PFAC RegReport FallVol12 No2
Fall, 2020, Vol 12 Issue 2 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA C A F P This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the m...
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Fall, 2020, Vol 12 Issue 2 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA C A F P This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447- 9970 • Email: petfood@pfac.com • www.pfac.com Is 2020 over yet ? I think whoever came up with the phrase, ‘hindsight is 2020’, they must have be en a time travelle r, subtly warning us of what this year would bring. Fortunately, the pet food industry was able to continue to work, with our supply chain from ingredient supply to retail outlets considered essential in most parts of the world, and able to forge on. It certainly was not how I expected the year to go. Every February, the PFAC Board gets together for a planning session, which was actually our last in-person meeting before the pandemic really got started. At that time, there were hints of minor disruptions in China, and we monitored how that could impact the sector, but I don’t know if anyone would have predicted the scale of the pandemic and its impact on global society as a whole. We had an ambitious plan for the year, and while disrupted, we ended up achieving a great deal. It was also definitely not how I expected to start my tenure as Executive Director, in a global pandemic, with one of our largest export markets temporarily suspending PFAC members and managing canceled events and upended plans. We’ve persevered however, and while many of the same issues remain, we’ve learned to live with it all and maintain the strength of the industry. PFAC is closing out the year with its first successful virtual conference, some aspects of which could carry forward to future in-person events. As an association, we are also in a strong position financially, with a strong, growing membership, and more fortunate than many not-for-profit organizations who rely heavily on event revenues. The future, while still very much unknown at this point, remains bright for the pet food industry, and PFAC. A lot happened in 2020 for PFAC. Marty Wilder retired after 24 years of service to the industry, after making a significant impact on Cana dian, North American, and global pet food. She will be missed, but her legacy will be long lasting and has set the foundation for PFAC to continue to grow and represent its members from a position of strength. MESSAGE FROM THE EXECTUTIVE D IRECTOR Page 2 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com MESSAGE FROM THE EXECUTIVE DIRECTOR (continued) We hired a Member Services coordinator in May, Darcy, who has been incredible in supporting our members, with member renewals, events, and will continue to grow into more responsi bility as time goes on. Apart from support, Darcy is also responsible for continuing to grow value for our members. One initiative that we will launch in the new year is profiling 1-2 associate members per month. This will include a profile and important information about each supplier member that will be sent out to all PFAC manufacturing members. In this way, our associate members can highlight their products and services, and our manufacturing members can get to know them better, understand what they can offer, and bui ld a set of contacts – even if you already do business with each other. We wi ll continue to build a mechanism to include more members in the process of our Regulatory Affairs Advisory Working Group (RAAWG), to gain insight on any issues or challenges you may have, but also a way to provide feedback into the group, so a broader section of the membership is able to have a say. We’ve been piloting some of these tools within the RAAWG and will roll them out in the new year to all members. Finally, I would like to personally thank the PFAC Board and all members for having the confidence in me to take on the role of Executive Director. I can honestly say that this is the best job I have had, and the support of the whole sector has been appreciated as I continue to learn more about the i ndustry each day. I look forward to continuing to support your businesses and the industry as a whole, and want to let you know that I am always available for any questions or challenges you may have, and wi ll do what I can to assist you. Kind Regards, Chris Nash Executive Director cnash@pfac.com 613-797-5578 Fall, 2020, Vol 13, Issue 2 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com REGULATORY A FFAIRS A DVISORY W ORKING GROUP ( RAAW G) The RAAWG is a group of volunteers who are appointed for a one-year term to help provide detailed analysis of the regulatory issues we work on. The group is active and there is an expectation that a volunteer will have the time to commit to review and comment as requested. There was a strategic re-focusing of this group for 2020, with some new members appointed, a formalized terms of reference, as well as objectives created. This information will all be transparent and shared, along with RAAWG agendas, minutes and some meeting materials through a mechanism under development. This includes a regulatory issues form and tracking sheet, as well as a way for gathering feedback and providing meeting materials will be developed. There will be spots opening up for this group at the end of the year, so if interested in participating plea se contact Chris Nash. The Board will decide on the group at its February 2021 planning session. The RAAWG for 2020 is made up of the following people: Chris Nash Melanie Sippel Laurie Ross Janice Baker Mary Ann Zamora Grepe Sean McNear Daisy Yandoma Robin Relyea PFAC Trouw Nutrition Canada MARS Nestle Purina Canada Elmira Pet Products Blue Buffalo Boreal Pet Food R.C. Hagen Fall, 2020, Vol 13, Issue 2 Page 3 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com RAWWG OBJECTIVES 2020 - 2021 These will be made available in more detail and will be ongoing until completed, assessed on an annual basis. Not currently in any order of priority. 1.Issue monitoring and signaling a.Member reporting of issues b.PFAC Tracking of issues and updates on status 2.Communication and Engagement a.I ncreased member engagement and feedback/communication b.Regulatory discussion forum c.Transparency for RAAWG materials and activities 3.BSE Status a.Support work of CFIA led BSE working group b.Work with CFIA to understand import policies, export changes as B SE status changes to negligible risk 4.Domestic Substance List a.Support the work of PFAC on the DSL project b.Facilitate information collection on substances 5.Change Control and Consultation a .Work towards improving relationship with CFIA to ensure proper consultation and notice for any changes REGULATORY A FFAIRS A DVISORY W ORKING GROUP (RAAWG) (continued) Fall, 2020, Vol 13, Issue 2 Page 4 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com The CAWG is a group of volunteers who are appointed for a one or two-year term to help provide detailed analysis of the regulatory issues we work on. The group is active and there is an expectation that a volunteer will have the time to commit to review and comment as requested. The CAWG for 2020 is made up of the following people: Chris Nash Chelsey Robinson/Wendy Vlieks Dina Dashti Jeffrey Park Rob Nixon Yvonne Hsu PFAC Nestle Purina Petcare Smucker Foods of Canada AFB Royal Canin/Mars Hill’s Pet Nutrition COMMUNICATIONS ADVISORY WORKING GROUP (CAWG) CAWG Objectives 2020 - 2021 These will be made available in more detail and will be ongoing until completed, assessed on an annual basis. Not currently in any order of priority 1.Develop a Crisis Communications Plan/Strategy a. A process for PFAC to take during a crisis in terms of communications and key messages 2.Develop a set of key messages on identified key topics a. Once final, this can be shared with all members to use if they see fit in various communications 3.Review website content and update, build content in certain areas Fall, 2020, Vol 13, Issue 2 Page 5 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com COVID-19 NEWS At the time of writing, in Canada, and in many parts of the world, we are experiencing a second wave of COVID. While this is still disruptive to many, the pet food sector will continue to operate. The good news is that while cases are climbing, it appears that there are less hospitalizations, less people on ventilators, and less deaths during this round. The Canadian government has transitioned from COVID support systems to recovery, and while many of the financial supports available are essentially the same, the government is investing in various projects to try to jump start the economy. One area that could impact the pet food industry is the Canadian infrastructure bank’s growth plan, with $1.5 billion earmarked for growth in agricultural infrastructure: At this stage for PFAC, we will continue to monitor the situation, and act if necessary. As always, if any members are encountering challenges related to COVID-19, please let us know if we can help in any way. Fall, 2020, Vol 13, Issue 2 Page 6 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com DIALOGUE MEETINGS 2020 While we couldn’t meet in person in Ottawa this year, we were able to throw together a 2-part webinar series that incl uded most of the same speakers we hoped would be there in Ottawa. Webinar 1 included updates from the CFIA on import and exports, as well as some upcoming work. We also heard from Environment and Climate Change Canada on the Domestic Substance List. For webinar 2, we welcomed speakers from Global Affairs Canada, outlining how the trade commission can help exporters in development of markets or improving access. We also heard an update from our friend Peter Tabor from PFI. 2021 At this time, it is uncertain if we will be able to hold a Dialogue meeting in person, but we will certainly let you know. Hotel space is being held, with enough room to consider provincial requirements, and a decision will likely be made in February on whether to proceed, or we may move ahead with a virtual option instead. If this is the case, we would likel y use the same platform we did for the conference, but we could create something interesting whereby we could have different streams, or one on one meetings with CFIA, or something else. There will be something in May, but its too early to tell what it wil l look like. Save the date for May 11-12 anyway, whether you’ll be travelling or staying in the comfort of your own home or office. Fall, 2020, Vol 13, Issue 2 Page 7 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com DOMESTIC SUBSTANCE LIST UPDATE Early in the year, before the pandemic hit, we had made significant progress on this file. I met with ECCC in Gatineau in January to discuss the pet food ingredient list that I had reviewed against exemptions, as well as policy options for ingredients of animal origin. It was looking good, when ECCC responded to me with a revi ew of a section of the ingredient list, where only a few ingredients had to be followed up on. Unfortunately, when COVID hit, everything