News Releases for January 2002
January 14, 2002
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Hoeven Contacts U.S. Trade Representative on Wheat Trade Case
BISMARCK, N.D. - Governor John Hoeven spoke with United States Trade Representative (USTR) Robert Zoellick late Friday to request decisive action against the unfair trading practices of the Canadian Wheat Board (CWB). The conversation occurred after Hoeven sent a letter to Ambassador Zoellick and U.S. Secretary of Agriculture Ann Veneman, offering his support for the North Dakota Wheat Commission section 301 petition for action against the anti-competitive practices of the CWB.
“It is extremely important that the United States aggressively pursue a tariff rate quota or other equally effective means to resolve this longstanding trade problem,” Hoeven emphasized to Ambassador Zoellick. “The livelihood of America’s wheat farmers is threatened by the continued unfair wheat trading practices of the Canadian government.”
According to Hoeven, Ambassador Zoellick acknowledged that he and the administration recognize the seriousness of the issue. Zoellick said the Canadian grain trading system does impact wheat farmers and he is sympathetic to the petition filed by North Dakota farmers.
“The Ambassador emphasized his commitment to U.S. farmers and agreed that the monopoly power of the Canadian Wheat Board affects wheat markets around the world,” Hoeven said. “He also expressed the need for a response by the U.S. government.”
Zoellick told Hoeven that the USTR’s agriculture team was actively reviewing the results of a U.S. International Trade Commission study of the impacts of the CWB on world wheat trade. According to Hoeven, USTR Chief Agriculture Negotiator, Allen Johnson is evaluating the best course of action that the U.S. can take to address apparent trade distortions. Zoellick assured Hoeven that his staff would be in further communication with the Governor to keep him abreast of the U.S.’s response.
In September of 2000, the North Dakota Wheat Commission filed a petition under section 301 of the Trade Act of 1974, asking the USTR to investigate and take action against the anti-competitive policies and practices of the CWB. The USTR will announce a formal determination on the matter by January 22, 2002.
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