NEWS RELEASES
WTO APPELLATE RULING GOOD NEWS FOR CANADIAN DAIRY INDUSTRY
WTO APPELLATE RULING GOOD NEWS FOR CANADIAN DAIRY INDUSTRY
OTTAWA, December 3, 2001 - Canadian dairy producers, processors and exporters celebrated a significant decision of
the World Trade Organization (WTO) Appellate Body to overturn an earlier panel ruling that said Canada's commercial
export milk approach constitutes an export subsidy.
The Appellate Body found the U.S. and New Zealand failed to prove that Canada's approach to commercial export milk is
WTO inconsistent.
"This decision validates what we have been saying all along. We are satisfied that our industry can turn its attention to what
it does best: creating the best dairy products in the world," said Agriculture and Agri-Food Canada Minister Lyle Vanclief.
"We are extremely pleased with today's decision," said International Trade Minister Pierre Pettigrew. "In close cooperation
with the provinces and industry, Canada put forward a strong case which successfully promoted the interests of our
industry."
After an earlier loss at the WTO in 1999, the federal government and the dairy industry worked together to make major
changes to the way milk destined for exported dairy products is marketed. Not satisfied with these changes, the United
States and New Zealand requested the WTO compliance panel which ruled that Canada's commercial export milk approach
constituted an export subsidy.
Canada's appeal of that decision was launched in September of this year. With the final ruling today, the arbitration process
requested by the U.S. and New Zealand to determine the amount of retaliation they could have imposed on Canada, will not
take place.
-30-
To view background information on today's ruling with a chronology of events leading to the decision as well as
information related to Canada's dairy industry, please go to www.agr.gc.ca
For more information, media may contact:
Donald Boulanger
Press Secretary
Minister Vanclief's Office
Ottawa
(613) 759-1761
Media Relations
Agriculture and Agri Food Canada
Ottawa
(613) 759-7972
Sébastien Théberge
Press Secretary
Office of the Minister for International Trade
Ottawa
(613) 992-7332
Media Relations Office
Department of Foreign Affairs and
International Trade
(613) 995-1874
|