slowed down and ECCC had their resources pulled to notify different substances for COVID related products, which took priority. For now, we are still in contact, but their resources have been spread thin, so are unable to review our ingredients and decide on policy for certain things at the moment. Now that the government is also focused on reducing plastic, and single use plastic regulations, ECCC resources could be reduced even further. I will continue to be in touch with ECCC and continue to push for a resol ution on this project, so that the industry has a clear understanding of what ingredients may need to be notified and placed on the Domestic Substance List. For now, we have to assume that it is business as usual. If you do run into any issues with compl iance or delays at the border due to concerns over the DSL, please contact me immediately. I don’t foresee this happening, but just in case, know that I can probably help and escalate any issues directly to ECCC. Fall, 2020, Vol 13, Issue 2 Page 8 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com CFIA NEWS As with many government departments, the CFIA has become quite inactive since March. While they have put out some notices over these months, it has been relatively quiet. In the background, I have been working with CFIA on the Russia situation (more detail below), as well as strategy for China. One key area that was highlighted above in the RAAWG objectives was improving communication as it relates to changes in policy, new initiatives, and notices coming from the CFIA. To this end, a letter was drafted by PFAC that outlined several instances where the CF IA sent notice of new initiatives or policy changes without any notice to the industry or any opportunity for consultation or input. The letter highlighted examples, and how the CFIA was not even following its own consultation process or the broader Government of Canada openness and transparency initiative. Quickly after sending the letter, a response was received from the import/export division, and a meeting set up with Mohit Baxi, Director of the import/export, and responsible for the animal products and by-products group with whom we have the most interaction. The discussion with Mohit was very positive, and a commitment was made by him for the CFIA to be more proacti ve in their communication with the pet food industry. This means more lead time and more discussion in advance of upcoming initiatives and changes. I will do my part by continuing to remind them to stick to this commitment. This is a positive first step in allowing the pet food industry to be more engaged with CFIA and possibly lead to a larger influence on policy development. Below, I will provide some brief updates on some of the things that have happened specifically within the import or export realms. Fall, 2020, Vol 13, Issue 2 Page 9 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com CFIA NEWS (continued) CFIA Import Updates Import Policy Framework In mid-June, we all received an update notice that the Import Policy Framework would be changi ng, and some chapters would ‘come into effect’. This was a case where there was not much notice to any changes, and no context behind the changes or rationale for them to happen. After a few di scussions, it was clear that this was not any change in policy, but instead was a change in format and where certain information was located. The following summarizes the key changes: •The major change is that country-specific import conditions will no longer be listed in the policy and the reader should now refer to AIRS for this information. •The chapters that were implemented on June 17, 2020 have no impact on import conditions or the procedure to import pet food. •The intent of this initiative is to bring consistency to our import policies for various commodi ties by putting them into a single document and using the same format for each commodity-specific chapter. Over the course of the summer and into the fall, other chapters have ‘come into effect’, but there are essentially no changes that would impact import of product or ingredients, just a change in format. The Import Policy Framework can be found here: Import Policy Framework Raw and freeze dried Earlier in the year, it was noted that the CFIA is working with USDA to develop a certificate specifically for raw and freeze-dried products. This is still under development, and we will update you when more is known. Fall, 2020, Vol 13, Issue 2 Page 10 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com CFIA NEWS (continued) EU The latest notice from CFIA on imports from the EU states that as of August 17th, 2020, the CFIA will be updating the Automated Import Reference System (AIRS) to indicate that an ani mal health import permit is required for import of raw inedible animal by-products from the European Union. In order to maintain continuity of trade and allow Canadian importers to adjust their business practices, shipments accompanied by documentation showing that they left the European Union prior to September 15, 2020 may enter Canada without a permit. Importers are advised to contact their CFIA district office for confirmation of certification requirements for any shipments expected to arrive in Canada without an import permit. E-Commerce It is well known that regulations are not designed to be flexible or adaptable to changing ci rcumstances. We all know that e-commerce is growing at a rapid rate, further accelerated by the pandemic. From a regulatory perspective, e-commerce is challenging to deal with. In