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“We expect that the U.S. will bring<br />

itself into compliance with its WTO<br />

obligations by May 2013 as determined<br />

by the arbitrator for the benefit<br />

of producers on both sides of the<br />

border,” Canadian agriculture minister<br />

Gerry Ritz and trade minister Ed<br />

Fast said in a Dec. 4 statement.<br />

Canadian Cattlemen’s Association<br />

president Martin Unrau from Manitoba<br />

said the CCA would continue to<br />

work with “its U.S. allies and counterparts<br />

to develop a solution that eliminates<br />

the discrimination of Canadian<br />

cattle in the U.S. market.”<br />

But with some American cattle lobbyists<br />

pushing Congress for regulatory<br />

changes rather than a change to<br />

designate all animals processed in a<br />

federal U.S. plant as a “product of the<br />

U.S.A.” no matter where the animal<br />

came from, there was skepticism on<br />

NEWS THE WESTERN PRODUCER | WWW.PRODUCER.COM | DECEMBER 13, 2012<br />

TRADE | FROM PAGE ONE<br />

World Trade Organization issues deadline on U.S. labelling<br />

COUNTRY-OF-ORIGIN LABELLING TIMELINE<br />

Sept. 30, 2008: Countryof-origin<br />

labelling<br />

(COOL) legislation was<br />

implemented by the U.S.<br />

on an interim basis and<br />

enacted March 16, 2009.<br />

Dec. 1, 2008: Canada<br />

initially requested World<br />

Trade Organization consultations<br />

with the U.S.<br />

Consultations were held<br />

Dec. 16 with participation<br />

from Mexico.<br />

FOOD PRODUCTION | WORLD HUNGER<br />

BY ROBIN BOOKER<br />

SASKATOON NEWSROOM<br />

<strong>The</strong> Global Institute for Food Security<br />

expects to bring new research<br />

money to Saskatchewan and improve<br />

local and global food systems.<br />

<strong>The</strong> institute, established at the<br />

University of Saskatchewan, hopes to<br />

make itself heard on policy initiatives<br />

to improve interactions between the<br />

various parts of the food system.<br />

It will also conduct agronomic<br />

research, including breeding for<br />

higher yield, improving processing<br />

traits, looking at how soil quality<br />

affects the nutritional value of crops<br />

and adapting prairie zone crops to<br />

available soil and water.<br />

PotashCorp contributed $35 million<br />

to the institute, which is the largest<br />

donation in the company’s history,<br />

while the provincial government committed<br />

$15 million over seven years.<br />

University president Ilene Busch-<br />

Vishniac said during a Dec. 10 ceremony<br />

that the institute will use a system-wide<br />

approach to improving<br />

food security, not just by improved<br />

crop production but also by promoting<br />

new policies that help ensure<br />

food gets to where it’s needed.<br />

“Unlike some existing food security<br />

institutes, who focus on a piece of the<br />

problems, we are determined to find<br />

solutions across the entire food system<br />

— from field to fork,” Busch-<br />

Vishniac said.<br />

Saskatchewan premier Brad Wall<br />

said the need to increase food production<br />

in the province is as much a moral<br />

imperative as it is an economic one.<br />

“Today there are nearly 900 million<br />

people, one in eight among us, who<br />

live on this planet that are chronically<br />

malnourished. An estimated 50 million<br />

children under the age of five go<br />

to bed hungry every night,” Wall said.<br />

June 5, 2009: Canada<br />

held a further round<br />

of consultations with<br />

the U.S. on COOL. <strong>The</strong><br />

consultations did not<br />

resolve the issue.<br />

Oct. 7, 2009: Canada<br />

requested a WTO<br />

panel, and on Nov.<br />

19 the panel was<br />

established.<br />

May 20, 2011: <strong>The</strong><br />

WTO panel provided<br />

its confidential interim<br />

report to the involved<br />

countries.<br />

“Saskatchewan will play a role disproportionate<br />

to its population, but<br />

one that is proportionate to the challenge<br />

and to the opportunities of<br />

both sides of the border that real<br />

change is in the works.<br />

In Calgary, CCA executive vicepresident<br />

Dennis Laycraft said a portion<br />

of the American agricultural lobby<br />

wants “a regulatory fix that would<br />

make the rules more difficult versus<br />

the mainstream groups that would<br />

like to get rid of the discrimination.”<br />

<strong>The</strong> new U.S. Congress does not<br />

convene until January and its politi-<br />

July 29, 2011: <strong>The</strong><br />

WTO panel provided<br />

its final report to the<br />

parties to the dispute<br />

on a confidential<br />

basis.<br />

Nov. 18, 2011: A decision<br />

was circulated to members<br />

