Food and Farm-Milk Dispute story

Dairy cows wait to be milked at a farm in Granby Quebec

"The facts do not bear this out", the letter began.

The specific program in question is the National Ingredients Strategy, a type of pricing program that gives incentives for Canadian dairy processors that steer them away from purchasing US dairy products.

The U.S. president's surprise decision to call out Canada by name Tuesday put dairy farmers north of the border on notice that they are in America's fair-trade sights.

And unfortunately, this will endure until the end of his reign at the White House and thus undermine this trade treaty which since 1994 brought Canada, the United States and Mexico together in a vast free trade area.

The claims echo sentiments Mr Trump expressed this week in Wisconsin, addressing employees of Snap-on Tools at a signing for the "Buy American and Hire American" Executive order. Trump made it obvious his complaints from earlier this week in Wisconsin were specifically about recent rule changes on milk classification, not on the longer-term issue of Canada's supply-management system.

Trump was echoing and amplifying the complaints of Wisconsin and NY governors, who say Canada's decision to create a new lower-priced, classification of milk product has frozen US producers out of the Canadian market.

MacNaughton said his intent with the letter was to correct the record following a letter critical of Canada's supply-management dairy system from the governors of Wisconsin and NY.

Despite Trump's promises to find a "solution" to the dispute, Stephenson said dairy farmers aren't holding their breath.

U.S. President Donald Trump directly attacked Canada yesterday specifically taking aim at the dairy industry's supply-management system.

"Any increase of trade barriers between our countries would significantly impact jobs in the United States, as well as in Canada", she said.

However, unlike Tuesday's comments in Wisconsin, Trump broadened his focus to include other Canadian commodities.

"We're not going to overreact", Trudeau said.

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Canada is not the problem.

American groups say that agreement means USA exports of these high-protein milk products are being elbowed out of the Canadian market for a domestic supply, costing U.S. farm jobs.

Minnesota Gov. Mark Dayton wrote to President Donald Trump last week urging him to uphold free trade.

President Donald Trump dove straight into a trade fight with Canada, promising US dairy farmers his administration would intervene to restore exports of American milk.

The work would start immediately, he added.

Heritage Minister Melanie Joly, speaking to CTV, said about the dispute that "any form of restriction (on) trade will hurt workers on both sides of the border".

"We're concerned but we're going to keep on farming and we feeling like we're doing the right thing" added Gourlay.

But they do represent a marked departure from Trump's warm words for Canada after he met with Prime Minister Justin Trudeau in Washington only two months ago. And that means it will likely be on the table of any future NAFTA renegotiation.

"The whole thing is ridiculous".

And he did not need more to say that NAFTA was "a complete disaster" for the United States.

Luis Ribera, an agriculture economics expert at Texas A&M University, said that while the ultra-filtered milk issue may technically fall outside the scope of NAFTA, it is a sign of USA anger towards Canada's supply management system.

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