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<title> CANADA GOES TO WTO ON AUSTRALIAN SALMON BAN </title>
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<p><font face="Arial"></font><font face="Arial" size="+1"></font><font face="Arial" size="+1">July 5, 1999 <em>(2:15 p.m. EDT)</em> No. 156</font></p>
<p align="CENTER"><font face="Arial" size="+1"> </font><font face="Arial" size="+1"><strong>CANADA GOES TO WTO ON AUSTRALIAN SALMON BAN </strong></font></p>
<p><font face="Arial"></font><font face="Arial">International Trade Minister Sergio Marchi and Fisheries and Oceans Minister David Anderson announced today
that the Government will be requesting authority from the World Trade Organization (WTO) to enable Canada to
retaliate against Australia for its continued ban on imports of Canadian fresh, chilled and frozen salmon.</font></p>
<p><font face="Arial">In 1998, a WTO panel ruled that Australia's ban was scientifically unjustified and discriminatory, and contrary to
Australia's international trade obligations. An Australian appeal to the WTO Appellate Body failed. In February
1999, a WTO Arbitrator gave Australia until July 6, 1999, to implement the WTO rulings. On July 5, 1999, Australia
announced that it would not be able to meet the July 6 deadline. Canada's position is that the WTO rulings oblige
Australia to remove the ban. </font></p>
<p><font face="Arial">"We are disappointed that Australia has not met the July 6 deadline," said Minister Marchi. "The WTO has ruled
twice in our favour. It is important for all WTO members to meet their international obligations."</font></p>
<p><font face="Arial">Minister Marchi said that Canada would be seeking authority that would permit Canada to impose a surtax on
imports of certain Australian products. Under the WTO rules, Canada has until August 5 to request this authority.</font></p>
<p><font face="Arial">"There are simply no reasonable grounds for maintaining this long-standing prohibition against Canadian salmon,"
said Minister Anderson. "Australia's alleged rationale for the ban -- fish health protection -- clearly has no
scientific basis, as the WTO rulings show. It is time for Australia to remove the ban." </font></p>
<p><font face="Arial">In the absence of compliance, the WTO provides that Canada and Australia may agree to compensation as a
temporary measure until Australia implements the WTO rulings. If no agreement can be reached, Canada has the
right to request authorization from the WTO to retaliate.</font></p>
<p><font face="Arial">On May 29, the Government of Canada announced a 30-day consultation period with Canadians on a proposed list
of products that might be subject to 100 percent surtaxes. The final list of products would be based on the
comments received from the public and the level of retaliation authorized by the WTO Dispute Settlement Body.</font></p>
<p align="CENTER"><font face="Arial">- 30 -</font></p>
<p><font face="Arial">For more background information on this issue, please consult the Department of Foreign Affairs and International
Trade (DFAIT) dispute settlement Web page at http://www.dfait-maeci.gc.ca/tna-nac/dispute-e.asp</font></p>
<p><font face="Arial">For further information, media representatives may contact:</font></p>
<p><font face="Arial">Leslie Swartman</font></p>
<p><font face="Arial">Office of the Minister for International Trade</font></p>
<p><font face="Arial">(613) 992-7332</font></p>
<p><font face="Arial">Media Relations Office</font></p>
<p><font face="Arial">Department of Foreign Affairs and International Trade</font></p>
<p><font face="Arial">(613) 995-1874</font></p>
<p><font face="Arial">This document is also available on the DFAIT Internet site: http://www.dfait-maeci.gc.ca</font></p>
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