U.S. seeks trade ally in Canada

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Published: March 20, 2003

The United States plans to challenge European Union restrictions on the import of genetically modified foods and it expects Canada to come along for the ride.

Paul Cellucci, United States ambassador to Canada, told the Canola Council of Canada that the U.S. plans to file a World Trade Organization challenge of EU barriers to trade in GM products.

He said he has talked to Canadian trade minister Pierre Pettigrew and agriculture minister Lyle Vanclief to get a Canadian commitment to join the challenge.

“We are optimistic that Canada will support us,” said Cellucci. “We are encouraged by those talks.”

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The Grain Growers of Canada, representing grains and oilseeds groups across the country, is pressing the federal government to do just that.

GGC president Ken Bee, an Ontario soybean producer, told Pettigrew and Vanclief in a February letter there are several strong reasons to challenge the EU restrictions.

It will create market opportunities for farmers who grow GM crops and send a message to WTO negotiators that trade rules must be based on science, not political or consumer preferences, he wrote.

It also would send a message to countries thinking that the Europeans have it right.

“A positive ruling by the WTO will set an important precedent that will help stop the spread of the EU ban to other countries,” Bee wrote.

“The closing of the EU market has already hurt Canadian farmers. We must do everything we can to prevent other countries from following the European example and unjustifiably close their doors to our products.”

Cellucci used his speech to insist that the U.S. is a free trading, anti-subsidy country that can be trusted at the WTO to lead the fight for more trade liberalization.

He said those who complain that the 2002 American farm bill goes against the spirit of trade reform and subsidy reduction are using that as a way to “deflect attention” from their own subsidy and trade sins.

The farm bill subsidies are within WTO rules, he said, and if they ever exceed WTO commitments, they will be reduced.

“You will continue to see strong leadership from the United States in favour of more liberalized trade.”

The American ambassador said that despite occasional trade disputes, Canada and the U.S. remain trade allies on the big questions of reducing protectionism and increasing trade.

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