Wheat Board Watches WTO Decision on U.S. Complaint

(February 10, 2004 - CBC)    The World Trade Organization is expected to release its ruling on the legitimacy of a state grain trading system Tuesday. The Canadian Wheat Board's (CWB) future lies in the balance.

American farmers have never liked the Canadian Wheat Board because of its export monopoly and its relationship with the Canadian government.

BACKGROUNDER: Canadian Wheat Board (opens a new browser window)

So nobody was very surprised when U.S. trade representative Robert Zellick took that fight to the World Trade Organization (WTO).

Zellick argues that state trading enterprises like the wheat board violate WTO rules and he is accusing Canada of unfair national treatment of U.S. grain. He says Canadian farmers enjoy an unfair advantage because of the revenue caps on the railways.

But wheat board representatives feel confident about what the WTO will rule.

"We feel very confident that the ruling will not go against the Canadian Wheat Board, but we are also realistic," says CWB chair Ken Ritter.

Ritter doesn't understand the American opposition to the Canadian Wheat Board, saying the United States should be working with Canada as allies, rather than enemies.

"We are dealing with other large production regions and for us to be battling against each other on, you know, all issues around grain seems pointless to me," Ritter argues.

No matter what the decision is, American politicians are already vowing to continue the fight until the rules are swayed in their favour.

 

Designed & Maintained by www.familyfarmers.com