discussions with the CFIA, as expected, the current import regulations for pet food say that any pet food imported by any means must meet the commercial import requirements and be accompanied by a zoosanitary certificate. The requirement for a certificate with each shipment presents difficulties with the e-commerce business model where there are many different i mporters each receiving a small direct shipment. Nonetheless, until the regulations are updated then the requirements must be met. One example of a method to achieve compliance is for the company to use a distribution centre in Canada, so larger shipments go from the US to Canada with a certificate and are then broken into smaller shipments to go to individual recipients within Canada. Fall, 2020, Vol 13, Issue 2 Page 11 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com CFIA NEWS (continued) AIRS improvements to finished pet food The CFIA has notified PFAC that there were changes made in October that would improve AIRS to be more user friendly, simplifying and clarifying the requirements for all imported dry and canned pet food and treats. They stated that this will not change any requi rements, just make them easier to understand. PFAC asked if this process would also be applied to pet food ingredients for import, but this has not yet been planned by CFIA. We will continue to push for improvements to AIRS, especially now that all country specific import requirements are found in this space. CFIA Export Updates Russia By now, most have heard that Russi a has temporarily suspended ϯ Canadian companies for nonͲ compliance with their GMK regulations. CFIA has had some direct communications with Russia and has clarified the regulations, the testing protocol being used, and some other information related to registration of GMK events for pet food. PF AC raised this issue with GAPFA, and discovered that other countries have been affected as well. The Eetherlands has been suspended indefinitely for all export for animal feed and pet food. Kther countries in the Eh have also had companies suspended, and at least one company in the hS as well. In discussions with some of the affected members in Canada, there is suspicion that the Russian authorities testing methods are not being carried out in the same way as in E orth American labs. This test result discrepancy is one area where CFIA is trying to gain clarity, but at this point they are having a difficult time in securing another meeting with Russia. Fall, 2020, Vol 13, Issue 2 Page 12 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com GAPFA members came together to provide some key messages that could be shared with the Russian ministry of agriculture, facilitated by the Russian pet food association. These key messages coming from GAPFA were basically asking Russia to take a meeting with affected countries competent authorities to explain how temporarily suspended companies can get back into the market, and how CFIA can help support that in happening. We will continue to follow up with CFIA, and the trade commission/embassy staff in Moscow to attempt to get further meetings and continue the conversation. It is unclear at this point whether this will happen, but we will keep trying. China Earlier in the year, CFIA approached PFAC with a plan to gain more access into China. Their plan was to discuss and negotiate for a reciprocal agreement, whereby CFIA could approve Canadian companies for export, and China could approve Chinese companies for export to Canada. The CFIA wanted to start this plan with treats, and then once they could visit Chi na to do an onsite inspection and assessment of the Chinese pet food system, they could be comfortable or not, in approving a reciprocal agreement. Since this time, discussions have stalled, and the CFIA does not see any progress with China in the near future. I can continue to push for them to have discussions if members would like, because looking at 2019 trade data, Canadian exports to China have almost doubled from 2018. This is happening with only a few approved companies. I have been contacted by a couple different Chinese importers, who have told me that the appetite for Canadi an product is growing since the China-US trade war has turned Chinese people off of US product. The opportunity is there, but the political tensions still exist between Canada and China. I will poll members in the near future to gauge interest in pushing for CFIA to continue discussions with China, although I do not know whether it is possible and if they will be able to secure meetings. CFIA NEWS (continued) Fall, 2020, Vol 13, Issue 2 Page 13 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com Brazil A few months ago, I made contact with the Brazil Chamber of Commerce. They are interested in an ongoing relationship with PFAC, and are interested in Canadian pet food brands, but more from the sense of developing production opportunities in Brazil. They do have an office in Montreal, and I will keep the relationship going, in case there are any Brazil specific challenges that they may be able to help with. El Salvador The CFIA has identified El Salvador as a potential market of interest and have been working to have El Salvador come to Canada to conduct a system approval based on the audit of several facilities. Members were polled on whether they would be interested in exporting to El Salvador. At this point, I am not sure if there was enough interest, or when El Salvadorian officials will be able to travel to Canada. CFIA NEWS (continued) Fall, 2020, Vol 13, Issue 