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Canadian Wheat Board

Prairie strong, worldwide

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2000

September 7, 2000

CWB objects to continued U.S. trade harassment

Winnipeg - The Canadian Wheat Board (CWB) is outraged that the Americans are launching another investigation into the Canadian grain trading system. The North Dakota Wheat Commission (NDWC) said today that it will be filing a Section 301 petition against the trading practices of the CWB.

"The U.S. seems intent on repeatedly attacking Canadian farmers," said Greg Arason, CWB President and CEO. "You'd think by now that the Americans would have figured out that Canadian farmers are fair traders."

American groups have harassed the Canadian Wheat Board with eight investigations in the past decade. Although the rules for all investigations are set in the U.S., each time the outcome has established that all CWB trade activities meet North American Free Trade Agreements (NAFTA) and international standards.

The NDWC has indicated it will challenge Canadian farmers using a controversial piece of U.S. trade legislation called a Section 301 petition. The United States Trade Representative (an arm of the President's office) will investigate the case and determine damages. The Americans attempted to use the Section 301 petition during the softwood lumber dispute but were overruled by a GATT panel. The European Union has also challenged the legality of the legislation.

"This is extremely frustrating and disappointing," said Arason, adding it is no coincidence that the challenge is being filed on the eve of an American election. "Everything we do is compliant with international trade rules. The Americans know that, but they just don't like the fact we are doing a good job."

The CWB is the world's largest farmer-controlled wheat and barley marketer. Headquartered in Winnipeg, Manitoba, it is one of Canada's biggest exporters and the largest net earner of foreign currency. Marketing Prairie-grown wheat and barley to over 70 countries around the world, the CWB returns all sales revenue, less the costs of marketing, to farmers in Western Canada.

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