delete Regulations Respecting Import Allocations
The Import Allocation Regulations establish a permit system controlling imports of certain goods (likely agricultural products) through an allocation mechanism. Applicants must prove past usage and involvement in the Canadian agro-industrial sector. The Minister has discretion to issue allocations and approve transfers, considering factors like compliance history, impact on domestic sector, and number of transfers.
This regulation creates a protectionist import quota system that artificially restricts trade, harms consumers through higher prices and reduced choice, and shields inefficient domestic producers from competition. The allocation mechanism based on past usage favors incumbents over new entrants, while Ministerial discretion creates arbitrary barriers. The unseen costs include deadweight loss from suppressed trade, reduced economic efficiency, and corruption risks in allocation decisions. Canadians would be better off with free trade allowing competition to drive down prices and increase quality.