Six Canadian cattle companies are doing paperwork courtesy of the United States government.
Three Alberta companies, two from Saskatchewan and one from Ontario have been named as respondents in an American department of commerce investigation to determine whether there was dumping of live cattle between October 1997 and September 1998. Dumping means selling products at below the selling price in the originating country or below cost of production.
All receipts, invoices and other business transactions are under scrutiny. In addition, companies that these six do business with are also examined.
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“It’s all confidential and it’s a massive amount of work,” said Cor Van Raay of Iron Springs in southern Alberta. As one of the largest privately owned feedlots in Canada, his company is a large exporter of live slaughter cattle.
While Canadian business people may find filling out 154 pages of questionnaire frustrating, it is legal under the rules of the World Trade Organization. The Canadian Cattlemen’s Association is providing assistance as needed for each firm as they and their accountants wade through the paperwork, said Van Raay.
An average cost of production will be calculated from these audits, which will be applied to the rest of Canada.
The questionnaire is divided into several parts with deadlines imposed for each.
The final ruling could appear at the end of this year or by January 2000. Anti-dumping duties could be applied then if the American department finds against Canada.
