PM voices support for CWB monopoly

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Published: June 27, 2002

Prime minister Jean Chrétien appears to have poured cold water on a

Liberal-supported committee report that suggested the Canadian Wheat

Board experiment with ending its sales monopoly.

“We have always been a great supporter, on this side of the House, of

the wheat board,” Chrétien said June 21 on the last day of Commons

sittings before a three-month summer break.

The CWB has exclusive rights to sell prairie-grown wheat and barley

bound for export markets and on domestic sales of those grains used for

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federal government proposed several months ago to increase the compensation rate from 80 to 90 per cent and double the maximum payment from $3 million to $6 million

human consumption.

Chrétien said the farmer-elected directors will consider the

recommendation but he remains a fan of the existing setup.

“I think the wheat board has been a great instrument for the farmers of

Western Canada,” he told opposition leader Stephen Harper during the

Commons Question Period. “We gave it the benefit of the doubt. It will

look at the situation. However, I do think that it is the duty of this

Parliament to respect the laws of the land that have established the

wheat board, which has been a great success over the years.”

Harper, in response to the government’s farm aid and program-funding

announcement June 20, had called on the government to let prairie

farmers make more money by processing their own grain without going

through the board’s buyback program.

He said in light of the controversial agriculture committee

recommendation that saw the Liberal committee majority endorse a

Canadian Alliance call for an experiment in open market policies for

western grain, the government should abandon its long-standing support

of the monopoly.

Later at a news conference, Harper said Chrétien appeared to have given

the government’s response to the proposal by rejecting it.

“That seems to be the direction of his answer,” said Harper, who

campaigned against the CWB when he was president of the National

Citizens’ Coalition. “He is not interested in change.”

The government’s rejection of the proposal for an experimental open

market is not a surprise.

Wheat board minister Ralph Goodale has insisted the fate of the board

should rest with farmers who can elect directors to the CWB board.

Directors have strongly rejected the proposal for an experiment,

arguing that a monopoly once suspended could not be invoked again under

international trade laws.

Still, promoters of ending the monopoly insist the committee

recommendation will be an important boost to their campaign, coming as

it does with the support of some Liberals.

A slate of anti-monopoly candidates running for CWB elections this

autumn will use the Commons committee report to argue that the momentum

in the debate is swinging their way.

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