USDA FAS Daily Attache Report Digest | October 1, 2003
The Government of Canada (GOC), on October 3, launched a North American Free Trade Agreement (NAFTA) challenge of an August 29, 2003 countervail ruling by the U.S. Department of Commerce that imports of certain types of Canadian wheat are subsidized. The GOC is also considering various legal options following the October 3 decision by the U.S. International Trade Commission (ITC).
"We disagree with both the subsidy finding and the imposition of duties on our shipments of hard red spring wheat to the U.S.," said GOC Trade Minister Pierre Pettigrew. "We are now asking a NAFTA panel to review this decision and to prove that the U.S. Department of Commerce is wrong." The NAFTA panel will decide whether or not the subsidy decision is consistent with U.S. trade law. "Canada follows the established international trade rules and will contest the contrary American decisions along every legal avenue available," said Ralph Goodale, Minister responsible for the Canadian Wheat Board. "The Canadian government will ensure that our trade agreement rights are forcefully represented." "As I have said many times before, Canada does not subsidize wheat shipments entering the U.S.," said Agriculture and Agri-Food Minister Lyle Vanclief. "The Government of Canada is committed to vigorously defending the interests of Canada's wheat producers." "The Government of Canada is taking every appropriate step to demonstrate that programs like the provision of rail hopper cars do not distort our wheat trade with the United States," said Transport Minister David Collenette.USDA FAS Daily Attache Report Digest:
