Climate change and Free trade

[grassfarmer]

Here is something for Canadian producers to think about given how much they rely on exports. Regardless of your beliefs about climate change I think this highlights how your business may be affected given that we trade within a global community now.

From the Scottish Farmer:

"ANY international trade deal that adds 'food miles' to the diet of European consumers will be wide open to legal challenge, according to Farmers For Action.

Writing to EU Commission president Jean Claude Juncker, the FFA warned that the mooted Mercosur deal with South America was one that the EU could not legally justify to the people of Europe, because hauling extra tonnages of food from halfway around the world was a clear breach of fossil fuel reduction targets.

FFA's UK and Northern Ireland spokesman William Taylor said: "The proposed increase of importing food produce to the EU from Mercosur countries, when it is already self sufficient, or in surplus, solely for food corporate profit can no longer be justified.

"According to the EU's climate change policy, free trade with the EU from here forward can only be 'climate change sensitive free trade'," argued Mr Taylor. "We therefore make it clear to the Commission, that if this modification in connection with the Mercosur and future world trade deals is not implemented then it will meet with whatever challenges are necessary on behalf of the EU's farming families and the people of Europe to hold the European Union to its treaties, laws, policies and responsibilities to the people.

"How can importing beef or any other food produce purely for profit by food corporates from thousands of miles away be justified when the EU is already self sufficient in that produce or can top up from their nearest neighbours?" he asked.

"If the EU ignores this warning and proceeds with Mercosur as it stands, how will it justify the climate change levy on energy, while Mercosur and other proposed world trade deals make a mockery of the justification for the levy?

"And finally, does the Commission have enough spare money to pay compensation to Europe's farmers in 28 members states later if found guilty of climate change breaches? EU beef prices are already falling across Europe in anticipation of the Mercosur deal."

[sumdumguy]

This climate change hoax has gone way too far. Carbon, hydrogen and sunlight are responsible for photosynthesis and therefore all green growth producing oxygen and food. Every kook who can make a buck from this fallicy is jumping on the band wagon. The climate is in continuous flux and will continue to change every day no matter what we do. Has never been aby different.

[tmyrfield]

Both are myths perpetrated on the masses by those in power.

[grassfarmer]

Without derailing this thread into which opinion is most kook on the climate change debate how are the issues highlighted in this article going to affect farmers in Canada and elsewhere with regard to marketing their produce?
I'm reminded of the hormone implanted beef issue where Europe has been steadfast in its refusal to allow its importation. Feedlots here can huff and puff all they want but you are not going to change the marketplace. I suspect this may be the same.

[rockpile]

Whether man made climate change is real or a hoax, I don't know. And the internet is not the best source for knowledge as you can find compelling arguments on both points of view. But many parts of the world do have serious pollution problems - a whole different issue. My point is has no one looked at these carbon levies and seen them as nothing more than a tax on the air we breath?

[fjlip]

Just like shipping ALL our fish to China, process/wrap and ship back to our stores. Dumb as shit.
Must be billions$$ made by some corps. Nothing dumber than trucking our grain when we had 1200 elevators and all the tracks in place. Talk about wasting fuel/highways/rural population.
But sure made a market for worn out semi tractors, and trailer manufacturers.

[Hopalong]

Farmers For Action sounds like some of our own left wing action groups, especially part about anti-corporate profit agenda.
Our civilization is based on trade and specialization in what we each do.
Doubt we are going back to primative life style unless forced to.

[sumdumguy]

Ain't that the truth fjlip! Indemic of governments that don't govern - all they know how to do is tax us. That should have been legislated illegal b/c it was treason against the West.

This week on Albert South in Regina 4 cop cars - yep 4 with a speed trap, cop runs out in front of my vehicle with his little radar gun-very dangerous manouever. And what a waste of resources. He was lucky he wasn't running out in front of a drunk idiot driver.

[farmaholic]

It's hard to argue with the theory but:

There's always the option of becoming self sufficient if you don't like the way your food is grown or how far it had to travel to reach you!

The less of an issue food security is the farther from reality they think. Go a head enact laws but when the cupboards are bare I'm sure it wouldn't matter if it was transported around the world twice before it reached it's destination....

Hunger will make people do some strange things....

[Hamloc]

Grassfarmer, I am assuming that you are pointing out that the export nature of Canadian agriculture could be at peril due to the GHG created in transportation. I think first and foremost is the challenge of reducing each of our personal emissions by 30% which is what would be required if we are to meet the restrictions layed out by Cop21. In my case I have a cow calf operation. Will research create a feeding regime that reduces their emissions by 30%? On the grain side can I raise the same amount of product while creating 30% less GHG's? I heard an interesting comment yesterday, the enviromental movement is really trying to lower our standards of living enough that we will then accept any potential solution no matter how unrealistic it is. Unfortunately more questions than answers lol.

[newguy]

As an exporting country sometimes our customers can control us.And if that is what it takes to make a deal so be it.Like anything learn to pick your fights.

[chuckChuck]

Most of the ten last years of relative prosperity in the grain industry were largely the result of ethanol and bio-diesel subsidies and incentives in the good old USA which in effect were also subsidies to farmers there and here. Farmers essentially benefited from state intervention in the grain and energy markets. Farmers benefited from increased prices that drove up the cost of food for everyone. It's funny how otherwise free market supporting farmers think subsidies to famers are okay.

[Hamloc]

The U.S. ended direct subsidies to ethanol in 2011. That certainly doesn't make the subsidies prior to that any better. I think Government certainly pick and choose industries they wish to support and expand. It is no different than the push to support green energy, something you support Chuck2. When a government chooses to subsidize a industry we all pay one way or another. I think the increased demand for corn undoubtably created a better market for grains. Will governments investment in green energy create the same economic returns?

[checking]

chuckchuck.

There is something quoted about throwing stones.

Is your kettle not a little black?

[chuckChuck]

http://www.ourenergypolicy.org/wp-content/uploads/2013/07/The-Effect-oftheUS-Ethanol-Mandate-on-Corn-Prices-.pdf


The
Effect
of
the
US
Ethanol
Mandate
on
Corn
Prices
Colin
Carter
Department
of
Agricultural
and
Resource
Economics
UC
Davis
Ph:
530
‐
752
‐
6054
Email:
cacarter@ucdavis.edu
Gordon
Rausser
Department
of
Agricultural
and
Resource
Economics
UC
Berkeley
Ph:
510
‐
643
‐
9942
Email:
rausser@berkeley.edu
Aaron
Smith
*
Department
of
Agricultural
and
Resource
Economics
UC
Davis
Ph:
530
‐
752
‐
2138
Email:
adsmith@ucdavis.edu