Canadian and U.S. wheat organizations should work together to achieve the best possible trading environment for farmers in both countries, says the president of the Canadian Wheat Board.
Ian White made the comment in a Nov. 20 letter to Alan Tracy, president of U.S. Wheat Associates (USWA), a trade promotion and lobbying group.
White’s letter was a response to a commentary by Tracy in the most recent edition of the USWA’s newsletter, in which he launched a scathing attack on the CWB, its single desk marketing system and its stance on World Trade Organization talks.
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Tracy said the board’s export monopoly distorts world trade.
He also claimed that U.S. wheat growers earn more than their Canadian counterparts because of CWB “mismanagement and pricing games” and described the board as a “self-serving bureaucracy” with no concern for producers.
White accused Tracy of name-calling and making groundless accusations.
He also emphasized that Canadian farmers must decide the board’s future and not WTO bureaucrats or U.S. trade groups.
He urged the USWA president to adopt a more positive and productive approach.
“I encourage you to redirect your efforts towards finding ways we can work together to achieve a fair and level playing field in the best interests of all North American farmers, free of trade-distorting practices and subsidies,” he said.
USWA has long been a critic of the wheat board and its grain marketing practices, but relations have heated up in recent weeks for two reasons:
– The text under discussion in the WTO would, if adopted, remove the CWB’s export monopoly. that has prompted the board to publicly urge the Canadian government to not sign such an agreement. That has annoyed USWA, which is counting on a WTO deal to eliminate the board’s monopoly powers.
– USWA is miffed with the CWB’s recent wheat sale to Saudi Arabia, in competition with U.S. sellers. USWA has accused the CWB of under-cutting American prices, a charge the Wheat Board denies.
About the U.S. Wheat Associates:
USWA is a Washington based organization that promotes U.S. wheat exports. USWA officials provide information and technical support to customers in more than 100 countries. It reported revenue of $16.8 million in 2009-09, made up of $4.3 million in checkoffs from 18 state wheat grower organizations, and $12.4 million in matching grants from the U.S. Department of Agriculture.
