Canada and China are talking, and that’s a good thing for hopes of reopening the giant market.
That’s the feeling of Brian Innes, Canola Council of Canada vice-president for public affairs, who is in Geneva, Switzerland, to observe the two countries’ “consultation” over China’s ban on canola imports from Canada.
“We’ve seen good dialogue today and it’s very positive that there was a face-to-face meeting between the two governments here in Geneva,” said Innes Oct. 28.
“Dialogue is the best way to resolve disputes.”
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This meeting was sparked by a Canadian request to the World Trade Organization and is the first part of the WTO disputes resolution process.
There will be time for each government to consider what the other had to say and then the ball will be in China’s court.
China could reopen its borders to Canadian canola, at which point the dispute would be over.
But if that does not occur, then further WTO resolution steps could occur. The dispute could be sent to a panel of trade experts who would study and issue a ruling on China’s actions.
China and Canada could agree to what they rule. Or one or the other could object and raise the dispute to the WTO’s appeals process.
That’s where things could get sticky because the American government has refused to agree to the appointment of new appellate judges, so within months the appeals process may collapse.
However, Innes said Canada and the European Union have already agreed to another appeals process beyond the WTO, and “it’s quite conceivable that countries such as Canada and C hina can agree to an alternative approach to the appellate body.”
Innes said it is too early to assume this dispute will reach the third-party adjudication process.
Regardless of the outcome, the Canadian industry remains focusing on opening other markets.