finding against the COOL<br />

rules as being protectionist.<br />

feeding a hungry world”<br />

Global food production will have to<br />

increase by 70 percent to feed an estimated<br />

population of nine billion by<br />

cal divisions signal that any agreement<br />

on contentious issues such as<br />

COOL will be difficult.<br />

President Barack Obama has yet to<br />

indicate whether it is an issue the<br />

White House is willing to take on.<br />

However, if the U.S. fails to comply<br />

on time, Canada’s option is to take it<br />

to a compliance panel that would<br />

drag out the already lengthy WTO<br />

process. If Canada can convince the<br />

June 29, 2012: With no<br />

American movement, an<br />

appellate body of the WTO<br />

issued a judgment that the<br />

U.S. had to comply.<br />

Dec. 4, 2012: After a<br />

Canadian appeal for<br />

arbitration, the U.S. was<br />

ordered to comply by<br />

May 23, 2013.<br />

Source: George Morris Centre, staff research | WP GRAPHIC<br />

2050, Wall said.<br />

PotashCorp chief executive officer Bill<br />

Doyle said farmers will need to produce<br />

as much grain in the next 50 years as<br />

3<br />

panel that the U.S. is not in compliance<br />

with a ruling, “that is the path<br />

that ends up in retaliation and<br />

duties,” said Laycraft.<br />

In Ottawa, Liberal trade critic<br />

Wayne Easter, a veteran of Canada-<br />

U.S. trade disputes, said there is little<br />

chance Washington will comply.<br />

“I’m very doubtful,” he said. “It<br />

doesn’t look like they will fully comply<br />

and then what do we do? Applying<br />

tariffs is an option we would have<br />

to seriously consider.”<br />

However, trade watchers warned<br />

against triggering a trade war even<br />

though COOL has been blamed for<br />

causing Canadian livestock and pork<br />

industries hundreds of millions of<br />

dollars in lost revenue because many<br />

U.S. slaughter and processing plants<br />

do not want to take Canadian animals<br />

or if they do, discount their price<br />

because of added labelling costs and<br />

consumer reaction.<br />

Still, Canadian officials called the<br />

ruling by arbitrator Giorgio Sacerdoti<br />

a win because the U.S. had<br />

argued for a much longer compliance<br />

period.<br />

New institute tackles global hunger<br />

Global Institute for Food Security | University receives funding from PotashCorp, provincial government<br />

PotashCorp’s Bill Doyle, University of Saskatchewan president Ilene Busch-Vishniac and Saskatchewan<br />

premier Brad Wall unveil the Global Institute for Food Security at the university. | ROBIN BOOKER PHOTO<br />

70 percent<br />

GLOBAL FOOD PRODUCTION MUST INCREASE BY<br />

TO FEED THE WORLD’S POPULATION BY 2050<br />

they have in the past 10,000 years.<br />

“<strong>The</strong> crop nutrients that we produce<br />

— nitrogen, phosphate and<br />

potash — are responsible for as<br />

much as half of the world’s crop<br />

yield,” said Doyle.<br />

“In many developing regions, farmers<br />

are still trying to feed their families<br />

with soils badly deficient in basic<br />

nutrients, using farming methods<br />

that limit their productivity. With the<br />

knowledge, resources and commitment<br />

that we have in Saskatchewan,<br />

we can advance food solutions to<br />

help the world.”<br />

<strong>The</strong> University of Saskatchewan is<br />

cutting programs and staff to trim $45<br />

million from its annual budget, but<br />

Busch-Vishniac said there are limits<br />

to how much the private investment<br />

will direct research.<br />

“This institute will be treated as<br />

every other institute on campus,” she<br />

said. “<strong>The</strong>re will be a board that has<br />

some representation of our partners,<br />

but they will only set broad strategic<br />

direction, and everything that is<br />

done in this institute will have the<br />

same guarantees of academic freedom<br />

that are common for everything<br />

we do on this campus.”<br />

Wall said the government is hoping<br />

additional private partners will<br />

become involved with the institute.<br />

Garth Patterson, executive director<br />

of the <strong>Western</strong> Grains Research<br />

Foundation, said the organization<br />

invests more than $6 million of producers’<br />

money a year in crop variety<br />

development and agronomic<br />

research. <strong>The</strong> new institute will likely<br />

attract some of the money, he added.<br />

“We plan to increase funding by $15<br />

million over the next four years and I<br />

am confident that the university’s<br />

increased research capacity will<br />

attract a portion of this funding,” Patterson<br />

said.

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