Canadian Government Seeks Delay in WTO Probe on U.S. Wheat Duties

The Canadian government has asked for a delay in a World Trade Organization (WTO) probe into U.S. anti-dumping and countervailing duties on Canadian hard red spring wheat exports, citing a NAFTA appeal. The delay is intended to streamline the process and avoid multiple appeals. A combined 14.6% anti-dumping and countervailing duty was imposed on CWB hard red spring wheat sales into the U.S. in October 2003.

Key Takeaways:

The Canadian government has requested a delay in a WTO probe into U.S. anti-dumping and countervailing duties on Canadian hard red spring wheat exports, citing a NAFTA appeal.
The delay is intended to streamline the process and avoid multiple appeals, with the NAFTA appeal process scheduled to play out over the next 6 months.
A NAFTA panel consisting of two Canadians and three Americans has been appointed to investigate the countervailing duties, with filings complete and a hearing expected in the fall.
On the anti-dumping side, the panel has yet to be appointed and filings are to be completed by the end of this week.
The reduction in U.S. business is expected to cost the Canadian industry approximately C$30 million per year.
Canada has been able to sell wheat to other markets since the U.S. duties were imposed.

Statistics:

14.6%: the combined anti-dumping and countervailing duty imposed on CWB hard red spring wheat sales into the U.S. in October 2003.
6 months: the duration of the NAFTA appeal process.
C$30 million: the estimated annual cost to the Canadian industry due to the reduction in U.S. business.
2003 (October): the date the U.S. International Trade Commission ruled that CWB hard red spring wheat sales into the U.S. had hurt U.S. farmers, leading to the imposed duties.

Sources:

Canadian Wheat Board (CWB) spokesperson Louise Waldman
Phil Franz-Warkentin, Resource News