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Canada Ratifies the USMCA

On March 13, Canada ratified the U.S.-Mexico-Canada Agreement (USMCA) trade agreement. Mexico ratified the agreement in June 2019, and the U.S. ratified the deal on January 29.

Negotiations between the three trade partners on the agreement - designed to replace the North American Free Trade Agreement (NAFTA) - were concluded in September 2018.

Through this process, the agreement states that all agricultural products that had zero tariffs under NAFTA will continue as such, and it expands trade access for the U.S. to the countries that are its first and second largest trade partners, with export markets for food and agricultural products totaling more than $39.7 billion in 2018.

The U.S. Grains Council (USGC) has voiced its approval of Canada’s ratification, and of the agreement itself, which is expected to continue the successes the U.S. grain industry has experienced under NAFTA. Furthermore, Darren Armstrong, chairman of the USMC, is optimistic about bringing Mexican grain buyers to the U.S., and strengthening the relationships with Canada and Mexico.

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