OTTAWA -- A new report from the Conference Board argues that Canada is only hurting itself by maintaining high protectionist barriers in its agriculture sector.
The Ottawa-based think-tank says Canada's food industry could be more prosperous and consumers could benefit if tariffs were reduced or eliminated.
It argues protectionism in the food industry is also holding up the broader gains in other sectors from a free trade deal with Europe, as well as Asian countries.
The Conference Board says Canada is one of the few members of the OECD group of industrialized countries that exports considerably more food than it imports.
Yet Canada maintains high tariff barriers on all dairy products, chicken and eggs, as well as on wheat and barley.
The report argues the domestic food industry could serve more emerging economies and Canadian consumers could get a greater variety of food products at lower costs, if the barriers were lowered.
Agriculture is a key sticking point holding up a free trade agreement with the European Union, although sources suggest the impediment involves European barriers to imports of beef and pork from Canada. Canada is believed to have agreed to lower tariffs on European cheese exports if a deal is finalized.
