality that Gwillimdale is able to provide to the U.S. foodservice industry.

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Focus: Irrigation and water management Section B


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