BEIJING – Prime Minister Justin Trudeau says existing dockage rules with China on canola exports have been extended beyond a Sept. 1 deadline as the two countries continue to negotiate a long-term solution.
The two countries disagree on the level of “dockage” — foreign material such as weeds, other crops and detritus — that should be considered acceptable in Canada’s canola exports to China.
The Chinese government had given Canada until Thursday to cut the level of foreign material in its deliveries by more than half.
Trudeau made the announcement about the extension in Beijing, where the canola dispute was expected to dominate the trade agenda during his high-level meetings and the G20, which gets underway later this week.
Government negotiators in China said Tuesday they were working hard to resolve the dispute involving billions of dollars worth of canola shipments.
International Trade Minister Chrystia Freeland previously said the issue was of “absolute importance” to the Canada-Chinese trade relationship.
“As everyone knows, this was something that was a very difficult issue for our canola growers, for our canola exporters and we were very, very pleased to be able to achieve today, and hear directly from the Chinese premier, that Canadian canola shipments can continue tomorrow, Sept. 1 and onwards, under current terms,” Freeland said Wednesday after the extension was announced.
READ MORE: Trudeau opens Canada’s door wider to China and exploratory talks on free trade
She said the two sides have also agreed to work towards a long-term agreement on rules for Canadian canola shipments. Freeland added that Canada hopes to achieve this in the coming days and weeks.
China’s ambassador to Canada, Luo Zhaohui, has stated that Canada has been inflexible and unfair in its approach to talks that began about seven years ago over Chinese concerns about rules for the make-up of canola shipments.
Luo said China buys 87 per cent of its canola from Canada because of its good quality and production. But he warned China can always look elsewhere for the product, if necessary.