2 Page 14 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com GOVERNMENT AND STAKEHOLDER RELATIONS PFAC has continued with its strategy to make strong connections with CFIA staff at different levels, as well as government staff in other departments such as AAFC – Market Access Secretariat, Global Affairs and the Trade Commission service, as well as Canadian embassy staff around the worl d. During COVID, we also made some connections with provincial government staff, and have been receiving information directly. In our discussi ons on keeping the US-Canada border open to trade, we also made strong connections with Innovation, Science and Economic Development Canada. We wi ll continue to build relationships at various levels in departments that could impact the pet food industry. At the same time, part of our strategy is getting involved in House of Commons and Senate committee studies where it makes sense and starting to make more political connections with elected officials, especially those who are pet friendly. CUSMA On July 1, 2020, the new Canada-United States-Mexico Agreement (CUSMA) entered into force. Signed on the margins of the G20 Leaders’ Summit in Buenos Aires in November 2018, CUSMA outcomes preserve key elements of the long-lasting trading relationship and incorporate new and updated provisions that seek to address 21st-century trade issues and promote opportunities for the nearly half a billion people who call North America home. Here is a summary on the agreement: CUSMA Summary USA UPDATES Fall, 2020, Vol 13, Issue 2 Page 1 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com WORLD MARKETS - TRADE Brexit As previously reported, the Brexit deal between the UK and EU included the UK leaving the EU on January 31, 2020, and included a transition period, with an end date of December 31, 2020. After this date, with no trade deal, the UK will automatically drop out of the EU’s main trading arrangements. Canadian companies should have seen no change up until December 31, and will continue to follow the CETA agreement until that date. Canadian companies can prepare by considering how any new UK-EU relationship after December 31 could affect their business. Companies should be consulting with customs experts on how to continue trade, even if there is a no-deal outcome between the UK and EU. Canada has been in discussions with the UK and will negotiate a new bilateral trade agreement, and until that time trade with the UK would return to most-favoured nation (MF N) trade rules from the WTO. PFAC will continue to monitor the situation and advise members if there are any major changes that could impact trade. OIE The CFIA has submitted a request to the OIE to change the BSE status of Canada to negligible risk. July 2020 – CFIA provides submission to OIE working group Fall 2020 – OIE Working group completes initial review Winter 2021 – OIE Scientific review of submission May 2021 – Adoption by OIE of Canada’s request for change of BSE status It goes without saying that this is a critical process that will have significant positive i mpacts to the Canadian pet food market. PFAC will support this working group as best as we can and will be requesting feedback and information from members to do so. Fall, 2020, Vol 13, Issue 2 Page 1 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Carleton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com GAPFA PRIORITIES AND PROJECTS 2020 Due to COVID-19 the GAPFA meeting scheduled for June in Brussels has been postponed until 2021. GAPFA still held its regular online meetings and held its general assembly meeti ng virtually and dealt with key statutory items. Food Safety and Trade Facilitation Workstream Objectives/Projects 1. Pet food inclusion in the OIE feed chapter is ongoing. 2. The following will be prioritized by GAPFA: a. Information sharing about non-tariff trade barriers The following below have been delayed, as the priority is the pet food OIE work, then the i nfo sharing as a standing item and ongoing. b.Mapping tariff rates on traded pet food c.African Swine fever d.Product registration simplification (on a regional basis) e.Salmonella in ingredients and finished products Nutrition Workstream 1.Development of best practice document on dog and cat veterinary diets 2.Follow discussions on inorganic phosphorous 3.Carbohydrates 4.Following discussions on DCM 5.Fact sheets on nutrition 6.Complete and balanced until end of shelf-life Fall, 2020, Vol 13, Issue 2 Page 17 Regulatory Report A PUBLICATION FOR MEMBERS OF THE PET FOOD ASSOCIATION OF CANADA This memorandum provides information about regulatory initiatives affecting the import and export of pet food and is based upon the most current information available at the time of publication. All rights reserved. Copyright 2020. Pet Food Association of Canada PO Box 238, Car leton Place, Ontario K7C 3P4 Tel: 416-447-9970 • Email: petfood@pfac.com • www.pfac.com UPCOMING EVENTS C A F P 5 0 Y E A R S C E L E B R A T I N G May 11-12, 2021 Dialogue Meeting Tentative dates – unknown at this time whether it will be in person or not November 3-4, 2021 PF AC Annual Conference Fairmont Chateau Frontenac Quebec City, Quebec Unknown at this time whether this event will be in person or not Market Intelligence webinars •We will plan to hold up to a few webinars over the year, in conjunction with the Trade Commission service that talks about market intelligence of various markets •Let us know if you have any ideas on specific markets that may be of interest to you Fall, 2020, Vol 13, Issue 2 Page 1