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041157 Steps Taken to End Canadian Cattle Ban

November 21, 2004

Washington - The U.S. border ban on Canadian beef was given what is hoped to be its official death-knell notice during a meeting between Prime Minister Paul Martin and U.S. President George W. Bush.

Calling it a "significant step" towards the reopening of the Canada-U.S. border to Canadian beef, Martin later confirmed he received a promise from Bush that the official regulatory process to do so.

"I think this is a significant step forward. I think that we have got to recognize that there is certainly a period of time which is before us . . . obviously there are a number of steps that have yet to be met," said Martin.

The prime minister confirmed the regulatory amendment process could delay the reopening of the border for six or seven months, but was hopeful it would take less time. Determining the official reopening of the border, which was closed to Canadian beef products in May 2003 when a single case of mad cow disease was discovered in Alberta, is multi-stepped and complicated.

Martin credited the Canadian cattle industry and Agriculture Minister Andy Mitchell for persistently pursuing the matter.

"This is a significant step for Canadian beef cattle producers," said Stan Eby, Canadian Cattlemen's Association president and cattle producer.

"It's not the end of the road yet but it's a move we've been lobbying for and awaiting anxiously for some time. I'm very pleased to have this next step in the administrative process occur," Eby said.

"The coming days will give us more detail of what to expect in terms of review and implementation and hopefully give us a better idea of when we'll see live cattle once again being exported to the U.S," he added.

Ben Thorlackson, chairman of the Canadian Beef Export Federation, is pleased Bush is pledging to push to re-open the border, but he isn't banking on it happening before the new year.

"I was aware of the process and that there were a number of steps before the border is opened. I'm pleased that the Americans have taken this step. It's a very positive move," said Thorlackson, who operates a feed lot in Airdrie.

Arno Doerksen, chairman of the Alberta Beef Producers, concurs.

"Exactly what the rest of the timeline will be isn't clear, but I think it's positive movement in the right direction," said Doerksen.

The United States has reopened trade on some beef products but so far hasn't resumed buying live cattle.

Observers believed the U.S. administration would delay any movement on the issue until after the recent presidential election, especially since Democratic candidate John Kerry portrayed himself as a hawk on trade issues with Canada.

Senior Canadian officials said the president confirmed the U.S. Office of Management and Budget would receive a draft of the new regulation recommending movement on the border ban. The regulation or rule will undergo a review by the OMB, a quasi-regulatory agency similar to Canada's Treasury Board, during a 60- to 120-day period.

Once it is deemed a "major rule," the regulation will be published to allow 60 days for public reaction. As well, Congress is given 60 sitting days to block the new regulation in both houses, something officials said would be "exceptional."

http://www.canada.com/calgary/calgaryherald/news/story.html?id=9cd5b35b- 53d7-431c-9e03-a8b723646321&page=2Martin had promised that bovine spongiform encephalopathy along with softwood lumber would be the first issues he raised with Bush in today's meeting. He said Bush told him about the regulatory breakthrough when he raised it first.

Some cattlemen feared their attempts to lift the American ban on Canadian cattle would face a major setback when U.S. officials said last week they may have discovered a second case of mad cow disease.

Last December, a Canadian-born cow in Washington state tested positive for BSE leading to more finger-pointing across the border and another blow to devastated Canadian ranchers. Canada and the U.S. have implemented similar measures to ensure safety of the beef supply. They include more testing for BSE and banning animal tissues considered more prone to the disease from the food supply.

On the softwood lumber issue, Martin said Bush noted his arguments against the persistent tariffs imposed by the U.S. government on Canadian softwood even though there have been numerous trade rulings against them.

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