SaskOilseeds welcomes massive cut to Chinese canola tariffs

SaskOilseeds calls the announcement after the prime minister’s visit to Beijing positive

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Tariffs for canola seed are to drop to a combined rate of about 15 per cent from the current combined rate of 84 per cent. Photo: Greg Berg

REGINA — SaskOilseeds says farmers are relieved tariff reductions on canola seed are coming by March 1.

The organization said the announcement after the prime minister’s visit to Beijing is positive.

“SaskOilseeds applauds government efforts at all levels showing leadership on this file. We support free, open trade for canola,” it said.

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Producer groups across Canada expressed a mix of relief and cautious optimism following the news that Canada had struck a deal with China to lower tariffs on canola, peas and other goods, in return for relaxing duties on Chinese electric vehicles.

The tariffs for canola seed are to drop to a combined rate of about 15 per cent. Right now, the combined rate is 84 per cent.

Canada ships about $4 billion worth of seed to China each year.

The agreement also means canola meal, lobster, peas and crab will not face anti-discrimination tariffs after March 1.

Canada also expects China will accelerate the resumption of exports of Canadian beef, pet food, animal genetics and other products, according to the federal government.

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