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Canadian Wheat Board

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Newsroom

2005

CWB directors work to protect farmers' rights at WTO

April 14, 2005

Winnipeg - CWB directors will attend the World Trade Organization (WTO) Symposium next week in Geneva, where they will continue working to uphold Canadian farmers' right to choose and use the marketing systems that suit them best.

It should be up to western Canadian farmers - not WTO members - to decide amongst themselves what marketing system they want, said Ken Ritter, chair of the CWB's farmer-controlled board of directors.

"This is not something for our competitors to decide," he said. "Global trade distortions are the only issues that belong on the table at the WTO. The CWB's single-desk authority is not trade-distorting and WTO members need to understand that fact. Canadian farmers are already making huge concessions in the interests of fair international trade."

Under a framework deal ratified last summer, western Canadian producers will lose their government guarantees of CWB payments and borrowings, if a final WTO agreement is reached. This is a major concession by Canada that will cost farmers directly. The text also specifies that "future use of monopoly powers" be further negotiated. It is crucial, Ritter said, that this clause not be interpreted to suggest that monopoly powers be eliminated.

Negotiations on agriculture as part of the WTO Doha Round are reaching a critical phase, with hopes for an agreement on modalities (member commitments) at the December 2005 Ministerial meeting in Hong Kong.

"At this important time, Canada must present a united front to the world. Our message in Geneva is that Canadian farmers are giving up a lot already. Exactly what they will gain in return is still unclear, but we all agree that further concessions from Canada are not required."

Ritter said it would be unwise for WTO members to shut the door to the possibilities and benefits that a single-desk marketing structure can achieve for farmers, not only in Canada, but elsewhere.

"Why would you limit the world's options? Different marketing models make sense for different nations at different times. There can be no 'cookie cutter' approach in our diverse world."

Ritter, along with farmer-elected CWB director Larry Hill and a CWB staff member, will be in Geneva from April 18 to 22.

Controlled by western Canadian farmers, the CWB is the largest wheat and barley marketer in the world. As one of Canada's biggest exporters, the Winnipeg-based company sells grain to more than 70 countries and returns all sales revenue, less marketing costs, to Prairie farmers.

For more information, please contact:
Louise Waldman
Manager, Media Relations
Tel: (204) 983-3101
Cell: (204) 479-2451

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