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NCA Responds To Canadian Trade Dispute

October 4, 2013
by candyandsnacktoday

Washington — The NCA is requesting the government of Canada remove a number of U.S. candy and chocolate products from its list of products for which it is proposing retaliatory trade action. Canada alleges the U.S. has failed to comply with the World Trade Organization's ruling on country of origin labeling.

“If the proposed chocolate and confectionery products remain on Canada’s retaliatory list, certain well-known sweets made in the U.S. will no longer be available to Canadian retailers or consumers,” the NCA reports. “A retaliatory surtax will essentially stop trade and remove options from store shelves.”

The Association is requesting removal of the following products, which total more than $1.3 billion in Canadian imports from the U.S., according to the NCA:

  • Chocolate confectionery and other chocolate products: This includes chocolate and finished chocolate confectionery, such as buttons, coins and moulded shapes other than blocks, slabs and bars. Canada imported 54.5 percent of its products that fall under this classification from the U.S. in 2012, worth $239,761,000.
  • Sweet Biscuits: Canada imported 50 percent of its sweet biscuit products, including chocolate-covered items, from the U.S. in 2012, totaling $105,941,000.
  • Waffles and wafers: Seventy percent, or almost $50 million-worth, of Canada's imported waffles and wafers came from the U.S. in 2012.
  • Bulk chocolate preparations: Chocolate crumb, liquid chocolate in bulk quantities and other items are included under this description. Canada imported more than $131 million-worth, or 78 percent of its bulk chocolate preparation products from the U.S. in 2012.
  • Certain sweeteners: Sugar substitutes, including sorbitol, xylitol and others commonly used, are also on Canada’s proposed retaliation list. Thirty-three percent, worth $9 million, of the country's imported products under this designation came from the U.S.

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