October 24, 2000

U.S. Trade Representative Charlene Barshefsky will initiate a Section 301 investigation of certain trade practices of the Canadian Wheat Board. The decision is in response to a petition filed last month by the North Dakota Wheat Commission under section 301 of the Trade Act of 1974, alleging that the Canadian Wheat Board engages in unreasonable trade practices that have resulted in economic harm to U.S. wheat growers.

"The allegations made by the North Dakota Wheat Commission raise questions about how the Canadian Wheat Board markets wheat in the United States and third country markets," said Barshefsky. "The decision to initiate this investigation emphasizes the Administration's continuing commitment to ensure fair treatment for U.S. farmers."

By accepting the North Dakota Wheat Commission's petition, the U.S. government will conduct an investigation into the allegations made by the Commission. Specifically, the investigation will include the Board's sales practices in the United States and third country markets.

Section 301 provides the means for businesses, farmers and workers in the United States to seek the aid of the government in gaining relief from foreign unfair trade practices which burden or restrict U.S. commerce.

U.S. Wheat Associates, the National Association of Wheat Growers and the Wheat Export Trade Education Committee praised Barshefsky's announcement. "For the first time, the Canadian Wheat Board's export marketing practices in third country markets will be subjected to a thorough investigation by U.S. officials who have a strong background in export marketing and trade," the groups said.

Barshefsky is "a gutsy trade official," said Alan Tracy, USW president. "Once again she has stood her ground, this time against tremendous pressures as the Canadians did everything they could to derail the petition (from the North Dakota Wheat Commission)."